Rather than respond to the Wells Notice privately, as most companies would do, Coinbase, as per usual, instead immediately went into full offensive mode and laid out their defenses on Twitter and elsewhere in an attempt to rally the mob, and publicly shame the SEC into backing off. For whatever reason, Coinbase believes a Twitter rant against the SEC (who will never respond, unless it is with a lawsuit) is the best way to do battle against a Wells Notice.
Not only are Coinbase’s argument weak, misguided and more akin to public relations than legal positions, but Coinbase’s arguments are also proven failures of crypto-mumbo-jumbo and ludicrous jaundiced rhetoric.
Leading with their four typical talking points, Coinbase asserts: 1) The SEC approved our business and is now going back on their word; 2) We met with the SEC and the SEC would not work with us; 3) We need regulatory clarity because the SEC is stifling innovation; and 4) This is another instance of the destructive SEC practice of regulation by enforcement.
Source: (20) Why Coinbase Will Lose Its Battle With the SEC (Wells Notice Edition) | LinkedIn
