CFTC requested confidential information from Coinbase

Coinbase informed users about a request from the U.S. Commodity Futures Trading Commission (CFTC) for customer data. As reported by an Ethereum observer, the request is related to an investigation of the Polymarket platform that began in 2021.

Polymarket was accused of unlawfully offering swaps and binary options to U.S. residents. In 2022, the company settled the dispute by paying a $1.4 million fine. However, the investigation continued in 2024: the FBI conducted a search at the CEO of Polymarket as part of a case regarding violations of U.S. laws.

Coinbase's position

In its November 2024 report, Coinbase stated that it is reviewing the authorities' requests and providing only the minimally necessary data. The exchange tries to limit the amount of information and, where possible, shares only generalized data without disclosing personal information.

CFTC's record fines

In 2024, CFTC imposed $17.1 billion in fines, setting a new record. The increased oversight, as in the case of Polymarket, demonstrates regulators' push to tighten control over cryptocurrency companies operating in the U.S.