Coinbase is facing class action suits over unstable stablecoins GYEN, TerraUSD
The cryptocurrency exchange is accused of failing to do due diligence, among other things, after users lost large sums as a result of the depegging of stablecoins. A class-action suit was filed against Coinbase on Thursday claiming the trading platform was negligent in its listing of the TerraUSD stablecoin and alleging that it failed to disclose its financial relationship with Terraform Labs. This is the second class-action suit outstanding against Coinbase. A suit was filed last month in connection with the depegging of GYEN in November. Thursday’s suit alleges Coinbase was negligent for....
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Many Coinbase customers are understandably frustrated after the company decided to freeze their accounts for weeks. Coinbase has come under fire recently following a technology snafu that reportedly resulted in the company closing many of its customer’s accounts. When users attempted to purchase Japanese stablecoin GYEN and Powerledger (POWR), they suffered from technical difficulties. This was then followed by an error in the system response. Now, deeply frustrated customers have launched an online campaign demanding refunds. #Coinbase only gave me $50 worth of $BTC ♀️ I need all my....
Coinbase experienced connectivity issues three times over the past 30 days, according to official data. Nasdaq-listed cryptocurrency exchange Coinbase reportedly continues to face some system difficulties after experiencing a major connectivity problem.Both Coinbase brokerage and its trading platform Coinbase Pro were unavailable on Nov. 23 due to connectivity issues on both platforms, Coinbase Support officially reported.“This may cause failed trades, delayed transactions, and unexpected behavior on the webpage and mobile apps,” Coinbase said.The exchange said it resolved the issue as of....
The quest continues for the perfect “stand in” for the U.S. dollar. But, UST’s crash suggests that algo stables may be “inherently fragile.” TerraUSD (UST) is an algorithmic stablecoin that is pegged at $1.00. But, on the evening of May 19, it was trading for $0.083.This isn’t supposed to happen, of course, but last week UST, along with its affiliated coin Terra (LUNA), performed a sort of death spiral that “wiped nearly $50 billion of investor wealth in a few short days,” according to NYDIG’s May 13 newsletter.The crash shook the crypto sector, but it also raised some questions: Is this....
Coinbase faces a class action lawsuit against its involvement in the Cryptsy fiasco. Read more... Coinbase is courting one trouble after another. Following the latest issue with the IRS, the cryptocurrency company has another legal challenge to face. This time, it is a class action lawsuit by Silver Law Group and Wites & Kapetan regarding the platform’s alleged involvement in $8 Million theft by Cryptsy’s promoter Paul Vernon. The nationwide class action lawsuit against Coinbase has been filed in the United States District Court for the Southern District of Florida. According to....
Adding to the long list of suits against downed Bitcoin exchange Mt. Gox, all of which have to wait for Japanese court action to finish in 2015, three Japanese creditors of Mt. Gox have filed a lawsuit against their former Bitcoin exchange. According to the Japan Times, The three creditors filed lawsuit in Tokyo District Court recently, demanding that Mark Karpeles pay 23.5 million Yen in damages. The suit claimed that Karpeles was "aware of the possibility of illicit withdrawals (of bitcoins) due to fragility of the firm's (computer) system." The suit further claims that "the firm....