COINBASE SEEKS DETAILS ON SEC SPENDING IN CRYPTO CASES

- @Coinbase, a major cryptocurrency company, wants to know how much money the U.S. Securities and Exchange Commission (SEC) spent on crypto-related investigations and legal actions.

- These efforts focus on cases not involving fraud during Gary Gensler’s time as SEC chairman.

Key Details:

- The company filed a Freedom of Information Act (FOIA) request on March 3, 2025, asking for records from April 17, 2021, to January 20, 2025. This period covers investigations and lawsuits tied to digital assets, including their sales, trading, staking, and lending.

- Coinbase hopes this move will shed light on how the SEC used taxpayer money to regulate the crypto industry under Gensler’s leadership.

- The FOIA request seeks specific details, such as the number and names of all SEC investigations and enforcement actions during the requested timeframe. It also asks for information about the SEC employees and contractors who worked on these cases;

- The firm wants to know how many hours these workers logged and how much they were paid. Additionally, it’s requesting budget details and compensation records for the SEC’s Crypto Assets and Cyber Unit, which is focused on crypto issues.

- This information could reveal the scale and cost of the SEC’s recent efforts to oversee the crypto market.

A Push for Transparency:

- Paul Grewal, Coinbase’s Chief Legal Officer, confirmed the move on X, stating the request is all about transparency for American taxpayers. He believes the public deserves to know how the SEC spent money on crypto regulation during Gensler’s tenure;

- "We know the previous SEC’s regulation-by-enforcement approach cost Americans innovation, global leadership, and jobs, but how much did it cost in taxpayer dollars? Today Coinbase submitted a FOIA request asking the SEC to explain how much its war on crypto cost taxpayers."

- Grewal shared his thoughts on X, expressing hope that the SEC’s new leadership will embrace accountability moving forward. He sees this as a chance for the agency to improve its openness with the public.

- "We’ll never stop fighting for government transparency on behalf of our customers and this industry. It may take time to get the full picture, but I think we’ve shown that we will do what it take for as long as it takes," Grewal concluded.

- The request comes as the crypto industry continues to push back against what some see as overly strict SEC rules and actions.

[Image obtained from Coinbase and SEC X Accounts]