The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Coinbase Global, Inc. (“Coinbase” or the “Company”) (NASDAQ: COIN) securities between April 14, 2021 and July 25, 2024, inclusive (the “Class Period”). Coinbase investors have until November 12, 2024 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On July 25, 2024, the United Kingdom’s financial regulator, the Financial Conduct Authority (“FCA”) announced that Coinbase’s UK-based subsidiary CB Payments Ltd. (“CBPL”) had been fined £3,503,546 for “repeatedly breaching a requirement that prevented the firm from offering services to high-risk customers.”
On this news, Coinbase’s stock price fell $13.52, or 5.5% to close at $231.52 per share on July 25, 2024, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) In 2020, after investigation, the FCA had deemed efforts by CBPL to prevent criminals from using its platform, to be inadequate; (2) as a result, the FCA reached an agreement with CBPL, which put requirements in place that were designed to prevent high risk customers from using CBPL’s platform; (3) CBPL then breached that agreement, which resulted in 13,416 high risk individuals receiving services; (4) the foregoing resulted in an undisclosed heightened regulatory risk; and (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased Coinbase securities during the Class Period, you may move the Court no later than November 12, 2024 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased Coinbase securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Los Angeles, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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