- Grayscale and SEC are to present the case in an oral argument to the SEC come March.
- Grayscale expresses frustrations over SEC’s decisions as its recently filed lawsuit against SEC remains significant for Crypto.
The cryptocurrency market might have to brace itself for one of the most important court cases this year. A motion recently filed by a court has requested that Grayscale and the United States Securities and Exchange Commission make appearances to present an oral argument.
The filing was made in reference to the recent lawsuit that was filed by Grayscale, against the SEC.
The court motion was filed on the 23rd of January by an appeal court in the U.S., for the District of Columbia circuit. The court explains that Grayscale and the SEC’s case is now being scheduled for an oral argument. The oral argument will take place at 9:30 AM, on the 7th of March, 2023.
Thirty days before the oral argument takes place, the names of panel members for the argument will be disclosed to the public on the court’s official website.
The filing added;
The time and date of oral argument will not change absent further order of the Court.A separate order will be issued regarding the allocation of time for argument.
In an oral argument, the case is presented to the court verbally. Questions from the Intermediate appellate court judges, or the supreme court justices, might be thrown at lawyers or parties representing both sides of the case. Lawyers are typically given 30 minutes each, to answer these questions, and also make a case for their clients.
The outcome of Grayscale’s lawsuit holds significance for Bitcoin price
The result of the oral argument, as well as the upcoming lawsuit, will have a significant impact on the entire cryptocurrency industry. The result of the lawsuit could either allow or deny Grayscale’s request, asking the SEC for permission to convert its $12 billion Grayscale Bitcoin Trust (GBTC) into a spot-based ETF.
After the SEC declined Grayscale’s request in June 2022, Grayscale responded in a reply brief, stating that the SEC was biased in its decision, and crossed its boundaries in refusing to approve Grayscale’s previous Bitcoin ETF application.
The CEO of Grayscale, Michael Sonnenshein, in a recent interview with CNBC’s Squawk Box, pointed out what he believes the SEC should and shouldn’t do, with regard to crypto and its investors.
"Crypto is here to stay. Regulators are not here to tell investors what to and what not to invest in. They're here to ensure all the proper disclosures are made…so investors understand all the risks associated," says @Grayscale @sonnenshein. "That's really the role of the SEC." pic.twitter.com/k30y6DewBe
— Squawk Box (@SquawkCNBC) January 24, 2023
It’s important to remind, the role that regulators like the SEC play when it comes to investors. They’re not here to tell investors what to or what not to invest in. They’re here to ensure all the proper disclosures are made so (investors) are aware of all the risks associated.
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He added that Grayscale wasn’t prepared for the court to respond to its lawsuit against the SEC until the second or third quarter of the year.
Sonnenshein expressed frustrations over the fact that Grayscale and its investors are U.S.-born businesses/businessmen that have been abiding by U.S. regulatory policies in its mission to serve crypto investors.
