The price of Ripple has been going strong, fueled partly by news that Coinbase will add it soon. CEO Brian Armstrong has denied the rumors. XRP price has dropped to $3.19 as a result and the coin lost a lot of its market capitalization.
We haven't made any decisions to add new assets to Coinbase or GDAX at this time. Any statement to the contrary is untrue. Be careful what you believe out there! https://t.co/1yUYG33AoG
— Brian Armstrong (@brian_armstrong) January 4, 2018
No new coins listed
“A committee of internal experts is responsible for determining whether and when new assets will be added to the platform in accordance with our framework. These individuals — and all employees at Coinbase — are subject to confidentiality and trading restrictions. As of the date of this statement, we have made no decision to add additional assets to either GDAX or Coinbase. Any statement to the contrary is untrue and not authorized by the company.”
Insider trading accusations
Coinbase is very careful in how they announce new listings now. In December, when they added Bitcoin Cash to the exchange, an employee or contractor reportedly revealed this information two days prior to the official announcement. As a result, BCH price started to grow before the announcement.
Cryptocurrency investors lashed out and Coinbase was forced to launch a full investigation. If accusations of insider trading are true, the company will pursue legal action against the employees. Brian Armstrong wrote:
“Given the price increase in the hours leading up the announcement, we will be conducting an investigation into this matter. If we find evidence of any employee or contractor violating our policies — directly or indirectly — I will not hesitate to terminate the employee immediately and take appropriate legal action.”
Litecoin creator and former Coinbase executive Charlie Lee stated that Coinbase will not add new coins anytime soon.
Coinbase is not adding a new coin anytime soon. There's no reason why they would lie about this… Especially after the flack they got for surprising everyone by adding BCH. https://t.co/YqoPrRtXYg
— Charlie Lee [LTC] (@SatoshiLite) January 5, 2018
How will Coinbase handle this situation and what will the internal investigation uncover?