Coinbase Legal Director: FDIC Still Trying to "Stop" Public Crypto Debanking Documents

PANews reported on August 1st that, according to Decrypt, Coinbase Chief Legal Officer Paul Grewal revealed that the exchange has filed a motion in federal court accusing the Federal Deposit Insurance Corporation (FDIC) of systematically obstructing the disclosure of documents related to Operation Chokepoint 2.0. Court documents show that the FDIC, despite being ordered to cooperate four times, has refused to fully produce the "cease and desist letters" issued between 2020 and 2024, requiring banks to suspend crypto transactions. Internal policy documents confirm that the FDIC instructed staff to "withhold all" documents covered by Exemption 8 of the Freedom of Information Act, without distinguishing between factual and analytical material. Coinbase accused the agency of adopting an "extremely narrow interpretation," limiting its search to documents submitted to the Office of the Inspector General, resulting in the omission of numerous critical records. During a January hearing, the FDIC admitted that it lacked a record-keeping system for FOIA lawsuits. The legal battle has forced the FDIC to release hundreds of pages of documents, revealing the "widespread resistance" banks face when conducting crypto business. As the Trump administration pushes for crypto-friendly policies, Coinbase said it is investigating these "historical misconduct" to ensure it does not happen again.