Kentucky has dropped its lawsuit against Coinbase on the setting of services and has become the third US state that has been running legal steps against the stock market in recent months.
On March 31, the Kentucky Department of Financial Institutions submitted A joint determination of dismissal, who officially ended his case that Coinbase accused of offering non -registered effects through his deployment program.
After the move, Coinbase Chief Legal Officer Paul Grewal went to X and called for federal clarity.
“The congress must terminate this approach driven by the State with a federal market structure law as quickly as possible,” he written.
The exit of Kentucky follows comparable resignation by Vermont and South Carolina. Vermont withdrew on March 14, with reference to the dismissal of the federal case of the US Securities and Exchange Commission and the need for clearer national rules.
The SEC itself set the tone earlier this year when it voluntarily dropped its lawsuit against Coinbase on 27 February. The agency said that the move would help its broader efforts to reconsider and reform how it approaches the crypto regulations.
South Carolina followed Vermont and rejected the case only a few days later, where Grewal noticed when local users lost around $ 2 million to strike rewards because of the prohibition.
Within a few hours after the suit was dropped, the exchange confirmed that setting was again live in South Carolina about all access points.
A group of ten states originally focused on Coinbase in June 2023 after the sec had sued the exchange. At the time, supervisors argued that the Coinbase deployment program was essentially a non -registered supply of securities because users earned rewards by delegating their tokens through the platform.
From now on, seven states, namely California, New Jersey, Illinois, Washington, Alabama, Maryland and Wisconsin, still have actions against Coinbase.
Kentucky dropped the Coinbase right case less than a week after Governor Andy Beshear signed the “Bitcoin Rights” law in the law. It protects the right to self-coasts, enables residents to have blockchain nodes work and to protect mining activities against discriminatory regulations.
Legislators also weigh a separate one proposal That would allocate the state up to 10% of its surplus reserves to Bitcoin.
