To your point about SARs / CTRs- SARs at banks are usually triggered by cash deposits and withdrawals at a much lower level, and every bitcoin transaction is roughly equivalent to a cash transaction. Thus "bank-level scrutiny".
> I mean isn't that the point of the government request?
It's not clear to me whether they actually need this at all, considering Coinbase's existing reporting requirements. It's common enough from other branches to make overreaching requests to set a precedent (eg the DoJ / Apple iPhone) so I wouldn't just assume it's business as usual.
You're fixated on SARs being comparable to CTRs and they just aren't. First, a SAR is only for suspicious activity and it's relatively uncommon, a CTR is not optional and very common. If a SAR is being filled out, it's after trying to get in touch with the person to better understand their business and why various transactions look suspicious. It's not undertaken lightly. It's not a routine filing whereas CTR's are.
> I mean isn't that the point of the government request?
It's not clear to me whether they actually need this at all, considering Coinbase's existing reporting requirements. It's common enough from other branches to make overreaching requests to set a precedent (eg the DoJ / Apple iPhone) so I wouldn't just assume it's business as usual.