Shares of Coinbase rallied on Thursday after a federal judge shut down a proposed class action lawsuit against the cryptocurrency exchange the day before.
The U.S.-based firm’s stock price surged more than 23% on the news that U.S. District Judge Paul Engelmayer dismissed the case brought in Manhattan by customers who claim Coinbase sold unregistered securities and failed to register as a broker-dealer.
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Engelmayer scrapped the plaintiffs’ claims with prejudice, meaning they cannot be brought again.
Reuters contributed to this report.
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