According to a recent official announcement published by the Coinbase Exchange, it stated that the media has inaccurately characterized the results of the New York’s Virtual Markets Integrity Report, to which the exchange had voluntarily contributed its working informations concerning its practices by taking part during a Virtual Markets Integrity Initiative forum.
Yesterday the exchange cited the wrong report published, with thevisionto correct the records. The report stated:
“Coinbase disclosedthat aboutone-fifthof the volume executed on the platform wasbecause of its owntrading.”
But, rather according to the Exchange’s reference explaining this, it mentioned that it processes there trades on the behalf of its user’s request nor just by itself.”
Adding further it was mentioned that:
“Coinbasedoesn’ttrade for thebenefits ofitselfon a proprietary basis.So asto provide aneasy-to-use user’sexpertise, Coinbaseusersquotes avalue andthenquickly fills the order from the exchange platform. This takes advantage of the liquidity provided bythe whole Coinbasescheme.”
The firmsoemphasisedthat “self-trading” –because as theinfohad been misconstrued by third-partycoverage– inaccurately distortswhat’sactually“customer-driven volume via Coinbaseuser’s.” The statement repeatedly reinforcesthe actual factthat the exchange is neitheroperatinga proprietarycommercedesk, norendeavoring“marketmakingactions.”
Earlier in Jan. 2017, Coinbase received a BitLicense from theNew York’sState Departmentof FinancialServices [DFS],thathas beenneededfor allthe cryptotradingcompaniesas of from Aug. 2015.
In a previous statement, Coinbase hadrevealedthat its participationwithin theNew York’sVirtual Markets Integrity report andquestionnairewassupposedto shedlight on several steps, the exchange has beenaddressingto deal withmatters of compliance with federal and state regulators,thatembracemeasuresto deal withcybersecurity, market integrity and platformdependableness.