Traders can file a lawsuit against Coinbase

Traders could lose money due to trading stop on Friday, related to "technical issues" on the exchange
26 December 2017   1868

On Friday, December 22, the price of bitcoin went down amid a deep correction of the cryptocurrency market, and one of the world's largest exchanges Coinbase suspended trading for two hours, citing technical problems related to the flow of traffic. The Outline spoke with the legal expert in the field of protecting the rights of investors and consumers Ross Khami.

American stock exchanges have the right to suspend trading only in accordance with the rules of the Securities and Exchange Commission (SEC); if the company intends to make an important statement, or in an imbalance between the number of buying and selling orders.

In the case of cryptocurrency exchanges, the issue of protecting consumers' rights is much more difficult to solve. The SEC has already warned investors that bitcoin-exchanges may unexpectedly completely stop work or suspend trading in the event of technical failures, hacker attacks or fraudulent schemes.

Despite the problems of regulating the new industry, dissatisfied users of Coinbase can sue the company if the decision to suspend trading costs them money, says New York attorney Ross Khami.

Courts have not yet ruled on whether federal securities laws or consumer protection laws apply in the cryptocurrency context. We’re starting to finally see a lot more lawsuits filed against companies that are issuing tokens in the ICO context. We’re also seeing lawsuits filed against exchanges. We don’t yet know how things will pan out with Coinbase, but if investors lose money from a hack or shutting down trading, there is sure to be litigation.

Ross Khami

Despite the fact that the decision to suspend trading is not illegal, this does not mean that investors can not make a claim. Moreover, other exchanges continued to trade in a rapidly declining market and increased traffic.

Kami believes that, given the experience of investors of the infamous MtGox stock exchange, it is unreasonable to store significant funds on stock exchange purses.

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   364

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.