{"id":129510,"date":"2025-05-19T05:15:37","date_gmt":"2025-05-19T05:15:37","guid":{"rendered":"http:\/\/cryptospotters.net\/?p=129510"},"modified":"2025-05-19T05:15:37","modified_gmt":"2025-05-19T05:15:37","slug":"coinbase-faces-lawsuit-over-alleged-breaches-of-illinois-biometric-privacy-law","status":"publish","type":"post","link":"http:\/\/cryptospotters.net\/?p=129510","title":{"rendered":"Coinbase faces lawsuit over alleged breaches of Illinois biometric privacy law"},"content":{"rendered":"<p>Source: Cointelegraph.com NewsA group of Coinbase users from Illinois have filed a class-action lawsuit against the crypto exchange, alleging that its identity checks violate the state\u2019s Biometric Information Privacy Act (BIPA).<br \/>\nPlaintiffs Scott Bernstein, Gina Greeder and James Lonergan claimed in the May 13 lawsuit filed in a federal court that Coinbase\u2019s \u201cwholesale collection\u201d of faceprints for its Know Your Customer requirements violates BIPA, as they weren\u2019t notified.<br \/>\nThe group claimed Coinbase failed to notify users in writing of the collection, storage, or sharing of their biometric data and the purpose and retention schedule for their data.<br \/>\n\u201cCoinbase does not publicly provide a retention schedule or guidelines for permanently destroying Plaintiffs\u2019 biometric identifiers as specified by BIPA,\u201d they alleged.\u00a0<br \/>\nThe complaint said Coinbase requires users to verify their identity by uploading a government-issued photo ID and a selfie, which is then sent to a third-party facial recognition software to scan and extract facial geometry.\u00a0<br \/>\nThis process captures biometric identifiers without users\u2019 informed written consent, which the suit claimed violates BIPA.<br \/>\nCoinbase ID verification procedures. Source: CourtListener\u00a0Additionally, the group claimed Coinbase violated the law by sharing biometric data without users\u2019 consent to third-party verification vendors such as Jumio, Onfido, Au10tix and Solaris.<br \/>\n\u201cCoinbase \u2018obtains\u2019 biometric data in violation of [BIPA] because it explicitly directed the Third Party Verification Providers to use its software to verify and authenticate users, including Plaintiffs, and its software does so by collecting biometric data,\u201d the complaint read.<br \/>\nThe group claimed that more than 10,000 individuals have filed demands for arbitration over these issues with the American Arbitration Association, which Coinbase has allegedly refused to pay the required arbitration fees, causing them to be dismissed.<br \/>\nRelated: Alabama drops staking lawsuit against Coinbase<br \/>\nThe suit brings three claims of violating state biometric privacy laws and one for consumer fraud under the Illinois Consumer Fraud and Deceptive Business Practices Act.<br \/>\nThe group is seeking relief of $5,000 per willful or reckless violation found, $1,000 per negligent violation found, along with injunctive relief and litigation costs.\u00a0<br \/>\nCoinbase has also recently been hit with at least six lawsuits over its May 15 disclosure that some of its customer support agents were bribed to leak users&#8217; data.<br \/>\nPast BIPA violation suit sent to arbitration<br \/>\nIn May 2023, a group of Coinbase users sued the exchange under similar accusations of BIPA violations.<br \/>\nA judge later allowed that lawsuit to pause pending arbitration and dismissed the lawsuit without prejudice on Feb. 3 after Coinbase and the group of users agreed to drop the action.<br \/>\nMagazine: Arthur Hayes $1M Bitcoin tip, altcoins \u2018powerful rally\u2019 looms: Hodler\u2019s Digest<a href=\"https:\/\/cointelegraph.com\/news\/coinbase-sued-alleged-breaches-illinois-biometric-privacy-law?utm_source=rss_feed&amp;utm_medium=rss&amp;utm_campaign=rss_partner_inbound\" target=\"_blank\" class=\"feedzy-rss-link-icon\" rel=\"noopener\">Read More<\/a><\/p>","protected":false},"excerpt":{"rendered":"<p>Source: Cointelegraph.com NewsA group of Coinbase users from Illinois have filed a class-action lawsuit against the crypto exchange, alleging that its identity checks violate the state\u2019s Biometric Information Privacy Act&hellip; <\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[5],"tags":[],"_links":{"self":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129510"}],"collection":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=129510"}],"version-history":[{"count":0,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=\/wp\/v2\/posts\/129510\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=129510"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=129510"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptospotters.net\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=129510"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}