Coinbase Demands SEC Transparency: How Much Crypto Enforcement Costs Taxpayers
1min read Crypto exchange coinbase has filed a Freedom of Information Act (FOIA) request with the U.S. Securities and Exchange Commission (SEC) to determine the total amount of money spent on investigations into crypto cases in recent years. The request, submitted on March 3, seeks detailed information on the SEC's enforcement actions against crypto firms, including the number of investigations launched, the number of employees involved, the use of third-party contractors, and the total financial expenditures.
The move comes as the crypto industry is increasingly scrutinizing government spending and misspending, following revelations by the Department of Government Efficiency (DOGE), led by tech billionaire Elon Musk. Coinbase, one of the largest crypto exchanges in the world, has taken the initiative to shed light on the SEC's crypto enforcement efforts and their cost to taxpayers.
Paul Grewal, Coinbase's chief legal officer, took to social media to explain the company's motivation behind the FOIA request. In a series of tweets, Grewal stated that the previous SEC's "regulation-by-enforcement" approach had cost Americans innovation, global leadership, and jobs, and that the company wanted to know how much it had cost taxpayers.
Coinbase's FOIA request seeks information on the SEC's enforcement actions from April 17, 2021, to January 20, 2025. The request is comprehensive, aiming to provide a detailed picture of the SEC's crypto enforcement efforts and their financial impact. The company has stated that it will continue to fight for government transparency on behalf of its customers and the crypto industry as a whole.
