Coinbase shares up 50% since the SEC sued the exchange

In spite of the Coinbase cryptocurrency exchange dealing with a securities violation claim in the United States, the businesss stock has been on the rise recently.Coinbase (COIN) stock has actually added more than 50% to its value because the U.S. Securities and Exchange Commission (SEC) submitted a lawsuit versus the firm for apparently providing unregistered securities.According to information from TradingView, Coinbase shares rose 51%, from around $52 on June 6 to $78.7 on July 7. The stock is also up around 133% over the past 6 months, while year-to-year development is roughly 50%. Coinbase (COIN) 30-day rate chart. Source: TradingViewAmid significant development, some significant COIN holders have continued selling some of their Coinbase stock.On July 6, a variety of senior Coinbase executives, consisting of CEO Brian Armstrong, sold a combined total of 88,058 COIN stocks, worth about $6.9 million.According to official filings with the SEC, the transactions consisted of a 4,580 COIN sale by Coinbase board member Gokul Rajaram, 1,818 COIN sale by primary legal officer Paul Grewal, and a 7,335 COIN sale by primary accounting officer Jennifer Jones.Previously, Jones also sold 74,375 Coinbase shares on June 29, netting $5.2 million for the stocks.Related: Coinbase understood securities law offenses, SEC declares in letterWhile Coinbase executives have been offering their COIN batch on a regular basis, some major COIN holders have actually continued to hodl.Since buying another 400,000 shares of Coinbase stock in early June, Cathie Woods financial investment firm ARK Invest has been keeping away from any COIN deals, according to the businesss portfolio updates. That is available in line with Woods stance that Coinbase shares would grow even bigger as the financier believes that the COIN stock will increase in line with Bitcoin.On June 19, ARK Invest CEO when again reiterated that shes confident that Bitcoin will reach $1 million per coin one day.Collect this post as an NFT to preserve this minute in history and show your support for independent journalism in the crypto space.Magazine: Bitcoin 2023 in Miami comes to grips with shitcoins on Bitcoin

Other Questions People Ask

What factors contributed to Coinbase shares being up 50% since the SEC sued the exchange?

Coinbase shares have surged over 50% since the SEC filed a lawsuit against the exchange for allegedly offering unregistered securities. This increase can be attributed to market optimism surrounding the cryptocurrency sector, as well as a belief that Coinbase's stock will rise in tandem with Bitcoin. Despite the legal challenges, investor confidence appears to remain strong, particularly among major holders like ARK Invest, which has refrained from selling its shares.

How have Coinbase executives reacted to the stock's rise since the SEC lawsuit?

In light of the significant rise in Coinbase shares, several executives have opted to sell portions of their stock holdings. For instance, CEO Brian Armstrong and other senior executives sold a combined total of 88,058 shares, valued at approximately $6.9 million. This selling activity suggests that while executives may be confident in the company's future, they are also capitalizing on the stock's recent performance amid ongoing regulatory scrutiny.

What does the increase in Coinbase shares mean for investors following the SEC lawsuit?

The 50% increase in Coinbase shares since the SEC lawsuit indicates a potential resilience in investor sentiment despite regulatory challenges. Investors may view this as an opportunity to capitalize on a bullish trend, especially with some major holders like ARK Invest maintaining their positions. However, potential investors should remain cautious and consider the implications of ongoing legal issues that could affect future stock performance.

Are major investors still buying Coinbase shares despite the SEC lawsuit?

Yes, some major investors continue to buy Coinbase shares even after the SEC lawsuit was filed. Notably, ARK Invest purchased an additional 400,000 shares in early June and has since held onto its position, reflecting confidence in Coinbase's long-term growth potential. This behavior contrasts with some executives selling their shares, highlighting differing strategies among investors regarding the future of Coinbase stock.