Coinbase Gets Sued as Bitcoin Takes a Hit 📉
Welcome to another edition of your favorite weekly news round-up. It's been one of those wild weeks in crypto, and it's not exactly the good kind of wild. First, we get an addition to the never ending courtroom showdowns, and Coinbase will be calling their lawyers to explain some sketchy timing around data breaches.
Meanwhile, our beloved crypto king decided to take a break from the bulls, thanks to some tariff drama from the crypto president himself. Elsewhere, Binance seems to be throwing some serious shade at FTX, basically telling them, "not our problem, bro" in the most legal way possible.
Here are the Highlights:
- Investor Sues Coinbase Over Stock Slide Tied to Data Breach and $4.5 Million FCA Fine
- Binance Hits Back at FTX Allegations, Seeks Dismissal of Lawsuit
- Bitcoin Drops Below $107.5K as Trump Tariff Threat Triggers Crypto Sell-Off
- Former SafeMoon CEO Braden Karony convicted on all charges in $200M crypto fraud scheme
Investor Sues Coinbase Over Stock Slide Tied to Data Breach and $4.5 Million FCA Fine
Cryptocurrency exchange Coinbase is the subject of a newly filed class action lawsuit. The lawsuit accuses the company and its top executives, including CEO Brian Armstrong and CFO Alesia Haas, of delaying the disclosure of a major data breach involving insider misconduct and failing to reveal serious regulatory violations in the company’s UK operations. It alleges that Coinbase’s lack of transparency around these incidents led to substantial financial losses for stockholders and seeks compensation for the damages incurred. Investor Brady Nessler filed the lawsuit in the US District Court for the Eastern District of Pennsylvania. The suit represents shareholders who purchased Coinbase stock (COIN) between April 14, 2021, and May 14, 2025.
Binance Hits Back at FTX Allegations, Seeks Dismissal of Lawsuit
In a new episode of the FTX-Binance saga, the world’s largest cryptocurrency exchange platform is requesting the dismissal of a massive lawsuit. Binance describes FTX’s accusations as “legally deficient” and refuses to take responsibility for the collapse of its competitor, instead pointing to the massive frauds orchestrated by Sam Bankman-Fried. The world’s leading crypto exchange formally requested last Friday that a Delaware judge dismiss the lawsuit filed by FTX. In its motion, Binance states that there is no connection between its actions or those of its former CEO Changpeng Zhao and the fall of FTX.
Bitcoin Drops Below $107.5K as Trump Tariff Threat Triggers Crypto Sell-Off
Bitcoin's recent pullback has established strong volume-based resistance near $108,300, with support forming in the $106,700-$107,000 zone. The correction accelerated with a notable price surge from $107,373 to $107,671 between 13:06-13:36, followed by a sharp reversal. Technical analysis suggests Bitcoin is now trading within a compression zone, trapped between two major fair value gaps that will determine the upcoming market direction. If bulls reclaim the $109K to $110K area, price could push toward resistance beyond $112K, while a break below $107,000 might test liquidity around $106K.
Former SafeMoon CEO Braden Karony convicted on all charges in $200M crypto fraud scheme
A federal jury convicted former SafeMoon Braden John Karony on all charges in a crypto fraud scheme that siphoned millions from investors under false promises of decentralized finance security. The jury found Karony guilty of conspiracy to commit securities fraud, wire fraud, and money laundering after a 12-day trial in Brooklyn on May 21. Prosecutors accused Karony of lying to investors about SafeMoon’s locked liquidity pools while secretly accessing and draining the funds to buy luxury homes and vehicles. Karony now faces up to 45 years in prison. Jurors also ordered the forfeiture of approximately $2 million in real estate assets linked to the scheme. His sentencing is scheduled for later this year.
Other Highlights Worth Mentioning
Russia plans to seize crypto in new crackdown on local payments - Cryptoslate
Ex-NFL Star Tom Brady Returns to Crypto With Investment in AI Startup - Decrypt
Crypto Founder Abducted in Uganda, Forced to Send $500,000 at Gunpoint - AiCoin
UK Appeals Court Dismisses Bitcoin SV Investors’ $13.3B Damages Bid Against Binance - Coinstats