Coinbase has moved to shift Oregon’s lawsuit regarding unregistered securities sales to federal jurisdiction, accusing the state of overstepping its legal authority and conflicting with national efforts to regulate digital assets.
Coinbase Labels Lawsuit a “Regulatory Land Grab”
In a court filing submitted Monday evening, Coinbase argued that Oregon’s Attorney General is attempting to dictate national crypto policy through a state-level lawsuit. The company criticized the legal action as interfering with bipartisan federal efforts to bring clarity to digital asset regulations.
“This lawsuit is a regulatory land grab,” the filing reads. Coinbase claims Oregon is stepping in where federal regulators have chosen not to act, creating a disjointed patchwork of crypto laws that could confuse platforms and investors alike.
Federal SEC Case Already Dismissed
Coinbase emphasized that the Securities and Exchange Commission (SEC) previously dismissed a similar case against the company in February, shortly after a change in U.S. presidential administration. That dismissal was made “with prejudice,” meaning the case cannot be refiled at the federal level.
“What you have here is Oregon, and only Oregon, trying to revive the SEC case,” Coinbase’s Legal VP stated. The company asserts that resurrecting this case at the state level undermines federal judicial decisions and introduces legal uncertainty.
Challenges to Oregon Attorney General’s Authority
Coinbase questioned the legal standing of Oregon’s Attorney General to even bring the case, noting that securities regulation in the state typically falls under the Division of Financial Regulation.
“The Attorney General seeks to stretch his limited enforcement authority beyond the breaking point,” the company wrote. Coinbase alleges the move is politically motivated rather than grounded in legal concern or consumer protection.
Coinbase: Crypto Regulation Should Be Bipartisan
Coinbase also pushed back against the idea that the dispute is politically driven in a partisan sense. The company cited examples from both red and blue states — including Vermont, Kentucky, and Illinois — where crypto litigation has been dismissed.
“Crypto has become more bipartisan,” Coinbase stated, calling Oregon’s action an outlier. The company believes the motivation behind the lawsuit is more about gaining headlines than genuine concern for Oregon investors.
Coinbase Will Not Exit Oregon Market Voluntarily
“We are not pulling out of the state unless we are required to,” Coinbase affirmed. The company pledged to vigorously defend its position and maintain operations in Oregon unless legally forced to withdraw.
“We are going to fight, because what Oregon has done is wrong,” the company concluded.