Coinbase filed a letter with the U.S. Department of Justice urging federal action to stop a patchwork of state enforcement that it says fragments markets and harms consumers; the Coinbase DOJ petition calls for federal preemption of state crypto laws to restore uniform rules and protect innovation.
States are issuing competing securities and consumer orders that conflict with federal law.
Coinbase argues federal preemption will protect interstate commerce and user privacy.
Recent actions: Oregon lawsuit, New York classification efforts, and multiple staking cease-and-desist orders affecting service availability.
Coinbase DOJ petition demands federal preemption of state crypto regulation; read how it affects staking, self-custody, and market structure. Learn what happens next.
‘,
‘
🚀 Advanced Trading Tools Await You!
Maximize your potential. Join now and start trading!
‘,
‘
📈 Professional Trading Platform
Leverage advanced tools and a wide range of coins to boost your investments. Sign up now!
‘
];
var adplace = document.getElementById(“ads-bitget”);
if (adplace) {
var sessperindex = parseInt(sessionStorage.getItem(“adsindexBitget”));
var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesBitget.length) : sessperindex;
adplace.innerHTML = adscodesBitget[adsindex];
sessperindex = adsindex === adscodesBitget.length – 1 ? 0 : adsindex + 1;
sessionStorage.setItem(“adsindexBitget”, sessperindex);
}
})();
By COINOTAG — Published: 2025-09-16 · Updated: 2025-09-17
What is the Coinbase DOJ petition asking the federal government to do?
The Coinbase DOJ petition asks the Department of Justice to address a growing patchwork of state enforcement actions that Coinbase says conflict with federal law, slow innovation, and harm consumers. The petition requests federal preemption of state securities and licensing rules for digital assets to restore consistent national market structure.
How are state enforcement actions affecting crypto companies and consumers?
States such as Oregon, New York, California, and others have pursued lawsuits, asset classifications, and immediate cease-and-desist orders. These actions can block services across state lines with little notice, reducing consumer access and creating compliance burdens that vary by jurisdiction.
Why does Coinbase call the patchwork “government run amok”?
Coinbase’s Chief Legal Officer criticized the multiplicity of state suits and orders as overreach when federal law already governs securities and interstate commerce. The company highlights due-process concerns when cease-and-desist orders take effect without prior hearings.
‘,
‘
🔒 Secure and Fast Transactions
Diversify your investments with a wide range of coins. Join now!
‘,
‘
💎 The Easiest Way to Invest in Crypto
Dont wait to get started. Click now and discover the advantages!
‘
];
var adplace = document.getElementById(“ads-binance”);
if (adplace) {
var sessperindex = parseInt(sessionStorage.getItem(“adsindexBinance”));
var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesBinance.length) : sessperindex;
adplace.innerHTML = adscodesBinance[adsindex];
sessperindex = adsindex === adscodesBinance.length – 1 ? 0 : adsindex + 1;
sessionStorage.setItem(“adsindexBinance”, sessperindex);
}
})();
Coinbase’s filing points to several recent actions as evidence of conflicting state regulation:
Federal preemption would create a single legal framework for digital assets, reducing conflicting state licensing and enforcement that currently complicate nationwide operations. Coinbase supports legislation like the House CLARITY Act proposals and similar Senate efforts to establish clear federal rules for digital-asset classification and licensing.
The filing argues states are expanding securities law extraterritorially and violating the dormant Commerce Clause by projecting local regulatory preferences onto interstate markets. Coinbase and outside counsel emphasize due-process concerns when states force immediate stoppage of services without prior hearings.
‘
];
var adplace = document.getElementById(“ads-htx”);
if (adplace) {
var sessperindex = parseInt(sessionStorage.getItem(“adsindexHtx”));
var adsindex = isNaN(sessperindex) ? Math.floor(Math.random() * adscodesHtx.length) : sessperindex;
adplace.innerHTML = adscodesHtx[adsindex];
sessperindex = adsindex === adscodesHtx.length – 1 ? 0 : adsindex + 1;
sessionStorage.setItem(“adsindexHtx”, sessperindex);
}
})();