Coinbase submits FOIA requests targeting U.S. regulators investigating banks’ crypto crackdown.

The Federal Deposit Insurance Corporation (FDIC), the agency responsible for insuring U.S. bank deposits, has allegedly directed banks to cap crypto company deposits at 15% of their total deposits.

In an Oct. 21 post on the X platform, Grewal stated, "We’ve submitted two new FOIA requests as part of our ongoing efforts to clarify how regulatory agencies are handling digital assets." The first request seeks documents related to a cap on digital asset deposits that the FDIC and other banking regulators have reportedly been enforcing on financial institutions, according to Grewal.

The second FOIA request is aimed at understanding how regulators have responded to past crypto-related FOIAs, he added.

It is claimed that the FDIC imposed these deposit caps without first seeking public input, a step generally required for banking regulators under U.S. law.

“These FOIA requests are separate from our filings from over a year ago, which are now part of federal lawsuits," Grewal noted.

In June, Coinbase sued the U.S. Securities and Exchange Commission (SEC) and the FDIC, alleging that they had failed to comply with previous requests for public disclosures.

In 2023, Coinbase requested the SEC to provide documents related to its classification of Ether (ETH).

In that same year, the SEC charged Coinbase with allegedly violating securities laws through its ETH staking-as-a-service offering.

While Ether is classified as a commodity by U.S. regulators, the regulatory status of ETH staking pools remains unclear.

Coinbase also filed FOIAs with the FDIC seeking information about so-called "pause letters," which were allegedly sent to banks, urging them to slow down their involvement in crypto-related activities.

In addition, Coinbase's "Stand with Crypto" initiative, which advocates for sensible digital asset regulation, launched a political action committee (PAC) in March to support pro-crypto candidates.

The upcoming U.S. presidential election will see Republican nominee Donald Trump, who has expressed a desire to make America the "crypto capital of the world," face off against Democrat Kamala Harris, who has been relatively quiet on crypto issues.

Vice President Harris is reportedly more favorable towards crypto than President Joe Biden. However, he is still less supportive of the industry than former President Trump, according to Galaxy Research on Oct. 14.