Amid the lawsuit against crypto exchange Coinbase by the US Securities and exchange commission (SEC), insider transaction data shows that the company’s top leadership have been selling Coinbase stocks worth $30.95 million. However, it it is unsure if the stock sales were directly linked to the SEC lawsuit impact or were initiated prior to the lawsuit filing on June 6, 2023.
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CEO Brian Armstrong Sold Most Shares
According to the real time insider transaction data from Dataroma, some of the top executives at the crypto exchange, including CEO Brian Armstrong and chief legal officer Paul Grewal, initiated as many as 53 sale transactions worth over $30 million. These Coinbase stock sale transactions were carried out between 20 June 2023 and September 1, 2023, whereas the SEC lawsuit was filed on June 6, 2023. In a transaction as recent as September 1, 2023, Brock Lawrence, the company’s chief people officer, sold over 19,000 shares.
The SEC had in the lawsuit charged Coinbase with operating the crypto trading platform as an unregistered national securities exchange, broker, and clearing agency. The complaint argued that the exchange had since at least 2019 unlawfully facilitated the buying and selling of crypto asset securities and made billions of dollars.
What Next In US SEC Vs Coinbase Lawsuit
In a positive development for the crypto community, judge Katherine Polk Failla of the Southern District of New York had dismissed a class action lawsuit against Uniswap. The Uniswap protocol was accused of conducting securities sales in the name of digital tokens. Stressing on the decentralized structure of the Uniswap protocol, the judge highlighted the absence of identifiable defendants in the case. Interestingly, Failla is the same judge overseeing the case between the US SEC and Coinbase.
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