Oregon Regulators File Renewed Legal Action Against Coinbase Over Compliance Issues

The state of Oregon has initiated fresh legal proceedings against cryptocurrency exchange Coinbase, marking the latest escalation in regulatory scrutiny faced by the platform. According to official filings dated April 18, 2025, the Oregon Department of Justice alleges ongoing violations of state securities laws. This development follows previous enforcement actions against the Nasdaq-listed exchange, with regulators claiming insufficient remediation of identified compliance gaps. Legal experts suggest the case could set important precedents for how state jurisdictions apply securities regulations to digital asset platforms. Coinbase representatives have indicated they will vigorously contest the allegations while continuing dialogue with regulators.

Coinbase Slams Oregon for Playing Copycat

Paul Grewal, Coinbase’s Chief Legal Officer, didn’t hold back. He called Oregon’s case a “copycat” of the dropped SEC lawsuit. On social media, Grewal said Oregon is “resurrecting the dead.” He claims the Attorney General’s office admitted they’re picking up where the SEC left off.

Grewal says the case is a distraction. It does nothing to protect consumers, he argues. Instead, it drains state resources and disrupts real progress in Washington. According to him, the lawsuit is out of touch with current tech, law, and public opinion. He insists that most crypto assets aren’t securities—something even the SEC seems to be slowly accepting.

Coinbase Keeps Operating in Oregon

Despite the lawsuit, Coinbase isn’t backing down. It plans to keep running its business in Oregon without changes. The company says it will fight the case just like it has done in other states. It describes the lawsuit as meritless and politically motivated.

Coinbase points out that several states—like Vermont, South Carolina, and Kentucky—have already dropped similar cases. These withdrawals came after the SEC began shifting its approach. The agency even launched a Crypto Task Force and stepped back from many enforcement actions. Coinbase believes Oregon should follow that lead, not go rogue.

Oregon’s Lawsuit Could Undermine Federal Progress

Coinbase argues that this legal action doesn’t just affect one company. It could damage broader efforts to regulate crypto fairly. The exchange says Congress is finally working toward a bipartisan national framework. Lawsuits like Oregon’s, they claim, make that harder.

According to Grewal, the legal system is being misused. Instead of working with Washington, Oregon is going solo. This kind of patchwork enforcement confuses businesses and slows innovation. Coinbase says the right path is through clear laws—not outdated litigation.

Paul Grewal Warns of the Bigger Picture

For Grewal, this isn’t just about one lawsuit. He sees a trend that could hurt the entire U.S. crypto market. State-by-state legal fights risk creating inconsistent rules. That, in turn, could push crypto innovation outside the U.S.

Coinbase is urging federal lawmakers to act quickly. The goal: one clear, national policy for crypto companies. Until then, the company says it will stand its ground. Whether in Oregon or elsewhere, Coinbase insists it’s ready to fight back. And it believes this case, like others, won’t stand the test of law—or time.