The US Securities and Exchange Commission (SEC) has taken a firm stance against Coinbase’s recent request for novel regulatory frameworks to govern cryptocurrency operations. The filing of a countermotion on May 10 by the SEC attests to the regulator’s resistance to Coinbase’s call, emphasizing the adequacy of existing US securities laws in regulating crypto assets.

Coinbase’s original petition in July 2021 urged the SEC to initiate rulemaking for crypto regulations, a plea that was subsequently rebuffed by the regulatory body. In response, Coinbase escalated the matter by approaching the US Third Court of Appeals in an effort to compel the Commission to undertake the requested rulemaking. The SEC’s recent countermotion rebuts this push, asserting that there is no immediate need for a new regulatory framework in light of existing legal provisions.

The SEC maintains that its current application of established security regulations has been effective over several decades, rendering the creation of sweeping new regulations redundant. Addressing Coinbase’s argument concerning the lack of a “reasonable explanation” for the petition’s denial, the SEC asserts that they provided the exchange with a “brief statement” on the matter.

In a notable statement from the brief, the SEC emphasized that its enforcement actions against crypto-related businesses serve to validate the sufficiency of prevailing securities laws. The Commission underscored that the courts have upheld its authority over crypto assets, contradicting Coinbase’s allegations of an unauthorized “power grab” and an act of agency “self-aggrandizement.”

Shifting the focus to the broader crypto market, recent statistics reveal a marginal 0.19% uptick, bringing the total market valuation to $2.25 trillion. While major cryptocurrencies like Solana (SOL) and Binance Coin (BNB) experienced minor gains, the market leader Bitcoin faced a 3.71% decline, trading at $60,980.5.

Disclaimer: The information provided in this research report is for informational purposes only and should not be interpreted as financial or investment advice. The NFT and cryptocurrency market is highly volatile, and readers should conduct thorough research before making any investment decisions.