Coinbase Hands Nearly $1M into Cryptsy Victims After Settling Class Action Lawsuit

Coinbase has settled a class action lawsuit caused by consumers of their prior Cryptsy cryptocurrency exchange.

According into some court records obsolete Nov. 27 and Dec. 10, 2019, Coinbase has consented to turn $962,500 over into an escrow representative responsible for managing class action claims related to your prior litigation against Cryptsy. Lawyers for the plaintiffs, who declared the settlement Monday, have already won 11,325 BTC in this former instance.

The plaintiffs produced a page for possible Cryptsy sufferers — some people who used the market before 2015 — list upcoming keywords and reevaluate how they could submit claims.

The settlement equals a yearlong lawful activity which nearly watched a jury trial. )

A hearing will be held April 17, 2020 to approve the preliminary settlement arrangement or add further alterations as required, according to the filing.

Brandon Leidel, given the course agent in the class action litigation, will get $2,500 because of his efforts. He introduced the lawsuit in 2016 alleging that Cryptsy CEO Paul Vernon utilized the market to launder millions of dollars’ worth of consumer funds within a pre-determined period.

The case was initially registered by the Silver Miller law company and Wites Law Firm, both of which have been designated course counselor. In an announcement, lawyer Marc Wites stated the situation against Coinbase, in addition to the preceding litigation filed against Cryptsy, “were difficult cases” to solve.

“When companies go out of business, founders flee the country, and the amount at issue is relatively small, most plaintiff law firms would decline to pursue the case,” he explained. “We were the only lawyers in the country to pursue a case against Cryptsy or Coinbase, individually or as a class action; and we were able to obtain multiple meaningful recoveries for victims who would have otherwise been left without any recourse.”

Coinbase didn’t immediately return a request for comment.

Read the preliminary settlement beneath:

Read the judge’s order under:

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