Last week, the US Court of Appeals for the Third Circuit ordered the US Securities and Exchange Commission (SEC) to respond to Coinbase’s request for clarifying the rulemaking.
According to documents shared by the exchange’s chief legal officer (CLO) Paul Grewal, the regulator has denied to “commit to any deadline despite the Court’s explicit order.” The SEC says in the letter that Coinbase’s petition might receive a recommendation within 120 days.
Moreover, the SEC set the deadline to update the court on Oct. 11, 2023, according to Grewal’s tweet. In addition, the regulator asked the court to “take no action” before the time limit is reached.
Grewal added that the SEC disregards “the clear statements of the Chair that confirm they have no intent to issue new rules.”
“Coinbase’s request for periodic reports is similarly unwarranted. Coinbase relies on inapposite authority that reflects circumstances in no way comparable to those presented by its mandamus petition.”
SEC wrote on Coinbase’s petition
The US Court of Appeals for the Third Circuit ordered the SEC to take action on Coinbase’s petition for clear rulemaking on June 7, two days after the regulator filed a lawsuit against Coinbase and Binance.
Furthermore, Congressman Tom Emmer and Rep. Warren Davidson introduced a bill called the “SEC Stabilization Act” which will remove Gary Gensler as the SEC chair and restructure the Commission. The Act comes as the representatives believe the SEC has been abusing its regulatory authority.