Crypto Hotshots 2022 🔥♨️

Twitter Instagram Facebook Facebook Linkedin Youtube Spotify Medium Reddit Telegram
Voice of Crypto
  • VOC Explained
  • News
  • Analysis
  • Bitcoin
  • Altcoin
  • Press Release
    • Sponsored
    • Global Crypto Events
  • Services
    • Content Marketing Services
    • Crypto Influencer Marketing
    • Advertise With Us
  • Know Us
    • About Us
    • VOC Team
    • VOC Vigilantes
    • Brands Who Trust Us
    • Contact Us
Reading: Coinbase Slammed with New Class Action Lawsuit Over Security Lapse
Share
  • bitcoinBitcoin(BTC)$27,699.00
  • ethereumEthereum(ETH)$1,763.29
  • tetherTether(USDT)$1.01
  • binancecoinBNB(BNB)$325.85
  • usd-coinUSD Coin(USDC)$1.01
  • rippleXRP(XRP)$0.448172
  • cardanoCardano(ADA)$0.364252
  • dogecoinDogecoin(DOGE)$0.075813
  • staked-etherLido Staked Ether(STETH)$1,760.26
  • matic-networkPolygon(MATIC)$1.11
  • Events
  • Videos
  • Podcast
Voice of CryptoVoice of Crypto
Aa
  • VOC Explained
  • News
  • Analysis
  • Bitcoin
  • Altcoin
  • Press Release
  • Services
  • Know Us
Search
  • VOC Explained
  • News
  • Analysis
  • Bitcoin
  • Altcoin
  • Press Release
    • Sponsored
    • Global Crypto Events
  • Services
    • Content Marketing Services
    • Crypto Influencer Marketing
    • Advertise With Us
  • Know Us
    • About Us
    • VOC Team
    • VOC Vigilantes
    • Brands Who Trust Us
    • Contact Us
Follow US
Copyright © 2023 Voice of Crypto. All Rights Reserved
Voice of Crypto > News > Coinbase Slammed with New Class Action Lawsuit Over Security Lapse
News

Coinbase Slammed with New Class Action Lawsuit Over Security Lapse

Samvida Sharan
Last updated: 2023/03/14 at 12:09 PM
Samvida Sharan Published August 25, 2022 March 14, 2023
Share
VOC, Voice of Crypto, Coinbase Lawsuit

Coinbase (COIN), a U.S.-based cryptocurrency exchange, has failed to offer adequate security to its users’ accounts. This makes the user’s account vulnerable to theft and unauthorized transfers. The crypto exchange has been slapped with a class action lawsuit filed in the U.S. District Court for the Northern District of Georgia.

Contents
Details of the Georgia-Based LawsuitCoinbase Support Team Failure

The lawsuit accuses the firm of causing financial harm to its users. It stated that the company permanently locked several of its user’s accounts for long periods. The firm has also allegedly violated federal law by listing securities on its crypto exchange platform.

Coinbase, the first cryptocurrency exchange to go public in the United States, is being sued with numerous lawsuits from several displeased investors. Apart from this, another class action lawsuit filed in New Jersey accused the company of allowing U.S. users to trade unregistered securities.

To add to it, a shareholder of Coinbase accused the company of misleading investors concerning the public listing of the previous year. There are yet another two lawsuits that the company is trying to solve and settle. The investors filed these through arbitration. SEC too, is currently investigating this Nasdaq-listed firm for its token listing processes, staking programs, etc.

Details of the Georgia-Based Lawsuit

This recent lawsuit against Coinbase in Georgia represents a group of more than 100 people, including the lead plaintiff, George Kattula, a Georgia resident. Kattula’s attorneys even claim that there is a possibility of the existence of more victims. 

John Herman of Herman Jones LLC, the Georgia-based law firm that represents Kattula, stated in an emailed statement, “We are aware of a large number of fraudulent transactions in the accounts of Coinbase customers. We are encouraging all Coinbase account holders to review their accounts carefully and advise us promptly of any irregular activity.”

Coinbase Support Team Failure

The lawsuit further adds to the details of the alleged issues, where it cites an incident from 2019. In this incident, a customer could get back into their account after over six months. The suit stated that the company has repeatedly repeated this pattern with several users. According to the filed complaint, the customers must first contact Coinbase’s support team. If the support team fails to resolve the issue, the customers have to through a formal process of filing complaints.

Now, if Coinbase fails to resolve the issue even by this means, then the customers can seek the help of arbitration to resolve these disputes. The filing stated, “… Coinbase systemically fails to follow those pre-arbitration dispute resolution mechanisms as set forth in the User Agreement, thereby rendering the provision, including its delegation provision, void …”.

According to the allegation of the lawsuit, Coinbase has proven inefficient in establishing and maintaining effective measures related to cybersecurity. This inability of Coinbase has resulted in investors losing their wallets and account access.

This suit by Kattula seeks damages exceeding $5 million, excluding the legal costs he had to incur. It asks for a binding judgement and an injunctive relief, which would prohibit the parties involved from certain activities.

You Might Also Like

Fate of TRX Amid SEC Crackdown on Tron

Wells Notice: What does it Mean?

USDD Crash, after SEC Opens Investigations on Justin Sun

Arbitrum Airdrop to go Live Today, Know All About It

Bitcoin Price Possibly Targeting New ATH this Cycle?

TAGGED: Crypto Exchange
Share this Article
Facebook Twitter Email Copy Link Print
Previous Article VOC, Voice of Crypto, Bitcoin, BTC, FTX Bitcoin Price Struggles at $21,000, Indicators Hint at Another Possible Decline
Next Article Bitcoin Drops Is Crypto Market Mirroring the Dot Com Bubble?
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Binance

Follow US

Find US on Socials
Facebook Like
Twitter Follow
Instagram Follow
Youtube Subscribe

Subscribe to our Newsletter

Get Newest Articles Instantly!

Ledger
Popular News
Web3 Shorthand
Web3 Shorthand: A Glossary for Crypto Newbies
Voice of Crypto Tron TRX
Fate of TRX Amid SEC Crackdown on Tron
Quick-Tips-To-Avoiding-A-Fake-Crypto-Wallet
Quick Tips To Avoiding A Fake Crypto Wallet

Follow Us on Socials

We use social media to react to breaking news, update supporters and share information

Twitter Instagram Facebook Facebook Linkedin Youtube Spotify Medium Reddit Telegram
Voice of Crypto

Voice Of Crypto hits a beat with almost 15 million users, churning out the best news and content in the Web3, crypto and blockchain space

Subscribe to our newsletter

You can be the first to find out the latest news and tips about trading, markets...

  • Advertise With Us
  • About Us
  • Privacy Policy

Copyright © 2023 Voice of Crypto. All Rights Reserved

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?