- Coinbase’s Chief Legal Officer expresses skepticism over the Friday judgment on X.
- Paul criticizes the court’s reliance solely on SEC filings, undermining credibility.
- Judge Tana Lin ruled in SEC’s favor, classifying secondary token sales on Coinbase (NASDAQ:COIN) as securities.
Judge Tana Lin in the Western District Court of Washington, issued a ruling on Friday stating that secondary token sales in question are securities, despite being traded on Coinbase, a secondary market. Following the ruling, a Twitter user tagged Paul Grewal, the Chief Legal Officer (CLO) of Coinbase seeking their comments.
In response, the CLO posted a thread on Twitter, expressing skepticism towards the judgment.
All of this is to say that in seeking default the SEC was pushing against a completely open door. It’s an example why courts generally do not give collateral estoppel effect to default judgments in other cases. They are not worth anything as precedent or persuasion. 5/6— paulgrewal.eth (@iampaulgrewal) March 3, 2024
The CLO pointed out that default judgments like this one occur when the defendant fails to contest the allegations. As a result, the judge is compelled to accept th…
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