• Coinbase, via an intermediary is again suing U.S. regulators over Freedom of Information Act requests.
  • The U.S. Crypto Exchange is pursuing documents from the Securities and Exchange Commission which may reveal the first steps taken by the Securities and Exchange Commission to determine what digital tokens it would consider securities.
  • History Associates, the company’s contractor is also suing Federal Deposit Insurance Corp. for letters sent to financial companies asking them to stop crypto activities.

A research firm contracted by Coinbase is suing the U.S. Securities and Exchange Commission and a federal bank agency. They were accused on Thursday of not producing documents in accordance with open-records law that would have shed light on regulators’ opinions on cryptocurrency.

History Associates Inc., on behalf of Coinbase, said that the SEC and Federal Deposit Insurance Corp. had improperly refused to release documents under the Freedom of Information Act. ETH Price Index and Live Chart – CoinDesk”>(ETH). The exchange also wants copies of “pause letters”, which the Inspector General said were sent by the FDIC to financial firms, advising them to halt crypto activity.

Coinbase’s representatives are swooping in with this legal challenge right on the heels of the SEC’s indication that it’s reportedly <a href="https://www.coindesk.com/policy/2024/06/19/sec-ends-probe-into-consensus-wont-sue-over-ethereum/#:~:text=The%20U.S.%20regulator%20closed%20its,Ethereum%202.0%2C%22%20Consensys%20said.&text=The%20SEC%20told%20Consensys%27%20lawyers,price%20rose%20after%20the%20news. The SEC has closed its review of Ethereum 2.0 as a possible security. As a result, the regulatory agency will have fewer problems rejecting documents if ether is at the heart of an ongoing enforcement case.

The exchange also wants documents related to two previous settled cases involving digital assets. The exchange is also seeking documents related to two previously settled digital assets cases. One concerns Zachary Coburn who founded EtherDelta, which acted as an EtherDelta market that the SEC in a 2018 case deemed “digital asset security.” The other involves Enigma MPC a blockchain startup in 2017 that sold $45,000,000 in ENG tokens, which the SEC determined were

In a recent post on X , Coinbase’s Chief Legal Officer Paul Grewal stated that “We requested documents from the SEC about closed investigations in order to shed some light on the SEC’s newfound (and illegal) authority.” “One of these investigations, which was only closed recently, focused on ETH. The SEC announced publicly that ETH is not a financial instrument in 2018. The other investigations are closed since years. “But the SEC refused to comply with our requests.”

SEC denied FOIA requests for information about those long-closed instances and the recent ETH case under “exemption” 7A – a protection against revealing things that could undermine law enforcement efforts.

The SEC and FDIC have declined to comment.

History Associates’ lawsuit against the FDIC claims that the letters asking companies to stop digital assets business are part of an intentional and concerted attempt by the FDIC to pressure financial institutions to cut off digital asset firms from the banking systems.

These lawsuits are part of a series of legal battles between Coinbase, U.S. financial authorities and other parties. The SEC accuses Coinbase of operating an illegal exchange and trading unregistered securities. This is one of the most high-profile court battles in the crypto industry.

Coinbase has previously funded lawsuits against U.S. Government entities. Coinbase backed a group, including its employees, who sued the U.S. Treasury Department in 2022 over sanctions against Tornado Cash. The suit was eventually unsuccessful at a federal level, but the plaintiffs appealed.

Read more: Coinbase seeks to take core question in U.S. SEC case to higher court

Nikhilesh De.