Coinbase Fires Back at FDIC: Demands Transparency in Crypto Crackdown

Hold onto your hats, crypto fans! Coinbase just threw down the gauntlet in the D.C. District Court, reigniting its Freedom of Information Act lawsuit against the Federal Deposit Insurance Corporation. They're not messing around!

The exchange is fuming, claiming the FDIC is playing hide-and-seek with crucial documents and giving them the cold shoulder on their info requests. Coinbase isn't taking this lying down!

This legal showdown is all about getting the dirt on the FDIC's secret chats with banks about crypto activities, especially those shady "pause letters" that told banks to slam the brakes on crypto services. What are they trying to hide?

The lawsuit hit the pause button back in February 2025 when President Trump appointed Travis Hill as the acting FDIC chairman. Hill promised to spill the beans beyond what FOIA demands, sparking hope that they could hash things out without a courtroom brawl. But it looks like that hope was just a pipe dream!

Coinbase's Chief Legal Officer, Paul Grewal, spilled the tea to Eleanor Terrett, saying they're still not happy with the FDIC's transparency game. Sure, things have gotten a bit better under the new boss, but it's still not cutting it for Coinbase.

The FDIC better buckle up because they've got two weeks to respond to Coinbase's fiery motion. The clock is ticking!

FDIC and Banking: A Crypto Rollercoaster

In a wild twist, the FDIC just dropped a bombshell, saying banks don't need to ask for permission to dive into legally allowed crypto activities anymore, as long as they keep those risks in check. Talk about a 180-degree turn from the last administration's crypto-shy attitude!

But Coinbase isn't letting up. They're on a mission to expose what they call "Operation Chokepoint 2.0," a supposed secret plan by financial watchdogs to cut off the crypto industry's lifeline to banking services. It's like a real-life spy thriller!

Thanks to some previous FOIA requests, Coinbase got their hands on docs showing the FDIC sending out letters to banks, telling them to hit pause on crypto activities. Coinbase is convinced it's all part of a master plan to kill crypto innovation dead in its tracks. The battle is on, and Coinbase is ready to fight for the future of crypto!