Kessler Topaz Meltzer & Check, LLP Reminds Investors of Deadline for Securities Fraud Class Action Lawsuit Filed Against Coinbase Global Inc.
RADNOR, Pa., August 15, 2021 / PRNewswire / – Law firm Kessler Topaz Meltzer & Check, LLP reminds investors that a class action lawsuit for securities fraud has been filed against Coinbase Global Inc. (NASDAQ: COIN) (“Coinbase”) on behalf of those who have acquired or acquired Coinbase common stock Class A pursuant to and / or traceable to the Registration Statement and Prospectus (collectively the “Offering Documents”) for the resale of up to 114,850,769 shares of its Class A common stock, with Coinbase commencing trading as a publicly traded company or around April 14, 2021 (the offer”).
KTMC logo (PRNewsfoto / Kessler Topaz Meltzer & Check, LLP)
Deadline reminder: Investors who have bought or acquired Coinbase Class A common shares in accordance with the offer and / or can be attributed to this offer can do so no later than September 20, 2021to be appointed as the group’s lead plaintiff. For more information or to learn how to participate in this litigation, please contact Kessler Topaz Meltzer & Check, LLP: James Maro, Esq. (484) 270-1453; toll free at (844) 887-9500; by email to firstname.lastname@example.org; or click on https://www.ktmc.com/coinbase-global-class-action-lawsuit?utm_source=PR&utm_medium=Link&utm_campaign=coinbase
According to the complaint, Coinbase “powers the crypto-economy” and provides a “trusted platform” for sending and receiving Bitcoin and other digital assets created using blockchain technology to approximately 43 million retail users, 7,000 institutions and 115,000 ecosystem partners in over 100 Countries.
on April 14, 2021, Coinbase filed its prospectus on Form 424B4, which is part of the registration statement. Coinbase has registered for the resale of up to 114,850,769 shares of its Class A common shares by registered shareholders. According to the registration statement, the resale of Coinbase’s shares was not undertaken by any investment bank and the registered shareholders would supposedly choose whether to sell their shares or not. Such sales, if any, would be brokerage transactions on NASDAQ and Coinbase would allegedly not receive any proceeds from the sale of Class A common shares by the registered shareholders. Thus, the operations of Coinbase would continue to be funded with the cash flow from operations and the net proceeds from the sale of convertible preference shares. away December 31, 2020, Coinbase had cash and cash equivalents of $ 1.1 billionexcluding blocked cash and customer deposits.
The story goes on
The complaint alleges that Coinbase’s soaring promise came to a screeching halt a month later as Coinbase admitted the need to raise capital and uncovered performance issues that made it impossible for users to trade cryptocurrencies. on May 17, 2021, Coinbase announced its plans approx $ 1.25 billion via a convertible bond sale. Then, on May 19, 2021, Coinbase exposed technical issues including “delays … due to network congestion” affecting those trying to withdraw their funds.
After this news, Coinbase’s share price fell $ 23.44 per share, nearly 10%, over two consecutive trading sessions, to finish at $ 224.80 per share May 19, 2021. At the time of filing the complaint, Coinbase shares were as low as they were trading $ 208.00 per share, a decrease from his April 14, 2021 Opening price of $ 381.00 per share.
The complaint alleges that the offering materials were inaccurate and misleading and that at the time of the offering it was not stated that: (1) Coinbase required a substantial injection of money; (2) Coinbase’s platform has been susceptible to service level disruptions that are more likely to occur as Coinbase scales its services to a larger user base; and (3) as a result of the foregoing, Defendants’ positive statements regarding Coinbase’s business, operations and prospects were materially misleading and / or unfounded.
Coinbase investors can do so no later than September 20, 2021, seek to be appointed as lead class agent through Kessler Topaz Meltzer & Check, LLP, or other legal counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in the conduct of the dispute. To be appointed as a lead plaintiff, the court must determine that the class plaintiff’s claim is typical of the claims of other class plaintiffs and that the class plaintiff is adequately representing the class action. Your ability to participate in a recovery will not be affected by whether or not you will be the lead plaintiff.
Kessler Topaz Meltzer & Check, LLP pursues class actions in state and federal courts across the country involving securities fraud, fiduciary violations, and other violations of state and federal laws. Kessler Topaz Meltzer & Check, LLP is a driving force behind corporate governance reform, recovering billions of dollars on behalf of institutional and private investors The United States and all over the world. The firm represents investors, consumers and whistleblowers (individuals who report fraudulent practices to the government and participate in recovery of government dollars). The complaint in this lawsuit was not filed by Kessler Topaz Meltzer & Check, LLP. For more information on Kessler Topaz Meltzer & Check, LLP, please visit www.ktmc.com.
Kessler Topas Meltzer & Check, LLP
James Maro, Jr., Esq.
Radnor, PA 19087
(844) 887-9500 (toll free)
View original content to download multimedia: https://www.prnewswire.com/news-releases/kessler-topaz-meltzer–check-llp-reminds-investors-of-deadline-for-securities-fraud-class-action- Lawsuit-filed-against-coinbase-global-inc-301355293.html
SOURCE Kessler Topas Meltzer & Check, LLP