Coinbase loses bid to force Dogecoin sweepstakes case into arbitration

By Nate Raymond

Technology
Saturday, 17 Dec 2022
7:34 AM MYT

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FILE PHOTO: A representation of cryptocurrency is seen in front of Coinbase logo in this illustration taken March 4, 2022. REUTERS/Dado Ruvic/Illustration

(Reuters) - Coinbase Global Inc cannot force former customers to use private arbitration rather than the courts to resolve claims over a Dogecoin sweepstakes the cryptocurrency exchange ran, a U.S. appeals court ruled on Friday.

Four former Coinbase users had sued Coinbase, claiming the company duped them into paying $100 or more to enter a sweepstakes in June 2021 for a chance to win prizes of up to $1.2 million in the cryptocurrency Dogecoin.

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Coinbase loses bid to force Dogecoin sweepstakes case into arbitration