The U.S. Securities and Exchange Commission has settled Freedom of Information Act dispute with Coinbase, agreeing to pay $150,000 in attorney fees and release two documents it had withheld. The deal, reached Wednesday, closes out a fight that began in 2024 over how the agency handled Coinbase’s records requests from the Gary Gensler era. Coinbase Chief Legal Officer Paul Grewal said the settlement forces the SEC and the FDIC to rewrite their disclosure and record-retention practices.
The Records Fight That Started in 2024
Coinbase filed two Freedom of Information Act lawsuits in 2024, one against the SEC and another against the Federal Deposit Insurance Corporation, according to Bloomberg. Working through consultant firm History Associates, the exchange accused both regulators of withholding records tied to Gensler’s SEC and the FDIC’s so-called pause letters.
The SEC case specifically sought information about how the agency viewed ether as a security, along with records tied to other investigations opened during Gensler’s tenure, The Block reported.
The FDIC’s half of the dispute centered on pause letters sent between March 2022 and May 2023, when the agency asked banks to hold off on expanding crypto services. Coinbase and the FDIC settled that case in February 2026, months before Wednesday’s SEC agreement closed the loop.
Grewal wrote that the SEC had lost text messages between Gensler and other officials after a process the agency described as automatically wiping certain data, The Block reported. Under the settlement, the SEC also agreed to review its records and how it preserves text messages going forward.
A Transparency Win Coinbase Is Framing as Precedent
For everyday Coinbase users, the settlement adds to a broader pattern of federal agencies loosening their posture toward crypto, a trend that has shown up across recent regulatory news covering agencies like the SEC and FDIC. Grewal called the outcome proof that FOIA requests can force agencies to fix flawed record-keeping instead of settling disputes quietly, and Coinbase has signaled it will keep filing similar requests if other agencies resist.
The Records Review the SEC Still Owes Coinbase
The settlement requires the SEC to review its own records and how it preserves employee text messages, a commitment that mirrors the retention overhaul the FDIC agreed to in its February 2026 settlement with Coinbase. Whether that review changes agency practice broadly, or just closes this one case, depends on how the SEC handles records requests going forward.
What This Means for You
If you use Coinbase or follow how regulators oversee crypto exchanges, this settlement means two previously withheld SEC documents will become public, a concrete step toward more transparency. It does not change your account, your holdings, or any feature Coinbase offers today. It does add pressure on federal agencies to work with, rather than against, the records requests exchanges file.
