Coinbase has published a “transparency report” that also revealed how the major crypto exchange received 1,914 “legitimate government” requests in 2020. According to Coinbase, these requests were primarily in the form of subpoenas and sometimes included search warrants and court orders . Approximately 90% of these “transparency” requests were submitted from the US, UK and Germany, among others, with US agencies submitting the majority with 1,113 requests or 60% of the total.
The report noted that within the US, the FBI was its most active law enforcement authority sending 340 requests. Data from the Coinbase report also indicated that Homeland Security Investigations had submitted 184 requests, while local state agencies and the Drug Enforcement Administration (DEA) submitted 180 and 104 requests, respectively. Coinbase has shared this data a month after the digital rights organization claimed that the exchange did not publish this information.
The exchange noted that the exchange had an “obligation to respond” as the requests were “valid under financial regulations and other applicable laws.” Coinbase said in a statement:
However, we do not hesitate to back down when appropriate, even when it is inconvenient or expensive to do so.
Several technology companies now publish such reports, including Kraken, which stated in January of this year that:
It’s that moment again. Below is a snapshot of the 2019 Transparency Report from our Compliance team. Team America is moving forward with 61% of total applications, up from 66% last year. Other geos are winning fast. The trend is obvious. Costs are increasing, even in a relatively flat market.
Coinbase, which claimed to have more than 38 million customers worldwide, has now planned to publish these transparency reports periodically, but did not mention how often it would disclose these reports.
Earlier this month, Coinbase UK planned to reveal customer data to the HMRC, which is the UK tax authority, in response to the UK tax authority’s legal notice.
This is a machine translation of our English version.
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