Coinbase drops 7% on customer breach, SEC probe into user numbers
The Securities and Exchange Commission has questioned Coinbase’s 2021 claim that it had more than 100 million “verified users” in the ongoing investigation.
Coinbase stock dipped after news broke of a cyberattack that exposed customer data and an ongoing Securities and Exchange Commission investigation over misstated user numbers in 2021.
The double whammy of bad news rattled investors as company stock (COIN) slid 7% in a fall to $244 in after-hours trading on May 15, according to Google Finance.
Coinbase has since confirmed the report from The New York Times, which stated the SEC has been investigating whether Coinbase misstated its user numbers in past disclosures, an inquiry that began during the Biden administration and has continued under the Trump administration.