A cryptocurrency exchange accused the US government of undermining the cryptocurrency sector orchestrating a campaign against digital currencies.

Coinbase revealed that the US Federal Deposit Insurance Corporation (FDIC) has been employing tactics to dissuade financial institutions from engaging in crypto-related activities.

FDIC: Stay Away From Crypto

Coinbase claimed that FDIC had sent letters to several financial establishments to ask them to stay away from getting involved in cryptocurrency-related investments.

Coinbase’s Chief Legal Officer Paul Grewal revealed that they have found proof of FDIC’s anti-crypto campaign, telling American financial institutions to keep their hands off digital currency investments.

Source: FDIC Dallas Regional Office

So far, Grewal said that they had come across “more than 20 examples” of these tactics opposing cryptocurrencies, adding that the US agency told financial institutions to “pause”, “refrain from providing” or “not proceed” with providing banking services for digital assets.

Slowly but surely, the picture is becoming clear. After we sued, @FDICgov finally started giving us information related to our FOIA request about the pause letters it sent to financial institutions as part of Operation Chokepoint 2.0. In short, the contents are a shameful example…

— paulgrewal.eth (@iampaulgrewal) November 1, 2024

“Slowly but surely, the picture is becoming clear,” Grewal said in a post as Coinbase started receiving the information from the FDIC for its Freedom of Information Act (FOIA) request regarding the letters sent to banks in line with the so-called Go to Source to See Full Article
Author: Christian Encila