{"id":39279,"date":"2021-03-20T14:21:08","date_gmt":"2021-03-20T12:21:08","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=39279"},"modified":"2025-08-30T08:46:21","modified_gmt":"2025-08-30T05:46:21","slug":"coinbase-to-pay-6-5-million-fine-for-falsifying-trading-activity-data","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/coinbase-to-pay-6-5-million-fine-for-falsifying-trading-activity-data\/","title":{"rendered":"Coinbase to pay $6.5 million fine for falsifying trading-activity data"},"content":{"rendered":"<p>Coinbase has settled claims brought by the Commodity Futures Trading Commission (CFTC). The largest U.S. cryptocurrency exchange will pay a $6.5 million fine for falsifying data on trading activity, according to the agency&#8217;s site.<!--more--><\/p>\n<blockquote>\n<p>&#8220;From January 2015 through September 2018, Coinbase negligently provided false, misleading and unreliable reports of trades in digital assets, including Bitcoin, on the GDAX electronic-trading platform it operated,&#8221; said representatives of the regulator.<\/p>\n<\/blockquote>\n<p>Coinbase used Hedger and Replicator programs that generated orders, occasionally matched against one another. This led to inflated trading volumes on certain trading pairs, misleading users.<\/p>\n<p>The regulator also accused Coinbase of wash trading. According to the CFTC, during six weeks\u2014from August to September 2016\u2014a former employee of the exchange systematically placed buy and sell orders in the LTC\/BTC pair.<\/p>\n<blockquote>\n<p>&#8220;This created a false impression of liquidity and trading interest in Litecoin,&#8221; the regulator stressed.<\/p>\n<\/blockquote>\n<p>According to CFTC officials, the employee-generated fake activity accounted for as much as 99% of the LTC\/BTC daily volume.<\/p>\n<p>Coinbase <a href=\"https:\/\/u1f987.com\/en\/news\/coinbase-to-list-114-9-million-class-a-shares-in-direct-listing\">will list<\/a> 114.9 million shares on Nasdaq as part of a direct listing.<\/p>\n<p style=\"margin: 12px auto 6px auto; font-family: Helvetica,Arial,Sans-serif; font-style: normal; font-variant: normal; font-weight: normal; font-size: 14px; line-height: normal; font-size-adjust: none; font-stretch: normal; -x-system-font: none; display: block;\"><a style=\"text-decoration: underline;\" title=\"View Coinbase Order on Scribd\" href=\"https:\/\/www.scribd.com\/document\/499544989\/Coinbase-Order#from_embed\">Coinbase Order<\/a> by <a style=\"text-decoration: underline;\" title=\"View ForkLog's profile on Scribd\" href=\"https:\/\/www.scribd.com\/user\/456422024\/ForkLog#from_embed\">ForkLog<\/a> on Scribd<\/p>\n<p><iframe loading=\"lazy\" id=\"doc_10549\" class=\"scribd_iframe_embed\" title=\"Coinbase Order\" src=\"https:\/\/www.scribd.com\/embeds\/499544989\/content?start_page=1&#038;view_mode=scroll&#038;access_key=key-CTRjllGPm6RR8doHOprP\" width=\"100%\" height=\"600\" frameborder=\"0\" scrolling=\"no\" data-auto-height=\"false\" data-aspect-ratio=\"0.7729220222793488\"><\/iframe><\/p>\n<p>Subscribe to ForkLog news on Telegram: <a href=\"https:\/\/t.me\/forkloglive\" target=\"_blank\" rel=\"nofollow noopener\">ForkLog FEED<\/a> \u2014 the full news feed, <a href=\"https:\/\/telegram.me\/forklog\" target=\"_blank\" rel=\"nofollow noopener\">ForkLog<\/a> \u2014 the most important news and polls.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Coinbase settled claims brought by the Commodity Futures Trading Commission (CFTC). The largest U.S. cryptocurrency exchange will pay a $6.5 million fine for falsifying data on trading activity, according to the regulator&#8217;s site.<\/p>\n","protected":false},"author":1,"featured_media":39280,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[879,138,1304,1145],"class_list":["post-39279","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-cftc","tag-coinbase","tag-fines","tag-market-analysis"],"aioseo_notices":[],"amp_enabled":true,"views":"24","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/39279","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=39279"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/39279\/revisions"}],"predecessor-version":[{"id":39281,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/39279\/revisions\/39281"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/39280"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=39279"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=39279"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=39279"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}