Coinbase warns customers about subpoena in apparent CFTC Bybit probe

cointelegraph.com:

Coinbase is warning that it has received a subpoena from the United States Commodity Futures Trading Commission (CFTC), according to X (formerly Twitter) users who have posted copies of the message. The CFTC is seeking information about the Bybit cryptocurrency exchange.

Recipients have speculated that any Coinbase customer who also used Bybit received the message. Coinbase may provide information on users’ accounts and transaction activities to the CFTC unless the subpoena is reversed by a court by Nov. 30, according to the Nov. 27 message.

Dubai-based Bybit stated earlier this year in its terms of service that it does not provide service in the United States, but it is reportedly accessible using a virtual private network (VPN).

The day following Coinbase’s communication, Bybit announced that it had reached 20 million users. It described itself as a “top-three cryptocurrency exchange.” According to the exchange’s statement:

Bybit announced it would be imposing Know Your Customer (KYC) verification on users in July 2021, although it is not clear when that took place. Bybit posted KYC instructions for its customers in September 2022.

Related: Opyn DeFi protocol founders are leaving crypto after CFTC crackdown

In September, Bybit said it would leave the United Kingdom market in October when new Financial Conduct Authority rules came into force. It removed two sanctioned Russian banks from its payments list in August.

I've been off Twitter watching some football. One of my friends sent me this email he received from Coinbase. I do not know how many people are subject to this, what the scope is, etc. However, it looks like Coinbase and ByBit do not mix well together! pic.twitter.com/L3qqDBp2TN

The CFTC labeled itself the