• Dapps:16.23K
  • Blockchains:78
  • Active users:66.47M
  • 30d volume:$303.26B
  • 30d transactions:$879.24M

Coinbase Intervenes in Prime Trust Bankruptcy to Protect Customer Assets

user avatar

by Giorgi Kostiuk

a year ago

Coinbase has taken steps to protect customer assets in the bankruptcy case of crypto custodian Prime Trust.

Prime Trust Bankruptcy Situation

Prime Trust, a crypto custodian, filed for bankruptcy on August 14, 2023, citing a sharp decline in customer deposits, revealing an $82 million deficit. The company's main issues are related to asset management and a significant amount of illiquid tokens.

Coinbase's Role in Protecting Clients

Coinbase, led by chief legal officer Paul Grewal, has filed a brief to ensure legal protection of client assets with custodians, based on Article 8 of the Uniform Commercial Code (UCC).

Importance of UCC Article 8

Article 8 of the UCC protects customer assets, whether they are in digital or traditional financial institutions, from unfair absorption during bankruptcy proceedings. This is a significant issue that affects custodial services in both the crypto and traditional finance sectors.

Coinbase's intervention in the Prime Trust bankruptcy case aims to set a precedent for protecting client assets amidst financial challenges faced by companies.

0

Rewards

chest
chest
chest
chest

More rewards

Discover enhanced rewards on our social media.

chest

Other news

Arkham Introduces Strict Editorial Policy

chest

Arkham has introduced a strict editorial policy that emphasizes accuracy, relevance, and impartiality in its reporting.

user avatarLi Weicheng

New Report Released Based on SEC Data

chest

The report is based on information sourced from the SEC, aiming to provide accurate financial information and increase transparency in financial reporting.

user avatarAisha Farooq

Chainlink Report Highlights Editorial Policy

chest

A recent report from Chainlink emphasizes the importance of a strict editorial policy that focuses on accuracy, relevance, and impartiality.

user avatarTenzin Dorje

BNB Chain Report Highlights Editorial Policy

chest

A report from BNB Chain emphasizes its strict editorial policy prioritizing accuracy, relevance, and impartiality.

user avatarBayarjavkhlan Ganbaatar

Cardano Foundation Implements Strict Editorial Policy

chest

The Cardano Foundation has recently established a strict editorial policy that emphasizes accuracy, relevance, and impartiality in its reporting.

user avatarMohamed Farouk

Ripple Strengthens Its Editorial Guidelines for Improved Accuracy.

chest

Ripple has announced a strict editorial policy that focuses on accuracy, relevance, and impartiality in its communications.

user avatarElias Mukuru

Important disclaimer: The information presented on the Dapp.Expert portal is intended solely for informational purposes and does not constitute an investment recommendation or a guide to action in the field of cryptocurrencies. The Dapp.Expert team is not responsible for any potential losses or missed profits associated with the use of materials published on the site. Before making investment decisions in cryptocurrencies, we recommend consulting a qualified financial advisor.