Coinbase executives sued by shareholders for alleged $4.2 billion insider trading

Multiple Coinbase shareholders have filed a lawsuit against the company's executives, accusing them of insider trading worth billions of dollars over the years. The lawsuit, filed in Delaware, claims that Coinbase's senior management and investors concealed the company's failures in implementing KYC and anti-money laundering (AML) regulations, vulnerabilities to data breaches, and the extent of regulatory investigations into such issues. During the period when this information was allegedly concealed, insiders at Coinbase, including CEO Brian Armstrong and board member Marc Andreessen, sold $4.2 billion worth of company stock. The plaintiffs claim that these profits constitute "high-level insider trading," taking advantage of the "artificially inflated stock price" of Coinbase.