Home News Alt Coins Coinbase Violated Rules While Listing XRP: Report

Coinbase Violated Rules While Listing XRP: Report

February 27, 2019 16:07
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While the XRP community has been agog with happiness, with the news of the token being listed on eminent cryptocurrency exchanges, OKex and Coinbase, a study says XRP violates some of Coinbase’s listing rules.

A study by Diar, which is a newsletter dedicated to publishing reports on digital assets and their regulations said the exchange violated its own listing rules to list XRP. The report said, “However, Coinbase has now clearly abandoned one of their own pillars for the potential listing of a cryptocurrency. In their own Digital Asset Framework that outlines requirements to be listed, the exchange states that “the ownership stake retained by the team is a minority stake,” a fact far from reality as Ripple holds nearly 60% of the supply in escrow with a release schedule.”

As reported by Crypto-News India, Coinbase, the oldest cryptocurrency exchange in United States and another major exchange in the world of cryptocurrencies, also listed XRP on its platform. Coinbase said in its announcement that its Pro users in Canada, United States, European Union, United Kingdom, Singapore and Australia will be allowed to trade XRP.

This is an interesting development, because earlier Coinbase had said that it had no intention of listing XRP. Not in so many words, in a thinly-veiled statement, the exchange had said last year, “Our January 4th, 2018 statement continues to stand: we have made no decision to add additional assets to either GDAX or Coinbase. Any statement to the contrary is untrue and not authorized by the company.”

The blogpost in question was put out after the exchange faced onslaught of insider trading allegations. At the time, Brian Armstrong, CEO of CoinBase wrote about their employee trading policy stating that they’ve had a trading policy in place for some time. The policy prohibits employees and contractors from trading on material non-public information, such as when a new asset will be added to the platform. In addition to trading restrictions, it prohibits communication of material non-public information outside the company, including friends and family.

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