Coinbase has submitted a comprehensive set of proposals to the U.S. Securities and Exchange Commission (SEC) aiming to establish clearer guidelines for the crypto industry.
Coinbase's Proposals for the SEC
In a blog post published on March 20, 2025, Coinbase explained its submissions to the SEC. The company is urging the SEC to classify digital assets without enterprise rights as 'digital commodities' and to acknowledge Congress’s authority in defining their regulatory treatment. The proposal also seeks clarity that secondary market trading of digital commodities is not securities trading and emphasizes the need for tokenizing traditional securities.
Industry and SEC Response
Notably, the proposals were submitted in response to SEC Commissioner Hester Peirce’s request, who leads the SEC's newly established crypto task force. Peirce called for active engagement from industry participants. This initiative follows a tumultuous period in Coinbase’s relationship with the SEC, which included a 2023 lawsuit claiming Coinbase operated as an unregistered exchange and broker.
Coinbase-SEC Relationship History
On February 27, 2025, the regulator officially announced that it is dismissing the case against Coinbase, citing significant implications from the crypto taskforce's findings. Prior to this, another legal battle in January 2025 ended in Coinbase’s favor, with the U.S. Court of Appeals pressuring the SEC to provide more detailed explanations for its regulatory stance on digital assets.
Coinbase's proposals aim to create a more predictable and transparent regulatory environment for the crypto industry. This could lead to increased collaboration between regulators and the industry towards sustainable development of the digital asset sector.
