Coinbase has Been Sued for Insider Trading
Coinbase, a popular U.S. based crypto exchange has found itself at the receiving end of a lawsuit. The lawsuit claims that Coinbase allegedly suppressed Bitcoin.
Is Second Time the Charm for Jeffery Berk?
Based on a recent report, Jeffery Berk filled a lawsuit against the crypto exchange, accusing the company of insider trading. According to a previous report, this is not the first time, Jeffery will be filing a lawsuit against Coinbase. In 2017, Jeffery reportedly filled a lawsuit against Coinbase for allegedly facilitating insider trading of BitcoinCash on its platform. He claimed that top officials of the crypto company knew about this. Unfortunately for him, the case never saw it day in court. The reason for it getting thrown out of court, was because the lawsuit failed to clearly define Coinbase’s duties and failures in relation to the allegations tabled before the court.
From the look of things, it seems Jeffery wasn’t satisfied with how the court treated the case. He probably kept on looking and digging deep into Coinbase’s operations until he found something.
The recent BCH hard fork reportedly gave Jeffery the opportunity he was looking for. As a result of this, he has filled another lawsuit, on the same premises as the first one, but this time making sure to address the reasons why the first lawsuit was thrown out of court.
According to the new lawsuits, “Coinbase conducted a flawed listing and tried to inflate the price of Bitcoin Cash while suppressing Bitcoin.” “As a result of this, Coinbase influenced more BCH transactions and bring itself more profits.”
If all these claims happen to be true, the exchange and its officials will get charged with insider trading activities.
Coinbase Did its Own Investigations
So far, Coinbase has made it known that the claims are far from the truth, and the exchange has done its own internal investigation and it has not found any evidence suggesting an inside trading activity.
