• U.S. regulators have been policing the crypto space with a prosecution-first approach since November 2022.
• In response, law firms are staffing up on crypto specialists, such as Laurel Loomis Rimon who recently joined Jenner & Block from rival firm Paul Hastings.
• Coinbase is already preparing to take on regulators in the courts over their staking services, which they believe are not securities.
U.S. Regulatory Crackdown
The U.S is actively cracking down on the crypto industry with a prosecution-first approach since FTX dramatically fell in November 2022. This has led to backlash from companies like Coinbase, Ripple, Gemini and more. Law firms are now also taking note and staffing up on crypto specialists to meet this increased demand for crypto legal advice and representation in court cases that may arise due to these regulations.
Staffing Up On Crypto Experts
Law firms have been recruiting experienced lawyers with expertise in cryptocurrency regulation and enforcement to help them handle any potential legal issues that may arise from this increased regulatory scrutiny of the industry. One example of this is Laurel Loomis Rimon who recently moved from Paul Hastings to Jenner & Block with the intention of heading up their growing crypto needs practice at a time when regulation is intensifying around cryptocurrencies.
Coinbase Prepare To Litigate
Coinbase has already stated that they are ready to litigate against the SEC should it come down hard on them with any Wells Notice or concerns about their staking services which they believe are not securities under the Securities Act of 1933 but open to interpretation which can be difficult to defend in court without proper legal counsel with experience in cryptos..
In conclusion, it is clear that U.S regulators have been actively policing the crypto space since last year leading law firms across America to staff up on qualified experts equipped with knowledge regarding cryptocurrency regulation and enforcement just incase they ever face any potential legal issues in court as a result of these regulations. Companies like Coinbase have already begun preparing for litigation if necessary as well as understanding how ambiguously written laws such as The Securities Act of 1933 could affect them should it be used against them by U.S regulators when enforcing their regulations against them or other cryptocurrency companies within America’s borders