Coinbase will send some of its customer’s data to the IRS in the coming weeks. In an email dated Feb. 23, the cryptocurrency exchange informed around 13,000 users that it would be providing information—albeit in “certain limited categories”—to the Internal Revenue Service (IRS), according to crypto news site Coindesk.
“If you have concerns about this, we encourage you to seek legal advice from an attorney promptly,” Coinbase advised.
The exchange said it would send the required data to the tax authorities in the next 21 days.
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The measure follows an ongoing legal battle. In 2016, the IRS tried to obtain the information of some 500,000 Coinbase users.
In November, Coinbase was ordered by the United States District Court for the Northern District of California to hand over user data where trading volume exceeded $20,000 from 2013 to 2015, Coindesk reported.
In the email message, Coinbase said the reduced requirement was a “partial, but still significant, victory.”
