{"id":52513,"date":"2025-05-15T21:36:20","date_gmt":"2025-05-15T21:36:20","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/coinbase-faces-sec-probe-over-historical-user-metrics-report\/"},"modified":"2025-05-15T21:36:20","modified_gmt":"2025-05-15T21:36:20","slug":"coinbase-faces-sec-probe-over-historical-user-metrics-report","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/coinbase-faces-sec-probe-over-historical-user-metrics-report\/","title":{"rendered":"Coinbase faces SEC probe over historical user metrics: report"},"content":{"rendered":"<p><b>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison )<\/b><br \/>\n<\/p>\n<div data-site=\"CoinJournal\">\n<div class=\"-mt-16  mb-8  lg:-mt-20  rounded-md  shadow-md\">\n<div class=\"relative  z-10  post-article-image  rounded  overflow-hidden\" data-site=\"CoinJournal\">\n<picture><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/05\/investigation-smartcrop-750x375.webp\" type=\"image\/webp\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/05\/investigation-smartcrop-363x181.webp\" type=\"image\/webp\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/05\/investigation-smartcrop-750x375.webp\" type=\"image\/jpeg\" media=\"(min-width: 750px)\"\/><source srcset=\"https:\/\/coinjournal.net\/wp-content\/uploads\/imagecache\/2025\/05\/investigation-smartcrop-363x181.webp\" type=\"image\/jpeg\"\/>\n<\/picture>                            <\/div>\n<\/p><\/div>\n<ul>&#13;<\/p>\n<li>Stock slips 6% after report on federal investigation.<\/li>\n<p>&#13;<\/p>\n<li>The regulatory scrutiny comes as Coinbase deals with the aftermath of a cybersecurity breach disclosed earlier in the day.<\/li>\n<p>&#13;<\/p>\n<li>Hackers reportedly stole customer data and are demanding a $20 million ransom.<\/li>\n<p>&#13;\n<\/ul>\n<p>Coinbase confirmed Thursday that the US Securities and Exchange Commission is investigating whether the company overstated user numbers in prior disclosures.<\/p>\n<p>The development, first reported by The New York Times, contributed to a decline of about 6% in Coinbase shares during the session.<\/p>\n<p>The inquiry centers on Coinbase\u2019s reporting of \u201cverified users,\u201d a metric the company has cited in filings and promotional materials as totaling more than 100 million.<\/p>\n<p>According to the report, the investigation originated during the Biden administration and has continued under the current SEC, which has taken a comparatively more accommodating stance toward the crypto industry.<\/p>\n<p>\u201cThis is a hold-over investigation from the prior administration about a metric we stopped reporting two and a half years ago, which was fully disclosed to the public,\u201d said Paul Grewal, Coinbase\u2019s chief legal officer, in a statement to CNBC.<\/p>\n<p>He added that the verified users figure included anyone who completed an email or phone number verification, which could have led to an overstatement of unique customers.<\/p>\n<p>Grewal also emphasized that Coinbase now focuses on a different disclosure: monthly transacting users, a figure the company considers a more relevant indicator of platform activity.<\/p>\n<p>\u201cWhile we strongly believe this investigation should not continue, we remain committed to working with the SEC to bring this matter to a close,\u201d he added.<\/p>\n<h2><strong>Cyberattack adds to market pressure<\/strong><\/h2>\n<p>The regulatory scrutiny comes as Coinbase deals with the aftermath of a cybersecurity breach disclosed earlier in the day.<\/p>\n<p>Hackers reportedly stole customer data and are demanding a $20 million ransom.<\/p>\n<p>Coinbase estimates the incident could cost the company up to $400 million.<\/p>\n<p>The timing compounds an already volatile period for the company.<\/p>\n<p>Coinbase recently announced its inclusion in the S&amp;P 500 index, effective next week, and revealed plans to acquire crypto derivatives platform Deribit as part of its global expansion strategy.<\/p>\n<p>Speaking on an earnings call last week, CEO Brian Armstrong said he aims to make Coinbase \u201cthe No. 1 financial services app in the world\u201d within the next five to 10 years.<\/p>\n<p>Coinbase currently operates the largest cryptocurrency exchange in the United States.<\/p>\n<div class=\"post-meta\">\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Share this article<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Categories<\/h6>\n<hr class=\"mb-6\"\/>\n<h6 class=\"text-3xl  mb-4  text-green-300\">Tags<\/h6>\n<\/p><\/div>\n<\/p><\/div>\n<p><a href=\"https:\/\/coinjournal.net\/news\/coinbase-faces-sec-probe-over-historical-user-metrics-report\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : CoinJournal: Latest Crypto News, Altcoin News and Cryptocurrency Comparison ) &#13; Stock slips 6% after report on federal investigation. &#13; The regulatory scrutiny comes as Coinbase deals with the aftermath of a cybersecurity breach disclosed earlier in the day. &#13; Hackers reportedly stole customer data and are demanding a $20 million [&hellip;]<\/p>\n","protected":false},"author":3947362387,"featured_media":52514,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[35],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/52513"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/3947362387"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=52513"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/52513\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/52514"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=52513"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=52513"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=52513"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}