The leading cryptocurrency exchange Coinbase has notified a segment of its user base about a subpoena it received from the Commodity Futures Trading Commission (CFTC). This subpoena is part of the CFTC’s ongoing investigation into Bybit, a Dubai-based cryptocurrency exchange.
Renowned crypto analyst Colin Wu speculates that the CFTC, having resolved issues with Binance, is now shifting its focus to Bybit. With challenges in locating many Bybit employees in the U.S., the CFTC aims to obtain user details from Coinbase. The strategy involves monitoring transfers from Bybit to Coinbase, particularly those involving American users, to assess whether Bybit is violating any regulations by providing services to U.S. customers.
Looks like if you sent or received tx from #bybit to #coinbase you received this email.
➡️ You are not in trouble
➡️ Take a deep breath, its going to be ok fam pic.twitter.com/4WNukFZtPh— Tom Crown (@TomCrownCrypto) November 27, 2023
Bybit, a prominent derivatives trading platform globally, recently earned an exclusive ‘AA’ rating in both Spot and Derivatives trading categories in the CCData Crypto Exchange Benchmark Report. This recognition underscores Bybit’s commitment to maintaining high standards in performance and security.
If the CFTC discovers any dealings between Bybit and Coinbase, especially involving American investors, the derivatives trading platform could face severe consequences, marking another notable regulatory action following the recent Binance incident.
Coinbase đã gửi email cho biết sàn có thể sẽ tiết lộ thông tin của một số khách hàng với CFTC. Một số lập luận cho rằng, nếu người dùng là người Mỹ chuyển tiền từ Bybit sang Coinbase, thì xác nhận Bybit đang cấp dịch vụ trái phép.#BTC #Coinbase #Bybit pic.twitter.com/7QEncB6isa
— HT | The iBlock ▣ (@ht_theiblock__) November 29, 2023
The CFTC, armed with investigative powers, employs tools such as voluntary statements and subpoenas. Coinbase, in accordance with legal requirements, must gather information even in cases involving subpoenas. This development reflects the broader trend of federal agencies intensifying scrutiny on crypto-related matters, with payment giant PayPal also revealing a recent subpoena from the Securities and Exchange Commission regarding its USD stablecoin.
