Coinbase receives $ 6.5 million fine from CFTC
The sanction corresponds to the publication of reckless reports as well as illegal actions by a former employee on the platform
This March 19, the United States Commodity Futures Trading Commission (CFTC) has issued a fine against Coinbase where it orders the exchange to pay 6.5 million dollars, as the commission expressed in a press release.
The move is due to the fact that, according to the CFTC, Coinbase has spread “reckless, false, misleading or inaccurate reports, as well as laundering operations by a former employee on the GDAX platform” of the exchange.
Investigations started in 2015
Between January 2015 and September 2018, Coinbase carried out operations that affected the market perception of prices and the volume of GDAX. The commission explains in more detail that in August and September 2016 a series of operations were detected that boosted the volume of activity and that these transactions were also related to the Litecoin / Bitcoin pair.
However, in November 2020 the exchange closed its margin trading platform on the 25th of that same month and completely terminated the function in December, once the open positions had expired.
The decision caught the attention of the Commission but Coinbase claimed that its stance was due to “recent guidance” published in March 2020 by the CFTC.
K.Villarroel
Source: beincrypto
