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The US-based Exchange Coinbase was brought to the dock last Friday for two misdemeanors. One is a violation of the California Unclaimed Property Law, and one is illegal and unfair business practices. The outcome of these procedures is not yet in sight.

As the indictment of Coinbase users Timothy G. Faasse and Jeffrey Hansen, who act on behalf of yet more prosecutors, shows, the lawsuit concerns inconsistencies in the transaction of cryptocurrencies. Coinbase allows the transfer of crypto currencies traded on the platform to external email addresses rather than crypto wallets only. Users can then claim their purchased coins via the link sent by e-mail.

The problem with the matter is that not all portfolios were actually used in this way. Now comes the question of what happens to the unclaimed assets. In Scripture it says rhetorically:

“Imagine writing a check to a friend. The bank withdraws money from your account, but your friend never collects the check. Can the bank keep the money? The law clearly denies that. But that’s exactly what happened to cryptocurrencies sent through Coinbase.com. “

Thus, the prosecutor of the platform Coinbase accuse fraud on the customer and a very clear legal violation. Rather than alerting customers that the coins they had sent were never accepted, Coinbase simply withheld the amount, in violation of California’s unclaimed property law.
Insider Trading with Bitcoin Cash

However, the platform also has to deal with another case. According to a complaint filed on Friday by user Jeffrey Berk, employees and other internees are said to have benefited from cryptocurrency information that was not available to the public at the time. Priority is given to the knowledge that the Exchange began listing Bitcoin Cash in December of last year.

According to the prosecutor, who also acts as a proxy for all victims, Coinbase was able to artificially influence prices between 19 and 21 December as a result of an asymmetrical distribution of information. This action has damaged many investors who have been active during this period.

How Coinbase will react to the two charges is still unclear at the present time. So far, the allegations do not seem to have hurt sales at the Exchange.

from German: https://www.btc-echo.de/sammelklage-gegen-coinbase-angeklagt-in-zwei-punkten/