XRP Back in Court Spotlight as Oregon Sues Coinbase Over 31 Tokens

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In a 47-page complaint filed in Multnomah County Circuit Court, the Oregon Department of Justice is accusing Coinbase of enabling illegal securities trading by offering at least 31 crypto tokens, including ‘XRP, ADA, SOL, and UNI, without proper registration.

The Oregon Coinbase XRP lawsuit is the first state-level enforcement action of its kind since the U.S. Securities and Exchange Commission backed down from several high-profile crypto ‘cases. Oregon’s Attorney General says Coinbase “participated or materially aided” the purchase and sale of crypto assets that are investment contracts, thus securities. According to the filing, both Coinbase’s main platform and its institutional service, Coinbase Prime, allowed Oregon residents to trade these assets.

Tokens Named: XRP, AAVE, UNI, and More

The complaint lists a wide range of digital assets Oregon considers unregistered securities. Among the 31 named tokens are XRP, AAVE, UNI, FLOW, and LINK. Federal regulators previously scrutinized these same assets but were not part of the SEC’s final enforcement strategy in 2024 and early 2025.

Justin Slaughter, head of policy at crypto investment firm Paradigm and a former senior adviser at both the SEC and CFTC, called the suit “broad”.

“The Oregon AG suit covers more tokens than the SEC complaint did… It’s a true kitchen sink lawsuit,” he said on X.

The complaint also notes Coinbase’s role in allowing trades “with consistent pricing across platforms”, implying a level of market coordination the state says is a securities exchange.

*Oregon Coinbase XRP Lawsuit Lists 31 Tokens as Securities*

Ripple’s XRP Back in the Regulatory Spotlight

The inclusion of XRP in the ‘Oregon lawsuit is notable, as the SEC reportedly dropped its lawsuit against Ripple Labs in March 2025. That case, which started in 2020, alleged Ripple sold XRP ‘as an unregistered security. After a 2023 federal court ruled XRP is not a security when sold on secondary markets, the SEC declined to appeal.

Ripple CEO Brad Garlinghouse responded to the Oregon filing via a spokesperson: “Ripple will continue to focus on federal regulatory clarity. State-by-state lawsuits create uncertainty and confusion that hurts innovation.”

Coinbase Response: Platform Says No Violations

A Coinbase spokesperson told The Block on April 23:

“We are in compliance with all applicable laws and will address these claims. We believe the assets on our platform are not securities.”

Coinbase Chief Legal Officer Paul Grewal said on X:

“This lawsuit is why America needs one set of federal crypto rules. State-by-state is a patchwork.”

Federal vs. State: The Growing Regulatory Rift

The Oregon filing shows the growing divide between state and federal approaches to digital asset regulation. Just weeks ago, the SEC dropped its lawsuits against both Coinbase and Ripple, reflecting a policy shift under Chair Paul Atkins towards crypto-friendlier oversight.

Under Atkins’ leadership, the SEC has backed off several cases launched under former Chair Gary Gensler. Legal experts say the agency is now prioritizing rulemaking over enforcement, especially with bipartisan congressional pressure to create a comprehensive crypto regulatory framework.

However, states like New York and Oregon are taking matters into their own hands.

“We’re seeing a fractured regulatory regime emerge — one where crypto firms may comply federally but are vulnerable to state-level interpretations,” said Alexandra Damsker, a former SEC lawyer and blockchain legal consultant, in an April 24 interview with Decrypt.

What This Means for Crypto Firms Operating Nationwide

This case raises big questions for crypto exchanges operating across the country. If the court rules in Oregon’s favor, firms like Coinbase may have to register individual tokens with each state or shut down in states with more aggressive oversight.

The lawsuit could also chill innovation by creating compliance hurdles for projects that thought they were good to go following the SEC’s legal reversals. Ripple’s cleared federal case had given XRP the green light, but Oregon’s challenge might have just put that on hold.

FAQs

What does the Oregon Coinbase XRP lawsuit claim?

The lawsuit claims Coinbase facilitated the trading of 31 unregistered securities, including XRP, without following Oregon’s state-level securities laws.

Is XRP still a security?

At the federal level, the SEC dropped its case against Ripple and a court ruled XRP is not a security when traded on secondary markets. But Oregon considers it a security under its state laws.

How does this affect Coinbase?

If Oregon’s court agrees with the complaint, Coinbase could face penalties or have to delist certain assets from its Oregon offerings.

What’s different about this case vs. the SEC’s actions?

Unlike the SEC, which recently dropped lawsuits against Ripple and Coinbase, Oregon is taking a more aggressive stance at the state level and includes more tokens.

Will other states follow Oregon’s lead?

Experts say this could lead to similar lawsuits in states like California, Illinois or New York if successful.