Coinbase Announced ERC20 Support

This will allow to add a number of new assets to the platform in the future
27 March 2018   1641

Coinbase announced that in the coming months it will implement the support of the technological standard ERC20. This will allow to add a number of new assets to the site in the future.

ERC20 standard is used in smart contracts Ethereum and has become very popular among developers and organizers of initial offers of coins.

As stated in the message, support for ERC20 will store a number of new assets with the help of Coinbase Custody, but not all of them will be available for trading on GDAX or Coinbase.

It is noted that the development team intends to wait for a clearer regulatory framework before deciding whether to add certain ERC20 assets to GDAX. In addition, the support of the standard will allow you to safely recover assets that are mistakenly sent by users to Ethereum-addresses of GDAX and Coinbase.

As for Coinbase Asset Management, according to the index methodology, any assets in the GDAX listing will be added to the Coinbase Index based on market capitalization.

In general, new assets will be able to get into the Coinbase listing only after they are added to GDAX. The assessment will be made on a number of parameters, including liquidity, price stability and other indicators of "market health." Any of the ERC20 assets that appeared on GDAX can be selected for addition to Coinbase.

At the same time, it is especially noted that, most likely, GDAX will have more new assets than Coinbase, so adding them to the latter is not guaranteed.

Finally, the implementation of ERC20 support in Coinbase Commerce is not yet planned.

Coinbase to Appear in San Francisco District Court

Exchange representatives must appear in court due to issues related to BCH trading launch in 2017
07 August 2019   134

San Francisco District Court judge Vince Chhabria ruled that the latter showed negligence and “clear incompetence generated by haste” when it started trading in Bitcoin Cash (BCH) on Coinbase. Now Coinbase, apparently, will be forced to stand trial, Bloomberg reports.

So, at the end of 2017, the exchange opened BCH trading, but was forced to suspend operations after 2 minutes due to high volatility and suspicious price increases - the coin began to grow rapidly several hours before the announcement of Coinbase.

Then the company was accused of insider trading, later crypto enthusiasts even began to find confirmation of this.

According to the judge, the users who bought VSN at inflated prices were primarily affected. He noted that the suspension of trading was too hasty and disrupted the normal functioning of the market.

BCH buyers claim that Coinbase could have announced a bid in advance to prevent a price spike, but it did not. The judge agreed with this opinion and noted that shortly before the launch of BCH trading on Coinbase, the Chicago Mercantile Exchange opened trading in bitcoin futures, which could become a factor of too much market participants' recovery.

According to the publication, Coinbase has not yet commented on the court decision.

Recall that in March 2018, a class action lawsuit was filed against the company, in which Coinbase was accused of “artificially overpricing” Bitcoin Cash through trading based on insider data.