Coinbase is accusing Chair Gary Gensler's U.S. Securities and Exchange Commission of improper procedure in its handling of crypto oversight. (Jesse Hamilton/CoinDesk)

Coinbase Accuses U.S. SEC of Breaking the Law in Rejecting Crypto Rulemaking

Summary

Coinbase accuses SEC of ignoring law by rejecting its petition for crypto rules. The company argues that the SEC has acted arbitrarily and capriciously, demanding compliance without providing stable standards. The lawsuit aims to force the SEC to explain its inaction and allow public input. The legal challenge is separate from Coinbase's court fight with the SEC over running an unregistered exchange. The SEC's rulemaking efforts and court judgments on crypto matters have been mixed, with ongoing cases likely to move through appeals.