PANews reported on May 15 that according to Decrypt, the cryptocurrency exchange Coinbase and the marketing company Marden-Kane recently agreed to pay a settlement of US$2.25 million to settle a class action lawsuit that has lasted for many years. The lawsuit accused Coinbase of false advertising for not clearly informing users that they could participate for free in the Dogecoin trading lottery held in June 2021. According to the settlement agreement, American users who traded at least US$100 in Dogecoin during the event will receive compensation for the fees and spreads generated by their first transaction. Data shows that Coinbase earned approximately US$1.3 million in fees from related transactions during the event.
The lawsuit began in 2021, with plaintiff David Suski claiming that he did not discover the free participation clause of the event, which led him to trade through Coinbase even though he already held Dogecoin. The U.S. Supreme Court rejected Coinbase's request for compulsory arbitration last year.
