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Coinbase Rebuts Sen. Murphy’s Pay-to-Play Claims, Citing Court Rebuke and SEC Case Withdrawal

Company leaders call the allegations baseless, pointing to nonpartisan giving plus a lack of public evidence linking donations to regulatory decisions.

Overview

  • Sen. Chris Murphy alleged Coinbase steered $46 million into election efforts, made a large inauguration payment, helped fund a National Mall ballroom, and then benefited when the SEC dropped its lawsuit.
  • Coinbase’s Paul Grewal and Faryar Shirzad rejected the claims as false, stressing that donations flowed through Fairshake, a nonpartisan PAC that also backed Democrats.
  • The company says inaugural contributions are routine across administrations and that any National Mall ballroom support went through a nonprofit with many donors and no Coinbase role in construction.
  • Coinbase highlights a federal court ruling that the SEC’s denial of its rulemaking petition was arbitrary and capricious, and notes the agency has since withdrawn its case against the exchange.
  • Attorney John E. Deaton criticized the SEC for approving Coinbase’s IPO before later suing it, while Senate Democrats continue probing funding behind the reported $300 million ballroom project and no direct tie between donations and regulatory outcomes has been shown publicly.