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Cryptocurrency exchange, Coinbase, has queried U.S. regulators, including the Federal Deposit Insurance Corporation (FDIC), on their oversight of digital currencies. Coinbase’s legal chief, Paul Grewal, revealed the company made two Freedom of Information Act requests focusing on why banks have been asked to keep their crypto balances below 15% of total holdings. This is part of Coinbase’s ongoing effort to understand the U.S. cryptocurrency regulatory environment, a push that has previously led to lawsuits against financial watchdogs including the FDIC and the Securities and Exchange Commission.

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Coinbase, a big name in cryptocurrencies, is pressing U.S. regulators for more info on the recent subway between crypto and U.S. banks. According to Coinbase’s main legal chief, Paul Grewal, the company made two official requests under the Freedom of Information Act. One of the big-money topics they’re looking into is why the Federal Deposit Insurance Corporation has asked banks to keep crypto company bank balances down to less than 15% of the total.

This is the latest move by Coinbase to try and get a clear picture of how digital currencies are being handled by those in power. Grewal announced on social media platform X, that they’ve asked the FDIC for specifics about this new cap and what other regulators are doing to banks.

The second request is a bit more meta. They’re looking for info on how regulatory suit-and-ties responded to similar sturdy letters about crypto in the past.

The FDIC’s new limit on deposits is a big deal since it’s said they didn’t bother to ask the public’s opinion first. That’s a usual move from bank regulators. This adds to an ongoing saga between Coinbase and U.S. regulators that’s even taken them to court. Last June, Coinbase slapped lawsuits on the U.S. Securities and Exchange Commission and the FDIC claiming they ignored requests for info on what they’re up to.

After demanding that the SEC spill the beans on how it classifies Ethereum many years ago, Coinbase got hit with allegations of violating rules on securities with their ETH feature. Now, Coinbase has turned their focus to FDIC’s alleged “slow down” orders on banks’ crypto handling.

Coinbase’s side hustles include the Stand with Crypto project, which supports pro-crypto political candidates. In the upcoming presidential election, Trump is boasting plans to turn the U.S. into a crypto hotspot. Meanwhile, VP Harris seems more supportive of crypto than President Biden, but not as gung-ho as Trump, says research body, Galaxy.

Source: Cointelegraph