Categories: Trending now

Crypto Exchange Coinbase Sues SEC, FDIC, Alleging Regulatory Overreach

Coinbase has filed lawsuits against the Securities and Exchange Commission (SEC) and the Federal Deposit Insurance Corporation (FDIC), accusing the agencies of trying to cripple the crypto industry.

AD

The lawsuits, filed on June 27th in Washington D.C. district court, allege the SEC and FDIC failed to comply with Coinbase’s Freedom of Information Act (FOIA) requests. Coinbase says this information could shed light on coordinated efforts by regulators to restrict crypto’s access to banking services.

In its complaints, Coinbase asserts that federal regulators are deliberately campaigning to cut Bitcoin and crypto companies off from the banking system. This represents an existential threat to the industry by choking off vital financial lifelines.

AD

Coinbase points to regulators pressuring banks to deny accounts and services to Bitcoin and crypto firms. It likens this to “Operation Choke Point,” an Obama-era initiative discouraging banks from working with certain “high-risk” sectors.

The exchange argues regulators are violating transparency laws to hide the full scope of their crypto crackdown. Coinbase aims to expose regulatory overreach it says far exceeds agencies’ mandates.

- Advertisement -

However, legal experts caution that FOIA lawsuits face an uphill battle given agencies’ broad discretion over disclosure exemptions. Proving malicious intent by regulators could also prove difficult.

AD

Nonetheless, the cases represent Coinbase’s latest pushback against regulators like the SEC, with whom it is already locked in multiple legal battles. The exchange is defending the Bitcoin and crypto industry against regulatory hostility threatening its viability.

Coinbase’s accusations resonate with Bitcoin and crypto proponents who believe regulators are abusing their powers to deliberately slow technological advancements. 

News Today

Share
Published by
News Today

Recent Posts

Kareena Kapoor’s Next Untitled Film With Meghna Gulzar Gets Prithviraj Sukumaran On Board

Kareena Kapoor is working with Raazi director Meghna Gulzar for her next film. The project,…

14 hours ago

Purdue basketball freshman Daniel Jacobsen injured vs Northern Kentucky

2024-11-09 15:00:03 WEST LAFAYETTE -- Daniel Jacobsen's second game in Purdue basketball's starting lineup lasted…

14 hours ago

Rashida Jones honors dad Quincy Jones with heartfelt tribute: ‘He was love’

2024-11-09 14:50:03 Rashida Jones is remembering her late father, famed music producer Quincy Jones, in…

14 hours ago

Nosferatu Screening at Apollo Theatre Shows Student Interest in Experimental Cinema – The Oberlin Review

2024-11-09 14:40:03 A silent German expressionist film about vampires accompanied by Radiohead’s music — what…

14 hours ago

What Are Adaptogens? Find Out How These 3 Herbs May Help You Tackle Stress Head-On

Let's face it - life can be downright stressful! With everything moving at breakneck speed,…

14 hours ago

The new Mac Mini takes a small step towards upgradeable storage

Apple’s redesigned Mac Mini M4 has ditched the previous M2 machine’s SSD that was soldered…

14 hours ago