Coinbase has officially submitted two Freedom of Information Act (FOIA) requests targeting U.S. regulators, aiming to uncover details regarding the government’s crackdown on cryptocurrency activities involving American banks.
In a recent tweet, Paul Grewal, the company’s Chief Legal Officer, highlighted that Coinbase is seeking clarity on a purported 15% deposit limit imposed by the Federal Deposit Insurance Corporation (FDIC) on banks dealing with crypto companies. The firm argues that this regulation was enacted without the public input typically mandated by U.S. law. Grewal stated that the objective of these requests is to acquire documents related to this cap and understand its implications for the cryptocurrency sector.
Additionally, the second FOIA request aims to obtain records regarding how the FDIC and other regulatory bodies have responded to prior FOIA inquiries related to cryptocurrencies.
These latest requests follow a series of legal actions taken by Coinbase in 2023 against the FDIC and the U.S. Securities and Exchange Commission (SEC) for failing to comply with previous FOIA submissions. Last year, Coinbase sought documents from the SEC concerning the agency’s classification of Ethereum (ETH) and its staking pools, an area that remains ambiguous.
Coinbase has also expressed concerns over “pause letters” allegedly issued by the FDIC to banks, urging them to slow down their crypto-related operations. Grewal clarified that these recent requests are distinct from FOIA filings made over a year ago, which are currently part of ongoing federal lawsuits.
Furthermore, Coinbase has become increasingly involved in the political arena, advocating for pro-crypto regulation through its “Stand with Crypto” campaign and establishing a political action committee (PAC) in March 2024. This initiative is part of Coinbase’s strategy to influence the future of crypto regulation, particularly with the upcoming U.S. presidential election in November.
In previous statements, Donald Trump, the Republican nominee, has voiced strong support for positioning the U.S. as a leader in the cryptocurrency space, while Democratic candidate Kamala Harris has remained less outspoken on the issue.
Coinbase’s recent FOIA filings reflect its commitment to promoting transparency and equitable regulation within the cryptocurrency industry. Grewal asserted the company’s resolve, stating, “So long as the government will not relent, neither will Coinbase.”
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