Businessman and bitcoin enthusiast Albert Renshaw discovered additional evidence of insider trading at Coinbase on the day of listing Bitcoin Cash (BCH). This is reported by Bitcoinist.
As noted by Renshaw, the day before the BCH listing on Coinbase, on the forum / r / Coinbase an unknown user under the name mukiva2 warned traders about the upcoming event, citing a source in the company Coinbase. This discussion was deleted, but it remained in the archive.
Reddit profile mukiva2 was created on December 6, 2017, and the identity of this person remains unknown.
The price of Bitcoin Cash jumped by 370%, which forced Coinbase to temporarily suspend trading. The head of the company, Brian Armstrong, appealed to the community, assuring that all employees are subject to strict rules prohibiting trading on the basis of insider information.
I just published “Our employee trading policy at Coinbase” https://t.co/ydT9cTAdPR
— Brian Armstrong (@brian_armstrong) 20 декабря 2017 г.
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.
It is also worth noting that traders can file a lawsuit against Coinbase due to trading stop on Friday, related to “technical issues” on the exchange.