Kraken and the U.S. Securities and Exchange Commission (SEC) have filed a joint stipulation regarding a discovery dispute in an ongoing case.
Conflict Over Documents
On December 23, 2024, Kraken, through its parent companies Payward Inc. and Payward Ventures, filed a stipulation in response to SEC's objections to document requests. Magistrate Robert M. Illman denied Kraken's request to compel the SEC to produce these documents, but Kraken plans to resubmit narrowed requests in accordance with the court's order.
Kraken's Questions to SEC
The SEC's stance has been heavily criticized by Kraken and the broader crypto industry for failing to explain why Bitcoin and Ether are excluded from their complaint. These assets are traded on the Kraken platform similarly to other tokens, causing confusion. Kraken also expressed concern about former SEC official William Hinman's speech and its effect on the regulatory approach toward digital assets.
Role of Kraken's Attorney
Kraken is represented by attorney Matthew C. Solomon, known for handling several high-profile cases, including the defense of Ripple CEO Brad Garlinghouse.
Kraken and the SEC will continue discussions, with the deadline for filing objections extended to March 31, 2025, to attempt to resolve the dispute.
