Coinbase Sues SEC and FDIC for Transparency in Cryptocurrency Regulations

Key takeaways

Coinbase sues SEC and FDIC for access to cryptocurrency regulation documents.
The lawsuits are part of Coinbase’s efforts to challenge what it considers unfair regulatory practices.

According to FOX Business, Coinbase has initiated legal proceedings against the Securities and Exchange Commission (SEC) and the Federal Deposit Insurance Corporation (FDIC). A US cryptocurrency exchange is demanding access to documents detailing regulators’ position on cryptocurrency regulation.

The lawsuits, filed in U.S. District Court in Washington, seek to uncover what Coinbase describes as a coordinated effort by financial authorities to block crypto firms from accessing the U.S. banking system.

“For years, financial regulators – including the SEC, FDIC and Federal Reserve Board – have used every tool at their disposal to cripple the digital asset industry,” a Coinbase spokeswoman told FOX Business.

The purpose of the company’s legal move is to deny the SEC and FDIC information required under the Freedom of Information Act, including details about SEC investigations and “standstill letters” sent by the FDIC to banks asking them to halt all cryptocurrency-related activities.

Moreover, Coinbase’s lawsuit accuses the SEC and FDIC of using similar bases to deny Coinbase information it seeks, such as whether agency executives are using coordinated pressure tactics to “cut” the $2 trillion digital asset industry from its bloodstream, according to report, federal banking system.

This legal challenge is part of a broader effort by Coinbase to gain clarity on the application of securities laws to digital assets in the context of ongoing litigation in New York in which the Securities and Exchange Commission is accusing Coinbase of offering unregistered securities.