Coinbase is adjusting its strategy in seeking to subpoena SEC Chair Gary Gensler, now focusing solely on his communications during his tenure as Chair. Initially, Coinbase sought access to Gensler’s private chats from before and during his SEC Chairmanship, arguing it was crucial for their defense against the SEC’s lawsuit. However, a July 15 filing indicates Coinbase’s decision to narrow their request following Judge Katherine Polk Failla’s reluctance about probing Gensler’s pre-chair statements.
Coinbase has decided to focus its subpoena on obtaining Gary Gensler’s documents solely from his tenure as SEC Chair. Initially, Coinbase sought access to communications dating back to 2017, before Gensler began teaching a “Blockchain and Money” course at Massachusetts Institute of Technology in 2018.
Coinbase argued that accessing Gensler’s private chats was crucial to tracing his evolving views on crypto regulation. However, Judge Failla expressed concerns about the burden of investigating Gensler’s statements before his tenure as chair.
Coinbase must file its opening brief for its motion to compel by July 23, with the SEC expected to respond by August 5. The SEC filed a lawsuit against Coinbase in June 2023, alleging violations of federal securities laws for listing 13 tokens as securities and operating as an “unregistered securities broker” since 2019, before its IPO in April 2021. Coinbase contends that the tokens in question do not meet the criteria for classification as securities under SEC regulations.
