Negligence, fraud, and unfair competition for its handling of the launch of Bitcoin Cash, awaits the cryptocurrency exchange Coinbase.
August 08, 2019 | AtoZ Markets - US District Judge Vince Chhabria has issued a verdict that the crypto exchange Coinbase would be charged with negligence, fraud, and unfair competition for its handling of the launch of Bitcoin Cash.
The exchange referred to allegedly canceled US dollar orders of BCH hours before the crypto was added to its platform, the thing that caused the price to rise, amid claims that the exchange was involved in insider trading.
The judge, on the other hand, still dismissed the plaintiffs’ fraud and unfair competition claims against Coinbase, and the negligence claims brought by the ones who sold BCH.
The Court’s order detailed that Coinbase, Inc. had “renewed motion to compel arbitration is denied. The Court’s prior order explains why the arbitration agreement does not clearly and unmistakably delegate the question of arbitrability to the arbitrator.”
BCH negligence claims, Coinbase convicted of BCH negligence claims!
The court document also detailed that “The plaintiffs’ other theory of liability that Coinbase negligently launched a dysfunctional trading market for Bitcoin Cash presents a closer question, but this claim too is collateral to the user agreement. Even if the plaintiffs could not access Coinbase’s exchange without accepting the terms of the user agreement (and therefore could not have been injured but for the agreement), Coinbase’s negligence is actionable separate and apart from any contractual remedies the plaintiffs may (or may not) have available.”
In parallel, the former CTO of Coinbase and the general partner of Andreessen Horowitz, Balaji Srinivasan was recently reported to have said that that cryptocurrencies would change the way of investment in the upcoming days, believing that crypto will be the next to conquer of Venture capital. Having a vast experience in companies like Teleport, Counsyl, Earn, and Coin Center Srinivasan has different views towards the cryptocurrency industry, as per media reports.