Overview

A class action lawsuit has been filed against Coinbase Global, Inc. (“Coinbase” or the “Company”) (NASDAQ: COIN) and certain of the Company’s former senior executive officers alleging violations of the federal securities laws.  The Coinbase class action lawsuit is brought on behalf of all persons and entities who purchased or otherwise acquired publicly traded Coinbase securities between April 14, 2021, and July 25, 2024, both dates inclusive (the “Class Period”).  Investors have until November 12, 2024, to seek appointment as lead plaintiff of the Coinbase class action lawsuit.

Coinbase provides a trusted platform that serves as a compliant gateway to the “onchain” economy and enables customers to engage in a wide variety of activities, including discovering, trading, staking, storing, spending, earning, and using their crypto assets in both proprietary and third-party product experiences enabled by access to decentralized applications.  The Company offers (1) consumers their primary financial account for the crypto economy, (2) institutions a full-service prime brokerage platform with access to deep pools of liquidity across the crypto marketplace, and (3) developers a suite of products granting access to the Company’s ecosystem.

Coinbase does not have a principal executive office.  Coinbase is remote-first and accordingly, does not maintain a headquarters or principal executive office.  Substantially all of the Company’s executive team meetings are held virtually, with meetings occasionally held in-person at locations that are either not in the Company’s offices or in various Company offices distributed around the world.  The Company holds all of its stockholder meetings virtually.

Pertinent to this action is CB Payments Ltd. (“CBPL”), a U.K.-based Company subsidiary.  As stated by the United Kingdom’s Financial Conduct Authority (“FCA”), CBPL is part of the Coinbase Group, which operates a prominent crypto asset trading platform that is accessible globally.  CBPL does not undertake crypto asset transactions for customers, but it enables customers to deposit fiat currency into e-money wallets which can then be used to purchase and exchange crypto assets via other entities within the Coinbase Group.

The Coinbase class action lawsuit alleges that Defendants, throughout the Class Period, made false and/or misleading statements and/or failed to disclose that: (1) in 2020, the FCA had deemed efforts by the Company’s British unit, CBPL, to prevent criminals from using its platform to be inadequate; (2) as a result, the FCA reached an agreement with CBPL, which put requirements in place that were designed to prevent high-risk customers from using CBPL’s platform; (3) CBPL then breached that agreement, which resulted in 13,416 high-risk individuals receiving services; (4) the foregoing resulted in an undisclosed heightened regulatory risk; and (5) as a result, Defendant’s statements about their business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.  When the true details entered the market, the lawsuit claims that investors suffered damages.

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If you purchased or otherwise acquired publicly traded Coinbase securities between April 14, 2021, and July 25, 2024, both dates inclusive, and you wish to serve as lead plaintiff in this lawsuit, we encourage you to submit your information to DiCello Levitt LLP via the form on this page. 

You can also contact DiCello Levitt partner Brian O’Mara by calling (888) 287-9005 or at [email protected]. 

The deadline to apply to the Court to serve as a lead plaintiff in the Coinbase class action lawsuit is November 12, 2024.