Coinbase Lied To Congress About Altcoin Trading! “The 100 Million Dollar Table”

According to the Wall Street Journal, the largest cryptocurrency exchange Coinbase last year cryptocurrency It turned out that he formed a team specific to his trade.

WSJIn the report, it was stated that Coinbase set up this trading desk despite assuring the US Congress last December that it does not conduct trading business related to cryptocurrencies.

Stating that it does not carry out any crypto trading activities in Congress, Coinbase’s establishment of this table brought to mind the question of whether it was used for market manipulation.

According to the WSJ, Coinbase is looking for new ways to make money. Bitcoin (BTC) and various cryptocurrencies created a team tasked with staking.

The famous exchange hired at least four senior Wall Street traders for this team in July 2021.

According to people familiar with the matter, Coinbase’s staff is in part to trade and use the company’s cash. cryptocurrencies They have staking rights.

Coinbase gave the team a budget of $100 million for this transaction.

According to sources, coinbase argues that this activity is registered. In addition, this team of Coinabase has left to stake cryptocurrencies. 100 million dollars completed the process.

The WSJ stated that after Coinbase completed this transaction, the team it formed ceased to operate and the Wall Street traders hired for the team also left Coinbase.

A spokesperson for Coinbase told the WSJ:

“Our statements to Congress accurately reflect our actual business activities.

Coinbase has no proprietary trading business and never has.

Any implication that we are misleading Congress is a deliberate distortion of the facts.”

Proprietary trading of exchanges is not welcome, as regulators can create a conflict of interest between exchanges. Because such teams can cause exchanges to trade against their customers and cause the customer to experience significant losses.