Ahead of IPO, Coinbase Pays CFTC $6.5 Million to Settle False Reporting, Wash...
The Commodity Futures Trading Commission (CFTC) has fined cryptocurrency exchange Coinbase $6.5 million “for reckless false, misleading, or inaccurate reporting as well as wash trading.” This enforcement action came as Coinbase is getting ready for its initial public offering (IPO) on Nasdaq. CFTC Takes Action Against Coinbase The CFTC announced Friday that it has issued an order settling charges against cryptocurrency exchange operator Coinbase Inc. “for reckless false, misleading, or inaccurate reporting as well as wash trading.” The regulator wrote: The order....
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The Commodity Futures Trading Commission (CFTC) has imposed a $6.5 million fine on Coinbase. The regulator is accusing the Exchange of false or misleading reporting and wash trading, per an official statement. Between 2015 and 2018, according to the CFTC order, a former Coinbase employee engaged in the referenced misconduct on the GDAX platform. The […]
The crypto exchange escapes regulatory scrutiny with a slap on the wrist, but no stock listing on exchanges until next month After settling charges of improper reporting of exchange volume and “self-trading” with the CFTC yesterday, reports have emerged that cryptocurrency exchange giant Coinbase is set to push back its stock listing to next month. The company had previously been expected to go public some time in March. Yesterday, March 19 the Commodity Futures Trading Commission announced a settlement with Coinbase over charges that the company inaccurately reported trading data on....
The US Commodity Futures Trading Commission (CFTC) has settled charges it filed today against New Jersey-based bitcoin swap execution facility (SEF) TeraExchange. The charges stem from a non-deliverable forward contract executed on 8th October on TeraExchange, which is provisionally registered as a SEF. The transaction took place under the active guidance of TeraExchange, without any associated trading fees or collateral requirements, the agency said. According to the CFTC, these actions constitute wash trading and prearranged trading in violation of the Commodity Exchange Act. The agency....
Securities and Exchange Commission regulators should move to protect investors from traders who distort the NFT market with manipulative trades — and they probably will soon. Studies show that most people who attempt to wash trade nonfungible tokens (NFTs) are unprofitable. But that doesn’t stop them from trying, which makes it a glaring regulatory and enforcement issue for the industry. In wash trading, manipulators buy and sell an asset between themselves to create the appearance that the asset is in higher demand and, therefore, worth more than it would be otherwise. With NFTs, wash....
Cryptocurrency exchange Coinbase is disabling its margin trading product in order to comply with the new rules set by the Commodity Futures Trading Commission (CFTC). CFTC’s Rules Affecting Margin Trading Offerings Coinbase’s chief legal officer, Paul Grewal, explained in a blog post on Tuesday: In response to new guidance from the Commodity Futures Trading Commission, we are disabling our margin trading product. Starting on Wednesday, Nov. 25 at 2 p.m. PT, customers currently using Coinbase’s margin trading will not be able to place new margin trades and all open limit....