Coinbase Alleges SEC Destroyed Gensler Texts, Seeks Court Sanctions

Coinbase, a leading cryptocurrency exchange platform, has asserted that the U.S. Securities and Exchange Commission (SEC) destroyed text messages relevant to its Chairman, Gary Gensler. In an escalating legal dispute, Coinbase accuses the regulatory agency of intentionally concealing critical information and is requesting the court to impose severe sanctions on the SEC for its purported conduct. According to Coinbase’s filings, the deleted text messages might contain key communications pertaining to the SEC’s stance on digital assets and related regulations. Coinbase argues that such evidence could be vital to its defense in the ongoing legal battle with the SEC. The company adds that the destruction of these messages undermines transparency and procedural integrity, setting a concerning precedent for future regulatory actions. Coinbase’s legal team contends that the SEC had a legal obligation to preserve these texts, and their destruction suggests an attempt to withhold critical evidence from the court. Coinbase is now demanding that the court take decisive action to hold the SEC accountable and ensure fairness in the ongoing legal proceedings. This case raises significant questions about accountability and transparency within governmental regulatory bodies, particularly concerning the rapidly evolving cryptocurrency industry.