Coinbase ($COIN) Price Tumbles Over $3 Bln Stock Dumping Claims

Coinbase News: Coinbase (NASDAQ: COIN), the U.S. biggest crypto exchange is slapped with an investor lawsuit alleging that its top executives manipulated insider information in order to ditch $1 billion in losses. Coinbase stocks which is having a tough 2023 saw its share price dropping by around 7% over the past day.

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Coinbase CEO Dumped $292 Mln Worth Of $COIN

As per reports, Coinbase CEO Brian Armstrong and other investors Marc Andreessen and Fred Wilson have been named in the lawsuit. It is being mentioned that Coinbase officials sold $2.9 billion worth of $COIN stocks between Aprile 14, 2021 and the day when the firm issued its quarterly earnings.

Coinbase made a Nasdaq debut on April 14, 2021, while Wilson sold around $1.8 billion worth of stocks. Reports suggest that CEO Brain sold $292 million worth of his shares and Andreessen got rid of his $119 million worth of shares.

As the investor lawsuit news broke out, COIN price has shrunk by 7% over the past. Its trading price closed at $50.14. However, data depicts more trouble for Coinbase as its price registered a drop of 1.5% pre-market to stand at $49.39.

However, NASDAQ: COIN price is on a constant drop as the exchange received several legal warnings from the U.S. top regulator Securities and Exchange Commission (SEC). COIN price has declined by 21% over the last month.

Also Read: FOMC, ECB: Bitcoin To Face Tough Week Ahead; Here’s Why