Coinbase Refutes Bitcoin Cash Insider Trading Allegations

gepubliceerd op by Cryptoslate | gepubliceerd op

After launching an independent inquiry in December 2017 and allegations of insider trading, San Francisco-based Coinbase cleared its name and concluded no such activity was recorded.

On July 24, 2018, Fortune learned the cryptocurrency exchange concluded investigations into possible insider trading of Bitcoin Cash by Coinbase employees before its listing on the influential exchange.

On December 20, 2018, Coinbase announced the listing of Bitcoin Cash, a controversial Bitcoin hard fork, to its limited trading portfolio.

The activity was marked after Coinbase put out a "Surprise announcement" about BCH trading on GDAX, the company's wholly-owned cryptocurrency exchange.

Now, Coinbase stated the six-month-long probe, conducted by two "Well-known" law firms has been completed with no evidence of insider trading found.

In December 2017, after allegations, Coinbase CEO Brian Armstrong published the company's quality control and employee trading policy, stating all workers are under strict rules about acting on inside knowledge and face legal action if violated, apart from the contract termination.

Coinbase maintains a strict trading policy and internal guidelines for employees.

Coinbase employees have been prohibited from trading in Bitcoin Cash for several weeks.

Later, Coinbase told customers that BCH would be launched on January 1, 2018, and then unexpectedly launched the digital asset on December 17, 2018.

The CFTC is also reportedly investigating Coinbase over the BCH trading allegations.

x