A U.S. judge has approved Consensys’ request for an expedited schedule in their lawsuit against the U.S. Securities and Exchange Commission (SEC). Judge Reed O’Connor granted the request, setting a timeline for the court to consider the merits of Consensys’ case against the regulator. Bill Hughes, senior counsel for Consensys, shared details of the judge’s ruling on July 2.
The case will focus on whether the SEC has the authority to regulate MetaMask as a securities broker and issuer. The SEC has until July 29 to file its response, and opening briefs on the dispositive motions are due by September 20, 2024. Any amicus briefs must be filed by October 4, with opposition briefs due by November 1, 2024. Hughes anticipates a ruling on the case in December, possibly around Christmas.
This development follows the SEC’s lawsuit against Consensys over its MetaMask platform and staking services. Consensys had previously filed a lawsuit in April seeking a ruling that Ethereum is not a security and that MetaMask is not a broker-dealer. In June, Consensys announced that the SEC had ended its investigation into Ethereum 2.0, but the SEC later filed its own lawsuit alleging securities violations by Consensys. Specifically, the SEC claims that MetaMask is an unregistered broker offering unregistered securities.
The legal battle between Consensys and the SEC continues to unfold, with both parties presenting their arguments and evidence before the court. The outcome of this case could have significant implications for the regulation of digital assets and blockchain technology in the United States. As the proceedings progress, stakeholders in the crypto industry will be closely watching to see how the court rules on these complex and contentious issues. Stay tuned for further updates on this developing story.