Court rules IRS can collect Coinbase user data without warrants
2025-06-30 19:42:10

Main Idea
The U.S. Supreme Court declined to hear an appeal from a Coinbase user, allowing the IRS to access data from over 14,000 Coinbase users without new limitations, reaffirming the IRS's authority under the third-party doctrine.
Key Points
1. The Supreme Court sided with the IRS, declining to hear James Harper's appeal against the IRS's data collection from Coinbase users.
2. The IRS can access data from over 14,000 Coinbase users as originally requested in a 2016 summons, without needing individualized warrants.
3. Harper argued the IRS's data demands violated his Fourth Amendment protections, but lower courts ruled in favor of the IRS under the third-party doctrine.
4. The decision reaffirms the IRS's authority to obtain user data from centralized crypto exchanges without additional legal restrictions.
5. Legal experts warn the ruling may normalize broad surveillance powers in financial and tech sectors beyond cryptocurrency.
Description
The U.S. Supreme Court has declined to hear an appeal from a Coinbase user, allowing the IRS to access data from the exchange’s users. The Supreme Court sided with the Internal Revenue Service in a major financial privacy case. On Monday, June 30, the Court declined to hear an appeal from James Harper, a Coinbase user who sued the IRS for what he called unconstitutional overreach. The decision came without explanation, a common outcome in such cases. Importantly, the Court did not impose any new...
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