• A crypto-centered lawsuit with popular digital currency exchange Coinbase as the defendant is heading to the Supreme Court.
• The plaintiff is a man who was, at one point, a customer of Coinbase and claims his account was accessed by a scammer, costing him more than $30K.
• Coinbase is asking the Supreme Court to butt out and maintain such issues should only be handled through arbitration.
Supreme Court Examining Crypto Lawsuit Against Coinbase
A legal dispute between a former customer of digital currency exchange Coinbase and the company itself has been taken up by the U.S. Supreme Court — marking the first time such a high-ranking court has ever considered such a case.
Details of Crypto Exchange Lawsuit
The suit was filed by an individual who had previously been a customer of Coinbase’s. It’s alleged that he gave remote access to his account to someone posing as representative from PayPal — resulting in losses totalling over $30K for him. He now claims that Coinbase’s security measures were not adequate enough for this kind of situation.
Coinbase Seeks Arbitration
Coinbase maintains that these kinds of matters should be handled through arbitration rather than going through courts — which is why it has asked the Supreme Court to “butt out” on this particular issue. It remains unclear whether or not the Justices will indeed take this case on, as they appear to be divided on their opinions at present time.
Implications on Crypto Regulation
This case marks an important precedent in terms of US regulation related to digital assets — showing that the country is taking them far more seriously than it had done in past years. This comes after FTX (a once famed digital currency trading enterprise based in Bahamas) collapsed suddenly — leading many politicians and regulators throughout America calling for heightened supervision within crypto industry so similar issues don’t happen again in future.
However, some have pointed out how certain elected officials have benefited from FTX-related activities — such as Joe Biden receiving donations from Sam Bankman-Fried (the person behind FTX). These donations may have actually originated from stolen customer funds, which were also used for other investments such Alameda Research and luxury Bahamian real estate purchases, all things SBF is now facing fraud charges over due impending trial date set forth before him soon enough