The crypto exchange Coinbase
$586.97M
The exchange stated that Oregon’s claims were nearly identical to a previous case from the US Securities and Exchange Commission (SEC), which was later dropped.
In a motion filed on June 2, Coinbase told the Portland federal court that Attorney General Dan Rayfield’s lawsuit goes beyond state authority.
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On June 3, Coinbase’s legal officer, Paul Grewal, posted on X that the case deals with legal questions that only a federal court should handle. He pointed out that the definition of an “investment contract” comes from federal law, not state rules.
Rayfield filed the lawsuit in April, accusing Coinbase of offering unregistered investments. He said the exchange sold risky products without proper checks and that the assets involved could be easily misused for fraud or price manipulation.
However, Coinbase stated that Rayfield attempted to take over decisions that should be made by federal officials. The company called the lawsuit a “copycat” of the SEC’s 2023 case.
Rayfield argued that with the SEC stepping away from crypto enforcement, state leaders need to take action. He said federal regulators have pulled back under the current White House, which created what he called an “enforcement vacuum”.
Coinbase also shared that they reached out to Rayfield for a meeting after he told them he planned to file the lawsuit within 48 hours. According to the company, that request was denied.
Meanwhile, on May 29, the SEC and Binance filed a joint request with a federal court in Washington, DC. What did the filing say? Read the full story.
Having completed a Master’s degree in Economics, Politics, and Cultures of the East Asia region, Aaron has written scientific papers analyzing the differences between Western and Collective forms of capitalism in the post-World War II era.
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