Coinbase Hit With Fines in Moscow Over Data Localization Non-Compliance


494 Listen to this article In a recent legal development, the Moscow magistrate court has taken action against Coinbase, a […]

Latest News

Listen to this article

In a recent legal development, the Moscow magistrate court has taken action against Coinbase, a major US-based cryptocurrency exchange. The fines are a consequence of Coinbase’s failure to comply with Russian data localization laws, resulting in a penalty of one million rubles, roughly equivalent to $10,848.

The court determined that Coinbase violated Part 8 of Art. 13.11 of the Russian Federation’s Code of Administrative Offenses. This particular article outlines the obligations of data operators to ensure the proper recording, systematization, accumulation, and storage of personal data belonging to Russian citizens within the country.

Potential Penalties

The fines imposed on Coinbase are described as the minimum for such offenses, with potential penalties extending up to six million rubles or $65,090.

Parallel Cases: Tech Giants Also Fined

This decision follows a series of analogous fines issued by the Moscow magistrate court against other prominent technology and communication companies. Notably, in October, Zoom, a widely used video communication service, was handed a substantial fine of 15 million rubles for repeatedly refusing to localize Russian user data. In a similar vein, Telegram, a popular messaging app, faced a fine of 50,000 rubles in August. Other notable companies, including Spotify, Apple, WhatsApp, Match Group (owner of Tinder), Airbnb, Google, Twitch, and Pinterest, have all faced penalties for non-compliance with Russia’s data localization laws.

Read Also:  Global $1 Billion Asset Freeze Hits 3AC Founders

Context: Regulatory Directive and Compliance Deadline

The fines imposed on Coinbase and other tech firms align with a directive from Russia’s federal executive body responsible for media and telecommunications. In May, this executive body mandated that foreign services localize databases of Russian users within the country by July 1.

Global Compliance Efforts

Approximately 600 foreign company offices in Russia have adhered to these regulations, ensuring the localization of storage for the data of Russian citizens.

Coinbase is not the sole entity subject to financial penalties in Russia. The international association AIDA has also been fined one million rubles. These penalties underscore the stringent enforcement of data localization laws in Russia.


The financial penalties imposed on Coinbase and other major tech players highlight Russia’s commitment to enforcing data localization laws. As international entities continue to operate within its borders, compliance with these regulations remains crucial, contributing to the ongoing global discourse on data privacy and localization.

For the Latest Crypto News follow the Coinography and Subscribe our YouTube channel or follow us on social media platforms like Twitter, Facebook, Instagram and LinkedIn.

0 0 votes
Article Rating
Notify of
Inline Feedbacks
View all comments

Get Latest Updates

Latest News

Web Stories

Latest News

Would love your thoughts, please comment.x
Scroll to Top
Bitcoin ETFs Surge as Investors Seek Exposure Coinbase, Andreessen Horowitz, and Ripple have joined forces to fund a new crypto DMM Bitcoin Hit by $305M Hack Ripple Releases 1 Billion XRP Tokens What to Expect from Bitcoin’s Price Rally in H2 2024 Trump’s MAGA Coin Soars 7% While Biden Parody Sinks Amid Ex-President’s Trial — NFTs Hold Steady Analyst Warns About Dogecoin Decline CME Denies Solana Futures Plans Amid Growing Rumors Can PEPE flip Polygon? Market cap race heats up! Why Bitcoin Price Is Down Today? Cristiano Ronaldo Launches 4th NFT Collection on Binance Amid $1B Lawsuit Coinbase Alleges SEC Dodging Howey Test in New Appeal Ethereum ETFs Granted Official Approval by SEC Crypto Whale Splurges $10.4 Million on Meme Coin PEPE SOL Price Nearing Support as On-Chain Activity Dips for Solana Penguiana Meme Coin’s Presale Achieves Success, Raising 290 SOL Solana to Bitcoin Bridge, Zeus Network, Set for Debut in Q3 2024 DeFi Lending Leader Aave Unveils V4 Protocol Overhaul MicroStrategy (MSTR) Incurs Losses in Q1 After Digital Asset Impairment Takes Toll Upbit Emerges as Top Five Crypto Exchange, Posing Challenge to Binance, Coinbase