Coinbase CEO Blames SEC Memo For Bankruptcy Risk Alarm
By Elise Hansen (May 11, 2022, 9:07 PM EDT) -- Coinbase has updated its risk disclosures to reflect new U.S. Securities and Exchange Commission guidance about holding cryptocurrencies, CEO Brian Armstrong said as he sought to calm customers' nerves about what would happen to their holdings in the event of a bankruptcy.
Coinbase Global Inc.'s quarterly report issued Tuesday included new risk factors explaining what could happen to certain users' holdings if the company were to go bankrupt. According to the filing, "custodially held" digital assets could be considered property of a bankruptcy estate and those Coinbase customers who use this service could find themselves treated as general unsecured creditors, putting them...
Stay ahead of the curve
In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.
Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
Create custom alerts for specific article and case topics and so much more!