Good news for Coinbase, bad news for its customers

Coinbase, one of the world’s leading cryptocurrency exchanges, has had a legal battle going on for a while now. But it seems justice was on its side, as a U.S. judge recently dismissed a customer lawsuit that was stacked against it.

What was the lawsuit about?

The lawsuit accused Coinbase of:

  • Misleading customers about its order books – Coinbase emphasized that its advanced order books were providing customers with fair and transparent markets, while not disclosing their involvement in the markets.

  • Failing to honor trade orders – according to the complaint, the order books couldn’t take orders or always honor trade orders, including orders that allowed customers to buy and sell cryptocurrencies.

  • Manipulating cryptocurrency markets – the complaint even accused Coinbase of manipulating cryptocurrency markets by way of their order books and order cancellations.

Coinbase and the victory dance

It seems Coinbase made all the legal maneuvers perfectly, as the U.S. judge threw out the complaint and gave them the all-clear. While the ruling obviously brought joy and relief to the crypto exchange, customers felt cheated and deceived; now, it’s all back to square one for them.

Coinbase acted quickly and issued a statement that, in essence, thanked the judge for ruling in their favor and mentioned that the ruling shows their commitment to fair and transparent markets, even if they didn’t always act in such a way in the past.

Conclusion

All in all, Coinbase scored a major victory in court and can now proudly proclaim “no customer left behind!” Let’s just hope the customers eventually get their pound of flesh for their troubles. Until then, let us enjoy watching Coinbase and its lawyers doing the victory dance.