Today the cryptocurrency market is focused on the SEC-Coinbase case. At this point, as the trial began, the first statements began to come.
In her post, Fox Business reporter Eleanor Terrett asked the SEC lawyer of the judge presiding over the case whether Bitcoin is “an effective currency because it replaces fiat.”
Avoiding giving a clear answer to this question, the SEC lawyer stated that Bitcoin is different from other cryptocurrencies and said:
“Bitcoin is different from other cryptos.
What makes Bitcoin different is that it does not have an ecosystem, whereas this is different from other tokens.
Because when you buy a different token, you buy their entire ecosystem and the entire incentive.”
When Judge Failla asked the SEC lawyer whether #Bitcoin was "effectively currency as it is a replacement for fiat" he avoided a direct answer and answered “What makes Bitcoin different is that it does not have an ecosystem whereas when you buy these other tokens you buy their…
— Eleanor Terrett (@EleanorTerrett) January 17, 2024
The SEC lawyer also said that the SEC does not control all the cryptocurrencies on Coinbase, but Bitcoin is the only non-securitized asset among the tokens on Coinbase.
While the case was pending, Judge Failla, who was presiding over the case, asked the SEC attorney why he should not listen to senator Lummis, who told him he should dismiss the case.
“He is not just a random Senator, he is someone who is deeply involved in this space (crypto),” the judge told the SEC attorney. Why is he wrong? asked.
SEC lawyer says one Senator's opinion should not invalidate 90-year-old securities law.
This answer must not have satisfied Judge Failla, who referred to the Howey Test and said, “We've had a good run. We've had 90 years where these securities laws have been applicable to these markets. But now we have something new.” said.
This may be Judge Failla's biggest statement yet. Because Judge Failla said that the US Securities Act of 1933 is outdated and does not allow new technologies such as crypto.
“We've had a good run… but this is something new,” the judge said. said.
This might be the biggest statement from Judge Failla thus far.
She all but said the Securities Act of 1933 is outdated and doesn’t allow for new technologies like crypto.
“We’ve had a good run…but this is something new.” https://t.co/mlzW3nSxvk
— Eleanor Terrett (@EleanorTerrett) January 17, 2024
*This is not investment advice.
