New class action lawsuit filed in US against Coinbase

A resident of Georgia (USA), George Kattula, filed a class action lawsuit against the cryptocurrency exchange Coinbase. Heaccused the platform of unfair asset protection, freezing funds and blocking customer accounts.

According to the plaintiff, in April he received an email purporting to be from Coinbase asking him to change his account password. After that, almost $6,000 worth of assets disappeared from the account.

“Contrary to its claims, Coinbase does not useproperly standard methods for securing user accounts. And Coinbase is improperly and unreasonably blocking customers from accessing their accounts and funds, either for an extended period of time or permanently,” the lawsuit alleges.

Kattula noted that the platform did not delay the processing and execution of the suspicious transaction. He also accused the exchange's support service of not responding to inquiries in a timely manner.

“Moreover, Coinbase does not disclose that the crypto assets on its platform are securities,” the plaintiff added.

In August, two class-action lawsuits were filed against Coinbase. The platform was accused of offering cryptocurrency assets that were supposed to be registered as securities.

What is Coinbase?

Recall that in July it became known about the allegedSEC investigation into Coinbase. The reason allegedly was the possible provision of US residents with access to trading in digital assets, which can be regarded as securities.

Earlier, the US Department of Justice announced the arrest of the former product manager of the exchange, Ishan Wahi, and two of his accomplices. They were accused of fraud using insider trading.

The SEC filed a lawsuit against the suspects withsimilar theses and stressed that it was a securities fraud. So the agency classified 9 of the 25 cryptocurrencies that the defendants allegedly used in their operations.

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