Judge Reopens Cryptsy Customer Class Action Against Coinbase

The plaintiff’s motion to reopen the situation signaled that Coinbase did not oppose the move.

A judge in the U.S. District Court for the Southern District of Florida has reopened a situation involving cryptocurrency startup Coinbase as well as the now-defunct exchange agency Cryptsy.
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Cryptsy dropped in early 2016 amid allegations of fraud and mismanagement and claims that it had been hacked and subsequently drained of its funds. That decline — preceded by weeks of developing complaints about withdrawals and accessibility to consumer money — sparked a class action litigation which ultimately led to a $8.2 million judgment against Cryptsy’s CEO, Paul Vernon.

Coinbase sough to assert that those customers are bound by the arbitration agreement Vernon signed, but US District Judge Kenneth Marra — who is overseeing the situation in Florida — disagreed. Two other appellate courts afterwards sided against Coinbase, leading to Marra’s June 4 arrangement .

Released at Tue, 05 Jun 2018 21:56:00 +0000

“Prior to submitting this Motion, the undersigned counsel conferred with Defendant’s adviser, and has been authorized to signify that Defendant does not oppose the relief sought herein,” the document says.
Read the Entire movement to reopen the situation here:

Justice image via Shutterstock
Reopen Motion by CoinDesk on Scribd

In December 2016, a lawsuit has been filed against Coinbase by the Cryptsy class-action investors, alleging that Coinbase should have averted Vernon from devoting their cash via the startup’s support.
On June 1, the plaintiffs’ and defendant’s counsel held a case management conference via phone and may submit a statement and suggested schedule order prior to the end of the week.