Coinbase Seeks ‘Invasive’ Details on US Bitcoin Mining Operations


Coinbase’s compliance office is seeking to acquire operational information from bitcoin mining companies in a process that some of the sector’s businesses are framing as an infringement on their trade secrets.

MegaBigPower (MBP) and Bitmain report that Coinbase has asked for detailed information regarding their mining facilities, requesting time-stamped photographs and videos of mining facilities and details about the origin of the hardware the companies operate.

An email dated 25th March sent to MBP owner Dave Carlson and obtained by CoinDesk stated:

“As a followup to our previous inquiry, we need to conduct some additional due diligence. Towards that end, please complete and return the due diligence questionnaire attached to this email, and provide us with verifiable time-stamped images of your mining equipment and key infrastructure elements at your facility.”

The Coinbase representative went on to state that Carlson could be provided with a secure Dropbox to transmit the information.

“Quite a lot of this information is competitively private information,” Carlson told CoinDesk.

Carlson said that his company has not used Coinbase in a significant capacity since last summer, though he said that MBP maintains a small account with “about half a bitcoin” deposited in that wallet.

Carlson went on to speculate that Coinbase

Read more ... source: CoinDesk