Coinbase Selling Data on Crypto and 'Geotracking' to ICE

So you thought these companies would be different?

Hey guys,

What’s new in the Crypto Winter?

Bitcoin in June, 2022 officially had its worst month on record. All that means is it dropped a lot. The headlines kind of boast about this. Bitcoin just finished its worst month in the 12 years that it’s been available on exchanges, losing more than 38% of its value in June as of Thursday afternoon, June 30th.

Coinbase Tracer, the analytics arm of the cryptocurrency exchange Coinbase, has signed a contract with U.S. Immigrations and Customs Enforcement that would allow the agency access to a variety of features and data caches, including “historical geo tracking data.” That is quite unsettling! Coinbase already did massive layoffs but this data sharing means it’s not very appealing.

ICE is now able to track transactions made through nearly a dozen different digital currencies, including Bitcoin, Ether, and Tether. Watchdog group Tech Inquiry reported the new details about the three-year contract with the U.S. Department of Homeland Security. Crypto, no justice!

In the EU they might be taking crypto regulation a bit more seriously though. The European Commission, EU lawmakers and member states hammered out an agreement on reforms Thursday.

What is MiCA?

The new law, known as Markets in Crypto-Assets (MiCA), is the first attempt at creating a comprehensive regulatory framework for digital assets in the region. EU lawmaker Stefan Berger said the rules will “put order in the Wild West of crypto assets.”

When Silicon Valley companies like Coinbase, think they can displace Binance or FTX, it’s funny. So admittedly is watching their stock tank. Binance can burn its coin, but what can Coinbase realistically do? Sell our data apparently. The Intercept initially reported the news.

Crypto is still a great place for money laundering and pump-and-dump frauds like ICOs or NFTs. EU officials on Thursday secured an agreement on what is likely to be the first major regulatory framework for the cryptocurrency industry. That’s what China said when it launched its CPDC, although a “first” in the world.

So even as FTX swoops in to likely buy BlockFi for as low as $25 million, In August 2021, Coinbase sold a single analytics software license to ICE for $29,000, followed by a software purchase potentially worth $1.36 million the next month, but details of exactly what capabilities would be offered to the agency’s controversial Homeland Security Investigations division of were unclear.