In the insider trading prosecution that the United States Securities and Exchange Commission is now conducting against former Coinbase workers, the SEC has once again been accused of going beyond the scope of its power and incorrectly classifying cryptocurrencies as securities.
The U.S.-based Chamber of Digital Commerce argued in an amicus brief that was filed on February 22 that the case should be dismissed because it represented an expansion of the SEC’s “regulation by enforcement” campaign and seeks to characterize secondary market transactions as securities transactions. The Chamber of Digital Commerce argued that the case should be dismissed because it represented an expansion of the SEC’s “regulation by enforcement” campaign.
“This case represents a stealthy, yet dramatic and unprecedented effort to expand the SEC’s jurisdictional reach and threatens the health of the U.S. marketplace for digital assets,” wrote Perianne…
