SEC agrees to pay $150,000 and revise record-keeping policies after losing messages from former Chair Gary Gensler’s tenure.
Coinbase has settled a Freedom of Information Act lawsuit with the U.S. Securities and Exchange Commission over missing text messages from former Chair Gary Gensler and other officials. The SEC acknowledged the messages were automatically wiped, prompting the agency to pay $150,000 and update its record-retention practices.
The lawsuit, filed in 2024, sought documents alleging regulatory overreach against crypto firms. Coinbase previously secured dismissals of SEC lawsuits under the Trump administration and backed a stablecoin bill passed by Congress.
The SEC has not commented on the settlement. Reports suggest the agency may soon introduce policies friendlier to crypto companies, including blockchain-based stock offerings.