Coinbase Loses Bid to Shake Regulatory Risk Claims

Coinbase Global Inc.'s bid to dismiss investors' claims of regulatory risk misrepresentation has been denied by US District Court for the District of New Jersey Judge Brian R. Martinotti.

The court ruled that the proposed class complaint was proper and identified the certifiers of certain corporate statements, including Coinbase CEO Brian Armstrong and Chief Financial Officer Alesia Haas.

The investors alleged that Coinbase misrepresented hypothetical bankruptcy consequences and downplayed regulatory scrutiny risks in company statements, which were certified by Armstrong and Haas, respectively.