SEC Signals Path to Ending Coinbase Lawsuit — WSJ

By Dave MichaelsThe Securities and Exchange Commission is laying the groundwork to wrap up the marquee crypto enforcement actions it filed during the Biden administration.One of the biggest, a case filed in 2023 against Coinbase, could be settled soon, the agency disclosed in a court filing on Friday.The lawsuit was aimed at forcing crypto exchanges such as Coinbase to comply with the same regulations that apply to stock exchanges and brokerages. Big crypto firms fought the cases, arguing it is technically infeasible for digital assets to comply with rules written for Wall Street.The Trump administration backs a friendlier approach to crypto. President Trump last month told federal agencies, including the SEC, to recommend a new framework for overseeing digital assets.The SEC's new approach "could facilitate the potential resolution" of the case against Coinbase, the agency told an appeals court on Friday. The agency made the filing as it asked the appeals court, based in Manhattan, to give it 30 more days to address Coinbase's appeal arguments.The SEC made a similar request earlier this week when it asked for a pause of its lawsuit against Binance.Coinbase delivered its fourth-quarter earnings report on Thursday. The company's revenue and profit surged from a year ago, benefiting from a post-election rally fueled by investor optimism about a crypto golden age under the Trump administration.This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).