Coinbase Sues SEC, FDIC Over FOIA Violations
Coinbase filed a lawsuit against the United States Securities and Exchange Commission and the Federal Deposit Insurance Corporation (FDIC).
According to Fox Business, the lawsuits, filed on June 27, allege that the SEC and FDIC failed to comply with Freedom of Information Act (FOIA) requests filed in District Court for the District of Columbia.
Coinbases lawsuits accuse federal agencies of trying to isolate the crypto industry from the banking sector.
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FOIA requests
The SEC-focused FOIA requests seek information on the federal agency's perspective on Ethereum, specifically the blockchain's approach to Proof-of-Stake (PoS) consensus.
Coinbase released records related to Ethereum 2.0 and previous investigations related to Zachary Coburn and Enigma MPC by consulting firm History Associates Inc.
According to legal filings, Story Partners said:
“For nearly two years, several federal financial regulators – the Securities and Exchange Commission (“SEC”), the FDIC, and the Federal Reserve Board – have used every regulatory tool to target the digital-asset industry. This FOIA lawsuit seeks to clarify the FDIC's role in that illegal scheme.”
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Coinbase charges
Coinbase's complaints argue that regulatory actions against the crypto industry are part of a broader effort to weaken it.
The lawsuits describe the actions of the SEC and the FDIC as a “coordinated attempt to disrupt the essential banking services of digital asset firms.”
According to legal filings, the SEC's refusal to release records from completed investigations appears on Coinbase:
“Intentional Obstruction to Understanding the Legal Framework Behind Agency Enforcement Actions.”
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Ongoing regulatory disputes
This latest legal action is part of what History Associates describes in legal filings as “Coinbase's ongoing conflict with US regulators.”
Coinbase Chief Legal Officer Paul Grewal said on the X thread:
“Financial regulators have used many tools to cripple the digital asset industry. […] This is no way to control. This is not the way to run a transparent government.
According to legal documents, Coinbase's support for clear guidelines highlights the “broader debate about how digital assets are regulated in the US.”
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