Coinbase to conduct internal investigation

Coinbase suspects its employees may have tried to make a quick buck off its launch of bitcoin cash (BCH) on the platform     
20 December 2017   894

One of the largest cryptocurrency exchanges, announced on Tuesday that it starts BCH trading. In few hours, this hardfork of Bitcoin reached $8,500 on Coinbase’s GDAX platform. It is almost 3 times higher than the 3,500 price being quoted on other exchanges. Shortly, BCH trading was suspended on GDAX, due to “significant volatility” and signs of foul play. This is reported by the Investopedia. 

On the next day, 20.12.2017, CEO Brian Armstrong published the blog post, saying the price of BCH on other exchanges began increasing hours before his company made its announcement, indicating that employees who knew about the launch engaged in insider trading. Armstrong noted that Coinbase is currently looking into the matter. 

Given the price increase in the hours leading up the announcement, we will be conducting an investigation into this matter. If we find evidence of any employee or contractor violating our policies — directly or indirectly — I will not hesitate to terminate the employee immediately and take appropriate legal action.

Brian Armstrong

CEO, Coinbase

Armstrong also added that Coinbase staff, together with their family and friends, had been forbidden from trading BCH for the past month as the company prepared to make the coin available on its own exchange. He added that a similar policy was also adopted before the San Francisco-based firm began supporting Ether and Litecoin. 

We’ve had a trading policy in place for some time at Coinbase. The policy prohibits employees and contractors from trading on “material non-public information”, such as when a new asset will be added to our platform. In addition to trading restrictions, it prohibits communication of material non-public information outside the company. This includes to friends and family.

Brian Armstrong

CEO, Coinbase

Coinbase is going to add BCH trading on Wednesday again.

Coinbase to Join Forces with Caspian

Coinbase hopes to attract big players with Caspian's tools
25 September 2018   111

Representatives of the platform for the cryptocurrency assets management Caspian announced a partnership with Coinbase. This is reported in the company's blog.

Caspian will provide Coinbase with a wide range of tools for cryptotrading, aimed at institutional investors. The platform will also assist financial institutions interested in working with digital assets.

We’re delighted to cement this important partnership with Coinbase, which will see one of the world’s leading digital currency trading venues join forces with one of the most exciting emerging crypto platforms. Our goal at Caspian has always been to make it is as frictionless as possible for professional traders and investors to trade and manage portfolios of cryptocurrencies in order to drive exponential growth in this market and we’re delighted that Coinbase shares this vision.

Robert Dykes

CEO, Caspian

The partnership will involve such products for institutional investors as Coinbase Prime, Coinbase Custody and the Coinbase Institutional Coverage Group support service.

According to the director of institutional sales of Coinbase, the set of Caspian's tools will give traders access to extensive historical market data and a pool of liquidity Coinbase.