Coinbase pays $6.5 million to settle trading investigation with CFTC
The Commodity Futures Trading Commission (CFTC) said in a news release Friday that cryptocurrency exchange platform Coinbase has paid $6.5 million to settle regulators’ claims that it reported misleading transaction data.
According to the CFTC, between January 2015 and September 2018 “Coinbase recklessly delivered false, misleading, or inaccurate reports concerning transactions in digital assets.” The agency alleges that two trading programs operated by Coinbase generated orders that traded with each other, which could have misled traders about the trading volume on the exchange now called Coinbase Pro.
The CFTC also fined Coinbase for what are known as “wash trades” in the Litecoin cryptocurrency and bitcoin that were conducted by a...