The years-long case that the crypto exchange platform, Coinbase, has been against the US Securities and Exchange Commission is now coming to an end, and this is thanks to none other than President Donald J. Trump.
The lawsuit, originally filed under former president Joe Biden’s administration, that Coinbase faced centered on their alleged illegal securities exchange.
Not only is this a massive win for Coinbase, but also for the cryptocurrency industry as a whole, with this serving as a landmark moment of how crypto enforcement will be handled under the current government.
SEC Drops Coinbase Securities Lawsuit Thanks to Trump
According to Coinbase, it has now escaped the grasp of the SEC, particularly as the commission has dropped the securities case it has against them that was first filed two years ago under the Biden administration.
Many have since considered this case against Coinbase as a way to bring the crypto industry under the same investor-protection rules governing stocks and securities, according to Engadget.
However, Coinbase has since defended its business, claiming that it is not operating as a securities company as opposed to the SEC’s claims.
The Trump administration stayed true to its word of being more open to crypto’s growth and regulations. Coinbase CEO and co-founder, Brian Armstrong, shared on his post on X that the appeal will soon be irrelevant, as the commission will fully drop the lawsuit against them come next week.
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It was also added by Armstrong that this is a massive win not only for Coinbase but the entire cryptocurrency industry, with this change of heart by the SEC being favorable for the blockchain.
Armstrong believes that it will bring a “domino effect” to the entire industry, and this goes in line with what President Trump previously promised to transform the US into a crypto capital.
The SEC’s Cases Against Crypto Under Biden
The scrutiny against cryptocurrency has been one of the largest issues that people who believe in the decentralized currency have against the SEC. Many have claimed that it was targeting industry.
During the Biden administration, the crypto industry faced a significant chokehold, with many facing massive lawsuits that led to either shutting down or almost doing so.
The Biden administration’s SEC, led by its chair, Gary Gensler, made significant landmark cases against the crypto industry. The SEC has pursued the likes of Coinbase, Binance and its CEO, Changpeng Zhao, eToro, Ripple Labs, NFT platforms like OpenSea, and more companies, which has become something that Trump wanted to change.
Trump went on to fire SEC Chair Gary Gensler, claiming that he is specifically targeting the crypto industry and preventing regulations from pushing through.
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