Coinbase is Sending 13,000 Customer Records Over to the IRS
Coinbase investors knew this day was coming. The top US cryptocurrency exchange for bitcoin, Bitcoin Cash, Ethereum and Litecoin on Feb. 23 notified the 13,000 affected investors by email, informing them the other shoe had dropped.
Coinbase will comply with a judge’s ruling in a California federal court to share customer data of 13,000 of its users with the Internal Revenue Service’s (IRS). The IRS was most concerned with accounts with at least $20,000 “in any one transaction type,” as per the court ruling.
While the number of customers affected may sound high, it’s fewer than the initial amount that the tax agency requested in December 2016 for 500,000 customer records. Coinbase deems it a partial win, reminding investors it advocated on their behalf after taking the matter to the US courts.
Among the details that the IRS asked for were “taxpayer ID, name, birth date, address, and historical transaction records for certain higher-transacting customers during the 2013-2015 period,” as per a notification on Coinbase’s website.
Coinbase investors took to Twitter to reveal their fate.