Coinbase, one of the most popular cryptocurrency exchanges is currently short of options after the court ordered it to hand over quite a significant number of customers’ names as well as their assorted personal details to the US Internal Revenue Service (IRS).The agency has been encountering challenges in its tax collection activities and it hopes that the decision by the court will help streamline its operations in a big way.
Most of the Coinbase users have been advised to move ahead and check out email spam folders by top officials who take the stand that it could be about a difference in a potential IRS audit and it could as well get worse than anyone could have figured out. It was on Friday that the San Francisco-based cryptocurrency exchange communicated letting all the customers know about the latest development.
The customers leant that the court had made an order that could not be ignored and thus confidential details such as their address, historical transaction records and much more will have to be submitted. There was nothing that could have been done to protect them beyond the court order.
The latest announcement is in alignment to a major fight that Coinbase sometime back mounted to showcase its response after the United States tax arm moved ahead to demand that it produces much of the records it held, more specifically those related to about 500,000 customers of Coinbase. Reports indicate that Coinbase had risen with great determination to move to court to oppose the summons.
One rather notable aspect about Coinbase for all the time that it had been operating is the great determination it has always had when it comes to protecting the identities of all its customers.
An official working with Coinbase opined, “Regardless of one’s opinion on the morality of tax, the IRS has courts and cops and cages on its side. Governments are shockingly fantastic at two things: mass murder and revenue collection.”
A lot of people around the globe will be closely following on the various developments that will be witnessed in the course of time.