CandleFocus

FDIC ordered to cease ‘blanket redacting’ in Coinbase FOIA case

Author: Content Editor
FDIC ordered to cease ‘blanket redacting’ in Coinbase FOIA case
The Federal Deposit Insurance Corporation (FDIC) has been ordered to comply with a court order and make appropriate redactions to pause letters requested by cryptocurrency exchange Coinbase. This comes after Judge Ana C. Reyes criticized the excessive redactions made by the FDIC in response to Coinbase's Freedom of Information Act complaints. Coinbase's Chief Legal Officer, Paul Grewal, accused the FDIC of lack of good faith and inadequate compliance with the court order, suggesting that they may be withholding relevant information from the industry. The crypto industry, including Coinbase, has been facing issues with debanking by U.S. federal agencies, with allegations of a concerted campaign to deny crypto businesses access to bank accounts. Recently, documents obtained from the FDIC showed that the U.S. government ordered banks to suppress crypto, providing evidence of Operation Choke Point 2.0. The lack of clear rules for digital assets has further complicated matters for crypto businesses, leading to legal action being taken to uncover unfair practices and regulations. The shakeup of federal agencies began after Donald Trump's election victory, with changes in the leadership of the FDIC and the Securities and Exchange Commission. This has raised hopes in the industry for fairer practices and regulations, with pro-crypto individuals being considered for key regulatory positions.

Related News