Click here to join the case
LOS ANGELES, July 27, 2021 (GLOBE NEWSWIRE) — The Portnoy Law Firm advises investors that a class action lawsuit has been filed on behalf of Coinbase Global, Inc. (“Coinbase” or “the Company”) (NASDAQ : COIN) investors that acquired securities between April 11, 2021 through July 22, 2021.
It is alleged in this complaint that the registration statement and prospectus that was used to effectuate Coinbase’s Offering were misleading and false and omitted to state that, at the time of the Offering: (1) Coinbase required a sizeable cash injection; (2) Coinbase’s was susceptible to service-level disruptions, which were increasingly likely to occur, as Coinbase scaled its services to a larger user base; and (3) the positive statements about the Coinbase’s business, operations, and prospects lacked a reasonable basis and/or were materially misleading.
Coinbase undermined its representations in the Offering Materials released on May 17, 2021, that Coinbase’s existing cash and cash equivalents were sufficient, by announcing plans to raise capital in the form of a convertible bond sale. Coinbase revealed, on May 19, 2021, technical problems experienced by users on its platform, including “delays…due to network congestion” effecting “those who want to get their money out.”
On May 19, 2021, the price of Coinbase shares fell $23.44 per share, nearly 10% over two consecutive trading sessions, on this news, to close at $224.80 per share, thereby injuring investors.
Please visit our website to review more information and submit your transaction information.
The Portnoy Law Firm represents investors in pursuing claims arising from corporate wrongdoing. The Firm’s founding partner has recovered over $5.5 billion for aggrieved investors. Attorney advertising. Prior results do not guarantee similar outcomes.
Lesley F. Portnoy, Esq.
Admitted CA and NY Bar