Allegedly, there has been disclosed a case of not so long ago forked Bitcoin Cash insider trading, conducted through the Coinbase, which is a well-known cryptocurrency exchange, by an unknown person. Such a conclusion have been made by the Forbes contributor John Koetsier, who reported about the case, referring to the information, provided to him by an entrepreneur and the crypto amateur Albert Renshaw.
According to Renshaw’s words, he discovered an example of insider trading on Bitcoin Cash addition to Coinbase as well as to GDAX, which also is the platform for swapping cryptocoins. The entrepreneur also claimed that the consequence of such a trading could be an abundant 700% one-hour gain.
The story is significant, as long as a day before Coinbase officially announced its support for Bitcoin Cash, which was executed this year August, somebody under the nickname “mukiva2” posted on Reddit a note, saying "Bitcoin Cash coming in the next few days”. The pre-announcement took place on December 18. After that, Bitcoin Cash values instantly surged up. As Renshaw told Koetsier, the likely gains, in this case, could be enormous. Bitcoin Cash grew from $1,000 to $8,000 just per hour.
“The stakes are huge when a cryptocurrency enters the big exchanges. Suddenly a cryptocurrency that might have only been available to a few people with specific digital wallets is available to a much larger audience of potential buyers,” explained the Forbes contributor Koetsier. “While Coinbase had publicly revealed that it would support Bitcoin Cash at some point, the exact timing was unknown.”
It means that people who piled into Bitcoin Cash $150,000 before the adoption stood to gain more than $1 million not long ago after the exchange released its notification.
Currently, it is unknown who “mukiva2” is, but the person revealed on the Reddit thread that he or she could be an inside source to Coinbase. According to Forbes, the exchange has detected the price growth and started an inland probe.