Cryptocurrencies
Coinbase Insider Trading May Be Wider Than US Case: Study
- Some traders seemed to buy tokens ahead of their listings
- A former Coinbase employee was charged with insider trading
A monitor displays Coinbase signage in New York.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
The US charge against a former Coinbase Global Inc. employee may not be the only instance of insider trading at the cryptocurrency exchange, according to a new study.
Some traders appear to have snapped up tokens ahead of 10% to 25% -- or 15 to 37 -- of Coinbase listings since 2018, wrote three academics at the University of Technology Sydney. Federal prosecutors had indicted a former Coinbase worker last month for profiting from at least 14 announcements, in a sign of growing regulatory zeal in the asset class.