- Coinbase has sought clear rules on securities regulation through a lawsuit against the SEC.
- Ripple Labs has been awaiting a summary judgment in its long-running lawsuit with the SEC.
- Coinbase has previously supported Ripple in the SEC vs. XRP lawsuit.
The U.S. cryptocurrency industry is grappling with a regulatory battle to attain clear regulations from the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC).
Amidst this ongoing struggle, the recent offsite meeting between the legal chiefs of Coinbase and Ripple has given rise to speculation about the relisting of XRP on the crypto exchange.
Paul Grewal and Stuart Alderoty Discuss Crypto Regulations
Paul Grewal, the Chief Legal Officer at Coinbase, mentioned in a recent post that he had a meeting with Stuart Alderoty, Ripple’s Chief Legal Officer, and suggested they should have more such meetings in the future. In response, Alderoty expressed appreciation for the time that Coinbase gave to talk with Ripple’s legal team.
This meeting between two of the most prominent players in the industry comes when both seek a regulatory green flag from the US SEC. However, Coinbase, the biggest crypto exchange in the US, has gone international due to pending queries for clear rules.
Coinbase Challenges US SEC on Digital Securities Regulation
On the other hand, Ripple Labs and its executives are awaiting a summary judgment in the long-running lawsuit with the SEC.
Coinbase has filed a lawsuit against the US SEC, requesting the watchdog to share a response to a months-old petition publicly.
The crypto exchange seeks clarity from the commission on proposing and adopting rules to regulate securities traded and offered through digitally native methods. However, the commission is yet to reply.
In a proposed amicus brief, Coinbase had earlier voiced its support for Ripple in the SEC vs. XRP lawsuit, asking the court to let a jury sit and hear Ripple’s argument that the company lacked notice XRP was an unregulated security.
On the Flipside
- Some see Coinbase’s support for Ripple in the lawsuit as a conflict of interest, as Coinbase has recently gone public and stands to benefit from the success of XRP.
- The offsite meeting between Coinbase and Ripple legal chiefs may not necessarily indicate any concrete plans for relisting XRP on the Coinbase exchange, as the regulatory battle for clarity is still ongoing.
Why You Should Care
The offsite meeting between the legal chiefs of Coinbase and Ripple could potentially signal a breakthrough in the ongoing regulatory battle for clear regulations from the US SEC.
As two of the biggest players in the US crypto industry seek regulatory approval, any developments or insights gained from this meeting could have significant implications for the wider market and its participants.
For information on the possible verdict dates of the SEC lawsuit against Ripple and XRP, click here:
Verdict in SEC vs. Ripple Lawsuit to be Announced Soon?
To learn more about the recent trend of investors moving away from stablecoins and towards Bitcoin, read here:
Sourced from dailycoin.com.
Written by on 2023-05-05 11:05:00.
