Reports have emerged that cryptocurrency exchange giant Coinbase is set to push back its stock listing to next month, after settling charges of improper reporting of exchange volume and self-trading with the CFTC. In March, the company is expected to go public.
There is no stock listing on the exchanges till next month, because the crypto exchange escapes regulatory scrutiny with a slap on the wrist.
There is a settlement with Coinbase over charges that the company inaccurately reported trading data on Bitcoin and that the employee ‘self-traded’ to create illusion of volume and demand for litcoin as announced by Commodity Futures Trading Commission.
“Reporting false, misleading, or inaccurate transaction information undermines the integrity of digital asset pricing,” – Acting Director of Enforcement Vincent McGonagle. “This enforcement action sends the message that the Commission will act to safeguard the integrity and transparency of such information.”
The CFTC order says that between January 2015 and September 2018 the company operated two automated trading programs, Hedger and Replicator. While the exchange disclosed the use of a trading program, they did not reveal that they were using two that often matched trades.
As a result, the Coinbase API delivered fraudulent trading data to entities such as the CME Bitcoin Real Time Index, and CoinMarketCap, as well as NYSE Bitcoin Index via “direct transmission” from Coinbase.