Coinbase is accused of violating California law

Another class action lawsuit is filed against Coinbase due to allegations of unfair business practices
04 March 2018   927

The lawsuit was filed on March, 2 and accuses Coinbase of breaking Unclaimed Property Law in California along with operating business in an unlawful manner. Coinbase platforms allows users to send digital currency via wallet address or email. The latter provoked the accusations. Specifically, Coinbase user sends some amount of cryptocurrency in an email with a link for a recipient to create a Coinbase account and claim the digital currency. Such technique can be abusive as it is reported numerous transactions were yet to be redeemed. On top of that, the system isn't supposed to notify the sender of an unclaimed amount of cryptocurrency.

Imagine writing a cashier’s check to a friend. The bank withdraws funds from your account, but your friend never cashes the check. Does the bank get to keep the funds? The law clearly says no. But this is exactly what has happened with cryptocurrencies sent through Coinbase.com…

 

Excerpt from the lawsuit filing

Coinbase now is suspected to have kept the unclaimed digital currency, and this along with not notifying the sender violates the State of California's Unclaimed Property Law. Instead, the unclaimed cryptocurrency should be turned over to the State of California to prevent Coinbase from unlawful enrichment.

Accordingly, this class action seeks to recover these unclaimed Cryptocurrencies and deliver them to the intended recipients, as well as all “forks” thereof (e.g. Bitcoin Cash fork of Bitcoin), and “airdrops” related thereto (e.g., ERC20 […] airdrops of Ethereum related tokens).

 

Excerpt from the lawsuit filing

This case is the second lawsuit against Coinbase - the first one concerns an exchange of the alleged insider trading. Additionally, Coinbase had trouble with multiple charge of purchases, that resulted in VISA acknowledging the shortcoming on their side.

Coinbase to Launch Services for Newbie Traders

Coinbase Bundle, Coinbase Asset Pages and Coinbase Learn are designed to "help people understand, explore, and buy their first cryptocurrency"
28 September 2018   354

The leading US cryptocurrency exchange Coinbase, has introduced several services for novice users.

Coinbase Bundle allows to invest in several crypto assets, including Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic and Litecoin. At the same time, the specific weight of each currency in the user's portfolio is formed in accordance with the share of these assets in the market. The minimum investment in the Bundle is only $ 25.

Coinbase Bundle Service
Coinbase Bundle Service

The update is positioned by Coinbase as a convenient tool to acquire all five of the listed cryptocurrencies without having to create a separate order for each coin.

The platform will be used by users of the platform from the US, EU countries and Great Britain. The commission for the acquisition of Bundle is 1.5%.

Also, the company introduced the Coinbase Asset Pages service, which displays information on 50 leading crypto-currencies, including their market capitalization, the current price and its changes, as well as links to relevant information sources.

Coinbase Asset Pages
Coinbase Asset Pages

Coinbase Asset Pages is available to everyone and is not limited to the user base of the company.

In addition, the company introduced the educational service Coinbase Learn, designed to familiarize users with the basics of working with crypto-currencies.