Coinbase Is Fined by the CFTC for Providing False Information About the Trades
The USA-based crypto exchange Coinbase and CFTC finally agreed on a fine of $6.5 millions that the exchange should pay for providing false information about the activity on GDAX and overstating the trading volumes for six weeks back in 2016.
GDAX was meant to be a tool for institutional investors. Later it was renamed into Coinbase Pro. The movement of assets between GDAX and Hedger was considered as trading volume which was wrong, in CFTC’s opinion.
The Replicator option allowed duplicating the book of orders on one asset on the other pairs. This was considered false information that created the wrong impression about the liquidity and the trading activity in a pair.