Coinbase CLO Paul Grewal has taken to social media to discuss Coinbase's legal encounter with the FDIC. Coinbase sued the FDIC to enforce the Freedom of Information Act after their initial request was denied. Grewal alleges that the FDIC failed to timely provide court-compelled documents and heavily redacted the revealed documents without justification. The FDIC used FOIA exemption 8 to protect the information in the documents, claiming that its release would harm the relationships between the banks and the regulator. Grewal argues that the redactions were an attempt to cover up evidence of the FDIC's efforts to block services for cryptocurrency transactions. Senator John E. Deaton expressed support for stopping the FDIC's "Operation Choke Point 2.0" and offered to lead an investigation without salary. The FDIC sent letters to financial institutions, urging them to stop providing services to clients associated with cryptocurrency activity. The letters caused uncertainty for U.S. entrepreneurs in the crypto sector. The battle between Coinbase and the FDIC continues as more facts are revealed.



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