Top Coinbase executives sold their shares for $1.2 billion

Top Coinbase executives sold their shares for $1.2 billion

What Happened. Top executives at Cryptocurrency exchange Coinbase sold $1.2 billion worth of the company’s stock between its initial public offering (IPO) and February 2022. Among them were the exchange’s CEO Brian Armstrong, co-founder Fred Ersam, and top executives Emily Choi and Surojit Chatterjee, the Wall Street Journal (WSJ) reported. Armstrong still holds a controlling 59.5 percent stake.

Wall Street Journal material

Read more about the stock sale. WSJ reporters analyzed the company’s filings with the Securities and Exchange Commission (SEC). The stock sales ranged from $189 to $422, with an IPO day asset price of $381.

According to the report, Armstrong was able to earn $292 million from the stock sale. Choi and Chatterjee made $226 million and $110 million, respectively. Coinbase departed Fred Ehrsam sold nearly half a billion dollars worth of stock. He had previously purchased assets for $75 million on behalf of his venture capital firm Paradigm.

What was earlier? For the first quarter of 2022, Coinbase posted a loss of $430 million. Compared to the previous reporting period, the exchange’s total trading volume was down $238 billion.

WSJ journalists also reported insider trading on leading Cryptocurrency exchanges – Binance, FTX and Coinbase. They were able to trace the connection between Token listings on the major platforms and the activity of a number of wallets. On Coinbase, 46 Cryptocurrency wallets participated in purchases of Gnosis Tokens totaling $17.3 million before listing the asset. The owners made a total profit of more than $1.7 million.

Coinbase was also accused of insider trading in April. An unknown person bought Tokens from the list for a potential listing for hundreds of thousands of dollars the day before it was published.

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Written by Renat
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