Coinbase retaliated against legal action by the state of Oregon, arguing that the case should be treated before the Federal Court and not at the level of the state. Crypto Exchange indicates that the case deals with national problems that could affect the way digital assets are regulated in the United States
Paul Grewal, legal director of Coinbase, explained the position of the company on X (formerly Twitter), saying: “Federal questions belong to the Federal Court”.
He accused Oregon of having tried to bypass the wider federal decisions concerning the crypto by keeping the case before a state court. “It would be a huge step back that only hurt consumers,” he added.
Why the Oregon Suite Coinbase?
Earlier this year, the Attorney General of Oregon Ellen Rosenblum continued Coinbase, saying that he had violated the laws of the States by offering unregistered titles to residents of Oregon. This decision is part of a broader effort of certain American states to make the leaders of cryptographic regulations because they believe that the federal government has not done enough.
But Coinbase says that Oregon exceeds. The company argues that this trial calls into question the national standards on the way in which digital assets are dealt with, in particular to know if they count as titles under federal law.
The federal role of risky cornerbase
Coinbase also said that he helped the American Marshals service to manage the cryptographic assets seized and that the Oregon trial could make more difficult for the government to rely on Coinbase for these services. “If each state did this, the American marshals would not have a reliable national platform,” said the company.
Larger image: federal quarter in progress
The argument of Coinbase is supported by recent federal measures to clarify the rules of cryptography. Earlier this year, the SEC abandoned its own trial against Coinbase and announced plans for clearer directives. Meanwhile, Congress works on new legislation which could finally define how digital assets are managed across the country.
For the moment, the court has not decided if the Oregon case will remain before the State Court or will be transferred to the Federal Court. But the result could shape the functioning of cryptography regulations in the United States for the years to come.
