Coinbase is a leading name when it comes to cryptocurrency platforms in the US. Coinbase, as well as their GDAX have been in the news almost every day the past week. While there were some news reports which were quite worrying, there were some announcements which made it look like the future is good for Coinbase. This past week was all about the good, the bad and the ugly - let us take a look at three prominent news stories that surrounded Coinbase.
The Good: Coinbase recently started off with the Coinbase Index Fund, which is a great opportunity for investors looking forward to put their money into cryptocurrency. The Coinbase Index Fund allows traders to invest into all the digital assets that the Coinbase and the GDAX platform have to offer. Any new currencies added to the platform will be included in the fund. It is open for accredited investors based in the US, looking forward to invest $10,000 or more.
The Bad: Coinbase was recently forced by the IRS to give up the private data of close to 13,000 users registered on their platform. While the exchange has handed over the data to the tax watchdog authority of the US, they have also informed the users whose data has been submitted by mail. This may lead to some high net-worth individuals moving away from Coinbase.
The Ugly: Coinbase is currently facing two major lawsuits from their users claiming that the exchange had access to insider information which it provided to their employees regarding the launch of Bitcoin Cash. Having this prior knowledge about Bitcoin Cash's launch date and time, the employees made investments beforehand and made a major profit when prices rose after the coinbase listing.
However, despite all these factors, the future still looks good for Coinbase as the company continues to thrive. Interestingly, the IRS news broke first, followed by the lawsuits, which were followed by strong rumors of Ripple being listed on the platform. However, Coinbase denied all these rumors, but finally launched the Coinbase Index Fund - which is all set to help the exchange get some major backing from the industry! Stay tuned with us for more news updates on Coinbase.