FDIC ‘magically’ releases two more pages of documents to Coinbase

Coinbase obtained the release of additional unredacted documents from the Federal Deposit Insurance Corporation following a legal battle over its Freedom of Information Act requests.

The FDIC released two additional pages of documents that Coinbase has been trying to legally obtain for several months.

The documents, referred as “pause letters”, display the FDIC advise banks to suspend their activities related to cryptocurrencies. The letters suggest the agency has deliberately limited the involvement of US banks in crypto activities in 2022.

The documents were shared by Paul Grewal, Coinbase General Counsel, on

These actions, part of what many describe as “Operation Chokepoint 2.0,” highlight tensions between U.S. regulators and the crypto industry. The term draws inspiration from the original Operation Choke Point, a U.S. Department of Justice initiative launched in 2013, targeting banks and payment processors working with industries deemed high-risk or unsavory, such as lenders. salary and gun sellers.

“Note that the FDIC magically found TWO additional pause letters in this search after previously stating that it had complied with a prior court order. It’s hard to believe in their good faith when their sweater frays even more every time we pull the thread,” Grewal posted.

FDIC Non-Compliance with Coinbase

On December 12, 2024, Judge Ana C. Reyes criticized the FDIC for excessive redactions and failure to comply with prior court orders. She asked the agency to make “more thoughtful deletions” and release additional letters.

The FDIC subsequently disclosed two undisclosed letters today, raising questions about the agency’s transparency.

Published documents show that banks were asked to suspend all activities related to crypto assets, leading to delays in the launch of crypto services while meeting unclear compliance requirements.

This development adds to a growing debate over regulatory clarity and the role of federal agencies in shaping the crypto landscape. With a presidential victory for Donald Trump, many are hoping that the FDIC and SECOND change their position on crypto.

“The new Congress should begin hearings on all of this without delay,” Grewal said.