SEC: Coinbase could not have been unaware of its violation of securities laws

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SEC: Coinbase could not have been unaware of its violation of securities laws

According to The Block, a Securities and Exchange Commission (SEC) lawyer stated that Coinbase claiming in court filings that they "didn't know they were violating securities laws" is unbelievable.

SEC Lawyer Questions Coinbase's Claims

An SEC lawyer has stated that Coinbase's assertion that the company was approved for public listing by the SEC in 2021 implies that it was and will continue to be legal at that time and in the future, and claims ignorance that its actions may violate securities laws.

The SEC has mentioned that Coinbase went public based on securities law but is now claiming that its activities are not subject to that regulatory framework.

Coinbase's Chief Legal Officer, Paul Grewal, responded by stating that the points raised by the SEC are rehashed arguments that not only overturn their previous approval but also disregard warnings about excessive regulation.