You tried to do the right thing. For what it's worth, that's very commendable. It's reasonable that you'd be upset because you're going to be burdened by the efforts required to further legitimize those earnings in the eyes of the IRS/law.

That said, you still did business in an unsanctioned proxy-currency. There's bound to be a cost to that.

Honestly, you should be upset with the broker (coinbase) for not providing you with suitable reporting documentation in the first place.