Breaking

Tuesday, December 19, 2017

CoinBase under fire - halted trades, accusations of insider trading and corruption...


CoinBase/GDAX are currently taking a lot of heat from users on twitter, facebook, reddit as well as some slack and telegram channels... well, basically anywhere people are discussing crypto.

Their announcement of supporting Bitcoin Cash on their platform quickly came to a grinding halt, as trading was suspended just minutes later.

According to posts on their own status page, they managed to function only a disappointing 4 minutes before halting:

17:20 PST - Trading is now enabled on the BCH-USD order book 

17:24 PST - The BCH-USD order book is back in post-only mode. We will post an update shortly.

Accusations of more serious foul play are flying around as well,  as people noticed what they say were abnormal purchases of Bitcoin Cash shortly before CoinBase's official launch - and it has some claiming there was insider trading.  With thousands of tweets making claims like:
Which even prompted CoinBase to tweet to critics:
There was indeed an uptick in Bitcoin Cash purchases just minutes before CoinBase's update, although no definitive proof of why.

Currently traders on Coinbase and GDAX are out of luck, the last word from CoinBase at time of publishing this article is:

 "All BCH books will enter cancel-only mode, and all existing orders will be cleared. While in cancel-only mode, no new orders will be accepted. We will post an update shortly. "

In the meantime, this is leaving many questioning what the actual price of Bitcoin Cash is - at one point GDAX listed it at $9500, but on other exchanges it's going for extremely lower - around $3400.

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Author: Ross Davis
San Francisco News Desk