SEC judge in Kraken case hints at denial of motion to dismiss

In the SEC's legal dispute against Kraken, Judge William Orrick hinted that he would deny the exchange's motion, pointing out that crypto assets could be sold as securities on its platform. Kraken's lawyers rejected the SEC's claim that it was an "ecosystem" of securities, saying it should not be given special treatment. The judge has not yet made a final ruling, but indicated his preference at the hearing, saying the discovery phase would be completed within a year.
The SEC filed a lawsuit against Kraken in November 2023, and Kraken had earlier reached a $30 million settlement with the SEC. Although the case did not directly involve ether (ETH), the SEC's investigation into ether was closed, designating it as a commodity.