Coinbase Under Fire For Delisting Wrapped Bitcoin, Sparking Controversy Over Motives
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Coinbase Faces Criticism For Linking wBTC Delisting To Justin Sun
In a surprising move, cryptocurrency exchange Coinbase has faced severe criticism for delisting Wrapped Bitcoin (wBTC), citing its association with Tron founder Justin Sun. This decision has sparked widespread outrage and accusations of unfair bias.
According to a court filing, Coinbase claimed that it was forced to delist wBTC due to “reputational risk” associated with Justin Sun. Critics have pointed out the irony in this stance, given Coinbase’s own legal troubles with regulatory bodies like the SEC.
It is worth noting that Justin Sun is facing charges from the U.S. SEC for alleged violations, including fraud. However, Coinbase’s failure to provide technical or legal arguments against wBTC listing has led many to conclude that the real reason behind the delisting is simply a personal vendetta against Sun.
Gabor Gurbacs, a VanEck adviser, was quick to highlight this hypocrisy, stating that “questioning someone’s reputation this way might just bring out skeletons from their own closet.” He is referencing Coinbase’s own legal issues and investigations, which have raised questions about the company’s compliance with regulatory requirements.
Coinbase is currently facing charges from the SEC for allegedly offering unregistered securities through tokens listed on its platform. Additionally, in January 2023, Coinbase settled a lawsuit with the New York Department of Financial Services for $100 million over concerns regarding its compliance program.
It is clear that this situation has sparked widespread controversy and skepticism about Coinbase’s motives. The company’s decision to delist wBTC due to Justin Sun’s alleged reputation has been widely criticized as unjust and unfair.
Source: coinpedia.org
