Keep an Eye Out for Three Crypto Lawsuits Coming Up This Week
Legal battles are taking center stage in courtrooms this week, involving several high-profile cases. Let’s dive into the key developments occurring this week:
TODAY: Custodia Bank vs. Federal Reserve: Prominent Legal Experts Joining the Case
In a few hours, Custodia Bank’s legal counsel will be present in court to appeal against the Federal Reserve. Expectations are high for Ian Gershengorn, Acting Solicitor General under President Obama, and Michelle Kallen, former Solicitor General of Virginia, who will be leading Custodia Bank’s appeal. A notice of appearance is likely to be filed today. Given the lawyers’ reputations for handling Supreme Court cases, Custodia Bank’s case concerning its application for a Federal Reserve master account is bound to have a significant impact on the U.S. market regulator’s stance on the crypto market.
MAY 10: SEC vs. Coinbase: Awaiting Responses in Two Legal Battles
The 10th of May, Friday, holds great importance for the Coinbase vs. SEC case as the Commission faces a deadline to file its response to the two separate cases against Coinbase on this date.
Response to Interlocutory Appeal
Coinbase’s request for an interlocutory appeal aims to address a “controlling question” in its case against the SEC. The question at hand is whether an investment contract necessitates “something contractual.” Coinbase argues that a transaction should not be considered an investment contract if it lacks post-sale obligations. If the court grants the interlocutory appeal, it could have significant implications for the SEC’s jurisdiction over crypto transactions.
Response to SEC’s Refusal to Establish Crypto Regulations
Simultaneously, Coinbase is challenging the SEC’s refusal to establish clear regulations for the crypto industry. The SEC is expected to file their response brief by the May 10 deadline to clarify their position on this matter.
LATEST: Robinhood Receives Wells Notice from SEC
Robinhood Crypto, the digital assets arm of the popular stock trading app, has just received a Wells notice from the SEC, making headlines an hour ago! The SEC is likely to take enforcement actions based on the investigative subpoenas previously received by the company.
Dan Gallagher, Robinhood’s Chief Legal, Compliance, and Corporate Affairs Officer, stated, “We firmly believe that the assets listed on our platform are not securities.” The case against Robinhood follows similar SEC actions taken against other crypto firms, including Coinbase and Kraken.
WHAT’S NEXT?
It’s only Monday, and we already have three cases that will shape the crypto landscape this week. Stay tuned to find out the outcomes of each case and any potential new cases that may arise unexpectedly!
Tags: Crypto Regulations