"It's the SEC's turn this time, before this it was fun to target crypto."
Cryptocurrency exchange Coinbase filed suit against the Securities and Exchange Commission (SEC) and the Federal Deposit Insurance Corporation (FDIC) for unfair targeting and hidden practices.
A legal challenge was filed in the US District Court for the district of Columbia accusing the agency of overreach and failure to respond to Freedom of Information Act (FOIA) requests.
So here comes Coinbase's legal action aimed at countering what it sees as a concerted effort by the SEC and the FDIC to undermine the crypto sector by restricting access to banking services and withholding information.
Coinbase also criticized the SEC for using privacy claims to hide its regulatory practices, especially regarding Proof-of-Stake (PoS) transfers of Ethereum (ETH) and other crypto entities.
Not only that, the FDIC was also attacked for advising banks to stop the development of crypto-related services through "pause letters".
Coinbase's well-known disputes with the SEC include a previous lawsuit from April 2023, in which the crypto exchange demanded a definitive stance on crypto-specific regulations.
Although discussions have been going on since July 2022, the SEC has yet to provide clear guidelines but chose to enforce existing securities laws that Coinbase thought were inappropriate for crypto.