Oregon Files Lawsuit Against Coinbase for Alleged Deceptive Cryptocurrency Business Tactics
Attorney General Dan Rayfield of Oregon takes crypto exchange Coinbase to task
In a bold move, Oregon's top legal eagle, Dan Rayfield, has set his sights on Coinbase, accusing the crypto exchange of selling speculative investments with inadequate disclosures to Oregon state residents. Oregon now stands at the forefront of cryptocurrency enforcement, a space vacated under the Trump administration where federal agencies have eased up.
Coinbase, according to Rayfield's office, strategically cultivated consumer trust in Oregon, only to sell questionable digital assets without providing adequate information about the potential risks. Among the controversial assets, Internet Computer (ICP) was singled out for its drastic 99% drop in value since its listing on Coinbase.
Rayfield drew a parallel with medical procedures, stating, "You don't undergo a medical procedure without understanding the risks. It's identical for the everyday folks who wish to venture into cryptocurrency investments."
He emphasized the importance of shielding Oregon investors from exploitation and pinpointed Coinbase's responsibility to make corrective measures to protect consumers. Rayfield's sentiments echo the Oregon Department of Justice's stance that this action is crucial to address the regulatory vacuum left by federal regulators.
Let it be crystal clear: Oregon's legal action, like the SEC's, is groundless, and Coinbase will take all necessary steps to counter it.
While the U.S. Securities and Exchange Commission had previously levied a comparable complaint against Coinbase, the case was dropped in February following Trump's return to office, shifting the agency's focus. Rayfield contends that Oregon is now stepping in to fill the regulatory void.
Coinbase swiftly rebutted the lawsuit, publishing a blog post defending its stance and criticizing the accusations. Paul Grewal, the company's chief legal officer, took to Twitter and labeled the lawsuit a "copycat" and an "embarrassing waste" of public funds.
[1] Oregon Department of Justice, Press Release, April 18, 2025.[2] Coinbase, Blog Post, April 19, 2025.[3] Coin Schedule, List of Unregistered Securities in Oregon's Lawsuit Against Coinbase.[4] SEC, Press Release, February 28, 2025.[5] Multnomah County Circuit Court, Case No. 2025CV35675.
The lawsuit is currently being adjudicated in Multnomah County Circuit Court.
- Coinbase, in response to Oregon's lawsuit, has announced its intentions to take all necessary steps to counter the legal action, as stated in a blog post published by the company.
- Paul Grewal, Coinbase's chief legal officer, labeled Oregon's lawsuit as a "copycat" and an "embarrassing waste" of public funds, sharing his thoughts on Twitter.
- Among the controversial assets that Oregon's Attorney General, Dan Rayfield, alleges Coinbase sold without adequate information, Internet Computer (ICP) was singled out for its drastic 99% drop in value since its listing on Coinbase.
- Oregon Department of Justice's regulatory action against Coinbase, like the Securities and Exchange Commission's (SEC) previous complaint against the crypto exchange, is aimed at shielding Oregon investors from potential exploitation in the unregulated cryptocurrency market.
