Coinbase Demands Info from U.S. Regulators on Crypto Crackdown

What’s Happening?
Coinbase is asking U.S. regulators to come clean about their actions against crypto companies. The exchange filed two FOIA (Freedom of Information Act) requests, looking for documents that show how regulators are treating crypto-related activities in banks, according to their legal officer Paul Grewal.

We filed two new sets of FOIA requests in our continued effort to get any sort of clarity on how regulatory agencies are approaching digital assets. In short, so long as the government will not relent, neither will @coinbase. 1/3

— paulgrewal.eth (@iampaulgrewal) October 21, 2024

What Are They Investigating?

One of the main issues is a report that the FDIC (the government agency that insures bank deposits) has asked banks to limit crypto deposits to 15% of their total funds. Coinbase says this rule was introduced without the usual public input and wants more information about it.

Why It Matters

This isn’t the first time Coinbase has gone after regulators for more clarity. They’ve been asking for transparency for over a year and even sued the FDIC and SEC for not responding to previous requests. Now, Coinbase is back, trying to get answers about how crypto is being treated in the banking system.

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FDIC: A U.S. agency that protects bank deposits.
FOIA (Freedom of Information Act): A law that lets anyone ask for documents from the government to increase transparency.