Coinbase Pushes for SEC Chair Gensler’s Private Emails in Legal Dispute

Coinbase, the San Francisco-based cryptocurrency exchange, has intensified its legal battle against the United States Securities and Exchange Commission (SEC). The exchange filed a motion on July 23, demanding the production of private emails from SEC Chair Gary Gensler. This move is part of an ongoing effort to obtain crucial documents that Coinbase believes are essential for its defense against allegations of unlawful securities sales.

Initially, Coinbase requested Gensler’s private emails from his time prior to becoming SEC Chair in April. However, following pressure and subsequent negotiations, Coinbase narrowed its Freedom of Information Act (FOIA) request. Now, the request exclusively concerns Gensler’s communications starting from 2021 when he began his tenure as SEC Chair. This revised request aims to gather materials connected to Gensler’s speeches on digital asset legislation, which Coinbase claims are vital to countering the SEC’s accusations.

Paul Grewal, Coinbase’s Chief Legal Officer, emphasized the importance of these documents. He stated that communications related to these matters directly impact the claims made by the SEC and are crucial for Coinbase’s fair notice defense. Grewal reiterated this in a post on X, highlighting the necessity of accessing all relevant information.

The SEC, however, has limited its search to documents within its Enforcement Division. In contrast, Coinbase’s motion seeks a broader range of materials. This includes discussions among SEC staff, details about the SEC’s 2021 public offering, and Gensler’s public statements on crypto regulation.

Coinbase’s recent motion follows a broader legal strategy against financial regulators. According to a Fox Business report, Coinbase had launched lawsuits against the SEC and the Federal Deposit Insurance Corporation (FDIC). Filed in a Washington, D.C., district court, these lawsuits aim to obtain internal records that Coinbase believes will reveal efforts by regulators to limit crypto firms’ access to the federal banking system.

The lawsuits stem from Coinbase’s attempts to access information through FOIA. These requests cover three SEC investigations into crypto firms from 2018 to 2024 and “pause letters” issued by the FDIC between March 2022 and May 2023. These letters advised banks to halt crypto-related activities until further guidance was provided.