Coinbase's Accusation: "There Was a Plan to Stop Crypto"

Coinbase has revealed evidence of an attempt by the Federal Deposit Insurance Corp. (FDIC) to hinder the adoption of crypto products by U.S. banks.

The Directive to Banks to Ignore Crypto

The election of Trump in the U.S. became an opportunity for various parts of the crypto industry to seek vindication. It’s not just about Bitcoin surpassing $100k but about the potential to “overturn” an administrative network that has long ostracized the sector.

This is particularly evident in the U.S., where Coinbase has taken the opportunity to speak out.

Paul Grewal, Coinbase’s Chief Legal Officer, shared evidence of a blatant attempt by the FDIC to exclude crypto companies from opportunities in the banking sector.

Legal battles between the centralized exchange (CEX) and the FDIC have unveiled letters suggesting that, around 2022, the regulator ordered banks not to engage in any activities involving cryptocurrencies.

The Anti-Crypto Battle's Conclusion

The documents, although redacted, allegedly show the banking regulator’s attempt to stifle the adoption of crypto products. “We respectfully request that you suspend all cryptocurrency-related activities,” one of the shared documents reportedly states.

“These documents prove our concerns were not conspiracy theories,” Grewal said in an interview with CoinDesk. “There was a concrete plan by the FDIC to deny banking services to a legitimate American industry.”

Crypto-related services proposed by numerous banking firms reportedly failed to gain approval due to impractical compliance requests. The requirements were allegedly never clearly defined, and the agency was unable to specify what documents were needed for approval.

For Grewal, the next step is to request a federal court to identify the institutions behind the FDIC’s stance and to uncover their true motivations once and for all.

By Gue22 🌐🚀 What do you think? Let me know in the comments!