• 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

Joe Weisenthal Analyzes Crypto's Struggles Amid Market Boom

chest

Bloomberg's Joe Weisenthal analyzes the challenges facing the crypto market, arguing it is in the coldest crypto winter ever, while other sectors thrive.

user avatarElias Mukuru

Solana Experiences Unprecedented Eight Consecutive Red Monthly Candles

chest

Solana has printed eight consecutive red monthly candles, indicating a prolonged slump and a potential for a sharp rebound after the ninth red candle.

user avatarDiego Alvarez

Ethereum Breaks Above Key Moving Averages, Signaling Potential Shift in Momentum

chest

Ethereum has broken above its 4-hour 200 MA and 200 EMA for the first time since April, indicating a possible shift back to bullish momentum.

user avatarKenji Takahashi

XRP Ledger Sees Unprecedented Growth in Tokenized Assets

chest

The XRP Ledger has seen significant growth in tokenized assets, increasing from 900 million to nearly 4 billion in just five months, with a 1379% rise in the last 30 days.

user avatarMaria Fernandez

Mastercard Expands Global Settlement Infrastructure to Support Crypto Transactions

chest

Mastercard announced a significant expansion of its global settlement infrastructure to enable on-chain settlement using regulated stablecoins, allowing card transactions to settle 24/7.

user avatarGustavo Mendoza

The Growing Influence of the Crypto Industry in Politics

chest

The results of the congressional race illustrate the growing power of the crypto industry in political campaigns.

user avatarRajesh Kumar

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.