Coinbase has come under scrutiny from industry leaders for its asset listing policy. This follows concerns raised by Tron founder Justin Sun and BitGo regarding the transparency of the platform's listing decisions.
Justin Sun's Clash with Paul Grewal
Tron founder Justin Sun publicly clashed with Coinbase's Chief Legal Officer Paul Grewal, questioning Grewal's statements that the company drops assets if they no longer meet listing standards. Sun questioned who has the final say at Coinbase, referencing comments made by CEO Brian Armstrong in 2021 that their goal is to list 'everything where legal.'
BitGo's Critique of Coinbase
BitGo criticized Coinbase's asset listing practices for bias. BitGo pointed to the listing of the memecoin PEPE, associated with offensive internet memes, as proof that Coinbase prioritizes market popularity over safety and legitimacy. They also accused Coinbase of refusing to delist wrapped Bitcoin (wBTC) to maintain market dominance.
How Coinbase Selects and Reviews Assets
In defense of its listings, Coinbase claims to have a customized, multi-tiered review process focusing on meeting customer needs. This includes business criteria, technical considerations, and pre-launch assessments, all evaluated by factors such as trading volume and market capitalization.
Despite Coinbase's stated listing standards, its decisions remain under criticism for potential discrepancies with the company's public statements, sparking significant debate within the crypto industry.
