In an X post published yesterday, Coinbase CEO Brian Armstrong claimed that his company had reached an agreement with the US Securities and Exchange Commission to drop the regulator’s legal action against the exchange. Armstrong’s post has created excitement in the crypto community. Ripple CEO Brad Garlinghouse has responded enthusiastically to the post. He has noted that the SEC is moving on quickly from the flawed policy framework of the past. Let’s dive in for more details!
SEC Drops Case Against Coinbase Without Penalties
It was in 2023 that the US SEC originally initiated its legal action against Coinbase. The US regulatory agency alleged that Coinbase had violated laws by offering investments without properly registering.
In the post, Armstrong stated that the SEC had agreed to dismiss the legal action against Coinbase. The Coinbase CEO specifically noted that the settlement agreement does not require the exchange to pay any fines or make any changes to how it works.
Interestingly, the SEC has not yet made a public statement on the development.
Brand Garlinghouse Reacts to the SEC’s Decision
Brand Garlinghouse is one of the key cryptocurrency business leaders who have come forward to express excitement about the development.
It appears that Garlinghouse sees this as a sincere effort to move away from the oppressive regulatory policy framework of the previous regime.
Could Ripple Be Next? Analysts Weigh In
Attorney Jeremy Hogan has predicted that the SEC may make some big moves in the near future.
Notably, former SEC official John Reed Stark has forecasted that the SEC’s lawsuit against Ripple may be withdrawn soon.
Hogan has also supported the prediction made by Stark.
The SEC recently filed its opening brief against Ripple in a legal proceeding. The crypto firm has until April 16 to submit its cross-appeal brief.
