US senator says the SEC wants broad authority over the crypto sector


Cynthia Lummis filed an amicus brief to support Coinbase against the SEC’s suit. 

Cynthia Lummis is a US senator from Wyoming. She is known for her crypto-friendly nature. In the past, Lummis passed several positive statements to support the crypto sector and also suggests people to invest in Bitcoin. She also prepared a crypto bill with the help of some other senators, but that bill is waiting to get support & attention. 

On 11 Aug 2023, Cynthia Lummis filed an amicus brief to support the Coinbase exchange against the SEC’s suit. Through the amicus brief, Lummis stressed that SEC’s suit should be dismissed because “this is no run-of-the-mill enforcement case.”

According to the pro-Bitcoin US Senator, the US SEC is trying to bring to light how to regulate the crypto sector with the help of its enforcement action against crypto companies but this is not the right way.

Lummis stressed that the authority of the development of new rules & laws on any financial sector remains in the hands of Congress, not under any regulatory body.  

In short, Lummis tried to explain that Congress should bring rules & laws for the crypto sector and further SEC & other bodies should follow the rules to regulate this innovative financial sector.

Earlier this on 4 Aug 2023, the Coinbase team filed a motion in the court to dismiss the SEC’s charges. According to the Coinbase representatives, the American securities regulatory body violated due process, abused its discretion, and abandoned its own earlier interpretations of the securities laws 

As per the Court filing, Lummis tried to explain that the SEC agency is trying to interfere in those things which are not under its Authority. According to Lummis, the SEC body oversteps its authority by claiming that nearly all crypto assets are securities.

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