SEC & FDIC Called Out By Coinbase For Alleged Corruption

The cryptocurrency industry has been under increasing pressure from regulatory bodies like the SEC and FDIC. Recently, a Blockchain Association report revealed that a massive $425M had been drained in defensive litigation across 104 cases with the SEC since 2021, intensifying the scrutiny faced by digital asset firms. In a response that has sent shockwaves across the industry, Coinbase has revealed a troubling set of 20+ instances where the FDIC allegedly pressured banks to sever ties with crypto-related businesses.

The latest accusations are part of a broader effort to clamp down on the digital currency space, with regulatory bodies like the SEC taking a hard stance against crypto firms operating within U.S. borders. Coinbase, a major player in the crypto industry, has called out the situation as part of a larger pattern of corruption where government regulators are influencing financial institutions to distance themselves from the emerging sector.

In a highly-charged move, Coinbase has not only pointed fingers at the SEC but also at the FDIC, underscoring the serious allegations of overreach and obstruction. This public confrontation adds a new layer of tension between crypto firms and U.S. regulatory agencies, setting the stage for a potential showdown over the future of crypto regulation in America. With tensions escalating, it’s clear that this battle is far from over, and the crypto industry remains on edge, watching the regulatory landscape shift under its feet.

Defensive Litigation Spending:
$425M spent on defending against SEC litigation (104 cases) since 2021.