- Coinbase was recently served with a subpoena pertaining to crypto exchange Bybit.
- But Coinbase customers with no relationship to that exchange say they’re being targeted too.
In the last day, an unconfirmed number of Coinbase users have received emails from America’s top crypto exchange, informing them that information linked to their customer accounts might soon be shared with the Commodities Futures Trading Commission (CFTC) after Coinbase was served with a subpoena.
While Coinbase has declined to publicly comment on the subpoena thus far, or what exact data it pertains to, the legal order appears to be connected to a matter concerning another crypto exchange: Bybit, the Dubai-based company founded in 2018 by Ben Zhou.
A person familiar with the matter confirmed to Decrypt that Coinbase did indeed send such emails out to customers this week, but would not elaborate on what exact information was requested by the CFTC, how that information pertains to Bybit, or how many customers might be impacted by the subpoena.
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In its letter to affected customers, Coinbase wrote that it might protest the subpoena in court before an apparent November 30 deadline.
However, a person familiar with the matter told Decrypt that Coinbase is working with the CFTC to determine what data may soon be sent over to the federal agency—though the company is reportedly working to limit the scope of the data shared as much as possible.
On Twitter, Coinbase users who received the notice questioned why they were now in the federal government’s crosshairs.
Some speculated that only crypto holders who used both Coinbase and Bybit were targeted by the subpoena, potentially as part of a growing case against Bybit.
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anyone who ever sent from bybit to crimebase got that email
probably the cftc fishing for burger users to establish jurisdiction https://t.co/bw4Or5TI6P
— Napgone (@napgener) November 28, 2023
But multiple subpoena notice emails sent to customers by Coinbase, and reviewed by Decrypt, were issued to users who say they’ve never used Bybit or created accounts with the exchange.
CFTC Subpoena to Coinbase In The Matter Of Bybit Fintech Ltd. and Ben Zhou. @coinbase & @Bybit_Official pic.twitter.com/uJWe1urBzi
— Ƀitcoin Chris (@CryptoChrisG) November 27, 2023
