JPMorgan Chase agrees to $2.5 million settlement in legal fight over crypto purchase transaction fees

After a two-year-long dispute over allegedly charging crypto purchases as "Cash Advance" transactions without giving cutomers legally-required notice, JPMorgan Chase has agreed to settle with plaintiffs for $2.5 million. The parties filed a request that the court approve the proposed settlement agreement on May 26. 

Plaintiff Brady Tucker filed the class action complaint in 2018, alleging that crypto purchases on Coinbase that he made with his Chase credit card had incurred illegal new fees due to the bank's categorization of the purchase as a "Cash Advance." Tucker argued that Chase was legally bound to give customers a 45-day written notice before applying the charges.

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After two years of court proceedings and legal negotiating, the parties filed a letter with the court on March 10 stating they had reached a settlement agreement.

Chase maintained its denial of the plaintiffs' claims, and that the settlement is not an admission of wrongdoing.

About Author

Aislinn Keely is a reporter on The Block's policy team holding down the legal beat. She covers court decisions, bankruptcies, regulatory actions and other key moments in the legal sphere, putting them in context for the wider crypto industry. Before The Block, she lent her voice to the NPR affiliate WFUV and helmed Fordham University's student newspaper. Send tips or thoughts on all things policy and legal to [email protected] or follow her on Twitter for updates @AislinnKeely.