Coinbase Case Nears Conclusion as SEC Shifts Focus Under Trump’s Regulatory Changes

The U.S. Securities and Exchange Commission (SEC) is preparing to conclude its aggressive approach to cryptocurrency enforcement, with a potential resolution on the horizon for its ongoing lawsuit against Coinbase.

The SEC has requested a 30-day extension to respond to Coinbase’s legal challenge, which seeks to push the exchange to comply with the same regulations as traditional stock exchanges. This move is part of the broader shift in regulatory priorities, influenced by President Trump’s new directive for federal agencies to develop a fresh regulatory framework for the crypto industry.

Meanwhile, Coinbase’s recent Q4 earnings report has shown a sharp increase in revenue and profits, as investors place their bets on a crypto resurgence driven by policies under Trump’s administration. While the SEC moves cautiously, Tether, which holds a dominant share of the stablecoin market, is actively working with lawmakers to shape stablecoin regulations.

With Tether’s market dominance, the company is advocating for its voice to be included in the regulatory conversations, particularly concerning the need for monthly audits and 1:1 reserves with approved assets.

Tether’s CEO emphasized that despite the uncertainties, the company is committed to adapting to U.S. legislation and ensuring its continued role in the crypto market. In parallel, the Commodity Futures Trading Commission (CFTC) is undergoing leadership changes, as Trump continues to reshape the regulatory landscape, aiming for policies more favorable to business and cryptocurrencies. New CFTC enforcement head Brian Young and pro-crypto policy advocate Brian Quintenz are key figures in this regulatory overhaul, as the agency shifts its focus to enhancing enforcement and improving oversight of the crypto space.