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Coinbase Again Accused of Insider Trading

Regularly pointed out by regulatory bodies on the one hand and by cryptocurrency users, the Coinbase exchange has decided to put in place a new policy to “improve transparency by providing as much symmetrical information as possible”. However, this information struggled to be digested by the company's customers.


Coinbase Again Accused of Insider Trading

Obviously, Coinbase's attempt to improve the transparency of the asset listing process is struggling to convince. For good reason, as soon as it was announced, it sparked a multitude of questions and controversies on the web. As a reminder, in an article published on April 11 by Coinbase, the exchange announced 50 altcoins that it currently plans to list between April 1 and June 30 . For Coinbase, the goal of this initiative is “to increase transparency by providing as much information as possible”.

In principle, this information should have received the agreement of the company's investors and customers. It was supposed to instill in them a sense of confidence in the fairness of the asset rating system. However, that is not at all what happened. It didn't take long for this idea to be disproven.

The reactions on the Internet after the publication of the Coinbase article were numerous. For example, Cobie, a cryptocurrency influencer wrote, "I found an ETH address that purchased hundreds of thousands of dollars worth of tokens featured exclusively in Coinbase's asset article, about 24 hours before its publication. This suggests that there is no transparency.


What do we blame Coinbase for?

What do we blame Coinbase for? Concretely, it is about the lack of transparency shown by the cryptocurrency exchange in terms of the listing of assets. In fact, well-informed people manage to know which digital assets will be listed before they are.

Let's take Cobie's post to illustrate it. He gave the name of a few tokens that could be listed soon: Indexed (NDX), Kromatika (KROM), DappRadar (RADAR), RAC (RAC), DFX Token (DFX) and Paper (PAPER). For information, since this publication, the value of indexed tokens has increased slightly.

Coinbase may have never before released the names of the tokens it is currently considering listing, but this is not the first time someone with insider knowledge within the company has been accused of anticipating. the market. In February, a similar incident occurred before the listing of Pawtocol (UPI) and Aventus (AVT). A new portfolio had been created and a seven-figure sum had been placed there before the listing was announced.

Once again, Coinbase finds itself in the middle of attacks from both sides. For this time, it is its lack of transparency that is highlighted, especially with regard to the listing of digital assets.


Source : BeinCrypto

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