The US Securities and Exchange Commission (SEC) has requested to extend its discovery deadline in the Coinbase lawsuit. The SEC cited the need for additional time to review over 133,582 documents. Coinbase has agreed to this extension, moving the deadline, initially set on October 18, 2024, to February 18, 2025, following the U.S. Presidential elections. Both parties acknowledge that the extra time is necessary to comply with the court’s requirements.
Timing of the Lawsuit
The lawsuit will take place after the U.S. elections, which could lead to shifts in administration and policy. This has the potential to impact the case, with analysts suggesting the election outcome may influence the direction of the lawsuit and future regulatory changes.
The results of this case could shape future rules for the crypto market. Regulatory authorities are increasing the scrutiny of these platforms to make sure they comply with financial regulations. The aim is to increase transparency and security for users worldwide.
SEC and Coinbase to Prepare Thoroughly
On the other hand, the extended discovery period allows both the SEC and Coinbase ample time to prepare, ensuring a more thorough and fair trial. Legal delays are common in high-profile cases involving emerging industries like cryptocurrency, underscoring the need for careful deliberation.
Both parties are bracing for a lengthy legal process, preparing to handle extensive evidence while monitoring regulatory developments. The extended discovery phase is expected to reveal detailed insights into Coinbase’s operations and its compliance with SEC regulations. This extended timeline ensures a comprehensive review of all aspects. The case could serve as a precedent for handling similar future cases.
Despite its ongoing lawsuits, Coinbase is always keen on expanding its offerings. Earlier this week, the company launched a new offering by the name of cbBTC. cbBTC is a stablecoin available on Ethereum network with Coinbase’s Layer-2 scaling solution, Base.
