Coinbase finds over '20 examples' of FDIC telling banks to avoid crypto
Coinbase's chief legal officer has revealed that the company discovered over 20 instances where the Federal Deposit Insurance Corporation (FDIC) advised US banks to avoid offering crypto-related banking services. This finding follows Coinbase's lawsuit against the FDIC, demanding transparency about its actions in the ongoing crackdown on cryptocurrency. Paul Grewal, Coinbase's CLO, criticized the FDIC's efforts as shameful, claiming government agencies should not undermine the financial access of law-abiding companies. The court documents presented include summaries of cases where the FDIC questioned banks' assessments of risks associated with crypto services, with advice to pause or refrain from such offerings until a thorough review was conducted. The report highlights the agency's cautious stance towards cryptocurrencies and its influence on the banking sector's relationship with the crypto industry.
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