The argument that crypto enforcement is a major question lost its first test last week, in a SEC lawsuit involving Terraform Labs Pte Ltd. Judge Jed Rakoff in the US District Court for the Southern District of New York found crypto wasn’t a major industry.
While Rakoff’s ruling was a win for the SEC, crypto companies are unlikely to abandon the argument. Coinbase said in a Aug. 4 court filing Rakoff got it wrong, and that the doctrine prohibits the SEC’s attempt to regulate digital assets.
Source: Crypto Companies Push High Court Doctrine Despite Terra Setback
