Coinbase, the largest U.S. cryptocurrency exchange, has sued the SEC and FDIC for not complying with information requests in closed crypto cases.
The lawsuits, filed in the United States District Court for the District of Columbia, aim to compel the agencies to adhere to the Freedom of Information Act (FOIA).
Coinbase argues that the SEC is overstepping its authority in the crypto sector without proper legal justification and is targeting crypto firms through enforcement actions.
Alongside History Associates, Coinbase requested SEC records on three investigations into crypto firms, including Ethereum, which the SEC previously said was not a security.
Despite the SEC closing its investigation into Ethereum 2.0, it withheld records from other closed investigations, which Coinbase claims violates FOIA.
Coinbase’s chief legal officer, Paul Grewal, also noted that the FDIC has ignored requests to stop financial institutions from pausing crypto activities, which the FDIC’s Office of Inspector General criticized for stifling innovation.
Grewal emphasized the need for better regulation and transparency from financial regulators. Meanwhile, the SEC continues its lawsuit against Coinbase, alleging the exchange operates as an unregistered securities exchange.
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