Coinbase Says Crypto Like Beanie Babies in SEC Case Hearing (1)

Coinbase Global Inc. said buying cryptocurrency on an exchange was more like collecting Beanie Babies than investing in a stock or bond.

The biggest US crypto exchange made the comparison Wednesday in a New York federal court hearing. Coinbase was arguing for the dismissal of a Securities and Exchange Commission lawsuit accusing it of selling unregistered securities.

William Savitt, a lawyer for Coinbase, told US District Judge Katherine Polk Failla that tokens trading on the exchange aren’t securities subject to SEC jurisdiction because buyers don’t gain any rights as a part of their purchases, as they do with stocks ...