This blew up more than I expected, since I’ve written about this vaguely before. I can’t share proof yet since multiple legal processes still unfolding and Coinbase already tried to sue me into silence (unsuccessfully, but I need to be smart about how I fight the 800 pound legal bully.) Every word I’ve written is true, I have no ulterior motive, nor position long nor short Coinbase or related equity. I’m still heavily long crypto, so if anything, I’d be incentivized to help Coinbase cover this up as many industry leading firms have “for the good of the industry”, but I won’t do that. I also think of coinbase as one of the better companies in the industry and have many friends there. No vendetta here. But when the “best” companies in crypto are funneling billions in customer assets to Lazarus group and lying about it to investors, customers, regulators, and the secret service? Coinbase has represented to investors and customers (including pensions doing official due diligence) that they were never hacked (at least as of 2 years ago, last I checked). Not only is that radically false, coinbase has shockingly extensive internal documentation of them knowingly “misleading” customers and investors about this, deliberately, over time. I used the word “misleading”, but I’m being…gentle. @grok what is the legal term for a financial company inducing customers and investors to give them capital on the basis of deliberately false material financial representations? For coinbase’ legal team. I’m not going to dare you to sue me again, but I’ll say this. It would be in the interest of the industry and the world…but not your executives for us to go through discovery and air all this out. I encourage you to assert this as libel so we can go through discovery and see if a single word of my writing is untruthful.

Coinbase “lost” $25m of my firm’s a couple years ago. Turned out they were actually covering up massive and repeated hacks. Still wouldn’t return our money. We traced this to at least a dozen other affected firms and over $1b covered up. That’s all I can say for now as multiple legal processes still ongoing.