Is Coinbase going bankrupt? Exchange to shut down its US affiliate marketing program

Over the course of the previous few months, we’ve witnessed a number of the largest digital foreign money lending platforms and hedge funds implode. The stunning sequence of occasions has left many questioning, “who’s subsequent?” because the dominos proceed to fall.
Now, after a number of worrying purple flags, main alternate Coinbase (NASDAQ: COIN) is allegedly shutting down its U.S. affiliate marketing program. It’s the newest in a sequence of strikes which have some speculating that the alternate is going through its personal liquidity disaster.

In the final month, Coinbase mixed their USD and USDC markets, closed Coinbase Pro and turned off their affiliate program.
This is after over a yr of insiders promoting $COIN inventory which has completely cratered.
I scent a liquidity disaster.
Where’s the cash, @coinbase? pic.twitter.com/DuoQcwkjsH
— Kurt Wuckert Jr | GorillaPool.com 🍌🍌 (@kurtwuckertjr) July 16, 2022

Why is Coinbase shutting down its affiliate marketing program?
The revelation that Coinbase is “briefly shutting down” its U.S. affiliate marketing marketing campaign got here as Business Insider noticed leaked emails from inside the corporate.
According to the report, Coinbase will shut down the program on July 19. The agency supposedly cited “market situations and the outlook for the remainder of 2022” as causes for its resolution. What situations is Coinbase referring to? An 80% drop in buying and selling quantity, large crashes within the worth of digital currencies and different tokens like NFTs, and an ever-tightening regulatory noose little question play a task.
Shutting its affiliate program is the newest in a regarding sequence of choices that sign Coinbase might not be in as robust a monetary place as many imagine. After shedding 18% of its workers, reporting an enormous loss in Q1 2022, including clauses to its phrases of use stating buyer belongings may very well be used to repay money owed within the occasion of chapter, and conflating USDC and USD order books, business watchers are speculating that the tip could also be close to for what was as soon as the most popular firm in ‘crypto.’
Analysis: Play it protected and by no means imagine the ‘crypto bros’
Coinbase customers who’ve funds on the alternate are fairly rightly debating what to do proper now. While some brush off the concept the agency is likely to be bancrupt, latest occasions inform us that this false sense of confidence could be deadly. When the identical rumors started to swirl about Celsius Network and Voyager Digital, customers in denial or those that didn’t join the entire dots dismissed them. That proved to be a expensive mistake.
In these conditions, it’s all the time greatest to play protection. Firms like Coinbase don’t take the actions they’ve in the previous couple of months for no motive. While they may very well be merely taking prudent motion and lowering prices to journey out the digital foreign money winter, they may be making ready for one thing solely insiders can see. There’s no method to inform, and so enjoying protection till the view turns into clearer is the one wise resolution.
Likewise, reassurances from Brian Armstrong and his crew ought to do nothing to dissuade you from promoting your digital currencies and/or shifting them off the alternate instantly. After all, Alex Mashinsky, the embattled CEO of Celsius Network, took to Twitter to deny rumors of the corporate’s issues honoring withdrawals simply hours earlier than it suspended them. You merely can’t belief vested pursuits on this business, and so any reassurances from Coinbase needs to be taken with a pinch of salt.
Whatever method you take a look at it, the good transfer is to interpret Coinbase’s actions as an indication that one thing isn’t proper and get out forward of the potential tsunami of withdrawal requests that will quickly comply with. In the best-case state of affairs, nothing occurs, Coinbase is okay, and you’ve got custody of your personal digital belongings. In the worst-case state of affairs, you ignore the purple flags, Coinbase goes underneath, and also you lose the whole lot like too many others have in latest weeks and months.
Follow CoinGeek’s Crypto Crime Cartel sequence, which delves into the stream of teams from BitMEX to Binance, Bitcoin.com, Blockstream, ShapeShift, Coinbase, Ripple, Ethereum, FTX and Tether—who’ve co-opted the digital asset revolution and turned the business right into a minefield for naïve (and even skilled) gamers out there.
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https://coingeek.com/is-coinbase-going-bankrupt-exchange-to-shut-down-its-us-affiliate-marketing-program/

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