A federal court has rejected Coinbase’s attempt to block the Internal Revenue Service (IRS) from obtaining user transaction data from the cryptocurrency exchange.
The ruling denies Coinbase’s legal effort to shield user information sought by the tax agency. This case centers on the IRS pursuing access to customer data on the platform as part of its regulatory oversight activities.
The court decision represents a setback for Coinbase’s position in ongoing legal proceedings over financial transparency requirements. It highlights increasing regulatory scrutiny of cryptocurrency exchanges regarding tax compliance protocols.