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Chief Legal Officer of Coinbase, Paul Grewal, spoke to lawyer John Deaton, host for the Twitter-based podcast CryptoLaw, concerning the change’s determination to proceed providing Algorand (ALGO). 

The U.S. Securities and Exchange Commission (SEC) earlier labeled Algorand as a safety in its charges against the Bittrex crypto exchange.

Notably, Coinbase delisted XRP based mostly on regulatory scrutiny in 2021. But it has but to do the identical with ALGO, even because the cryptocurrency faces an identical subject.

Paul Grewal Explains Coinbase Position On Algorand

In his interview, John Deaton mentioned the confusion amongst XRP’s neighborhood concerning Coinbase’s method to creating and reviewing itemizing selections. 

Paul Grewal acknowledged that secondary gross sales of belongings don’t make them securities. However, Deaton believes that the identical argument concerning secondary gross sales applies to XRP tokens. 

According to Deaton, XRP’s suspension from buying and selling on Coinbase was because of the argument that the token is a safety beneath U.S. legislation. 

However, Coinbase nonetheless gives ALGO to merchants, irritating XRP holders who really feel penalized. In response, Grewal reiterated Coinbase’s dedication to upholding the rule of legislation equally for everybody. He sympathized with the plight of XRP holders who consider {that a} double customary applies to varied conditions. 

Further, Grewal states that legal guidelines and circumstances modified and referred to Coinbase’s amicus brief supporting Ripple in November 2022. He believes crypto exchanges and initiatives should “team up to withstand a solid adversary,” the U.S. SEC. 

According to Grewal, the SEC shouldn’t be “above mistakes” in decoding the legislation, and the latest enforcements from the physique are politically motivated. 

Teamwork Necessary Moving Forward

These remarks come after a gathering between Paul Grewal and Ripple’s General Counsel, Stuart Alderoty. John Deaton remarked that the assembly confirmed two nice General Counsels main the entrance line within the battle to enhance crypto regulation within the United States. 

Two nice GCs main the entrance line in battle. I tip my 🧢 Gents. https://t.co/YYVBf5wl5h

— John E Deaton (@JohnEDeaton1) May 3, 2023

John Deaton had beneficial in a tweet in March 2023 that crypto firms going through SEC enforcement actions must share concepts. He believes they’ll create coordinated methods to defend themselves in opposition to the fee and its “excesses.”

Also, Attorney Bill Morgan reacted to the assembly between Coinbase and Ripple’s high authorized officers. He believes nothing is “better than teamwork against a common enemy.” Interestingly, Ripple and Coinbase confronted regulatory stress from the SEC on totally different events. 

The SEC charged Ripple for providing XRP tokens as unregistered securities in 2020. While the case continues, the fee served a Wells Notice to Coinbase in February 2023.

Meanwhile, some XRP enthusiasts have known as on Coinbase to relist XRP. According to XRPcryptowolf, Coinbase should relist XRP in the event that they “desire Ripple’s help to defeat the SEC.”

Featured picture from Coinbase and chart from Tradingview