Analyst Peter Brandt, known for his accurate Bitcoin (BTC) predictions, has targeted a crypto exchange this time. The Bitcoin oracle warned users of Coinbase, one of the major crypto exchanges, about their Bitcoins.
Coinbase on the target board of the Bitcoin prophet
As it will be remembered, Coinbase announced that it will treat its customers as unsecured creditors. After that, Peter Brandt continued to target at Coinbase. Peter Brandt, a veteran futures trader, slapped once again on San Francisco-based cryptocurrency exchange Coinbase in his latest tweet.
Peter Brandt normally talks about developments in the cryptocurrency industry as an analyst. This time, however, he chose to criticize Coinbase’s stance. He even declared a bad faith about her. According to the famous analyst, Coinbase deserves to go bankrupt in the ongoing bear market.
Peter Brandt worried about Coinbase users
The analyst said he is concerned about Coinbase users holding their crypto assets on the popular trading platform. Because he stated that they can be declared as “unsecured creditors” in case of bankruptcy.
Peter Brandt noted that the bankruptcy of Coinbase worked in favor of the exchange. He also added that the unfortunate development will present the Coinbase team an opportunity to ‘steal users’ crypto assets’. Peter Brandt used the following statements in his Twitter post:
Unfortunately, Coinbase is the one who deserves to go bankrupt. Customers holding BTC will be unsecured creditors. Presumably their Bitcoins will be stolen.
https://twitter.com/PeterLBrandt/status/15374112999197562880
Peter Brandt is a crypto enthusiast using the username @TuurDemeester It is remarkable that he made this comment in response to a tweet by The Twitter user made a list of crypto-related companies that will emerge stronger from the ongoing market crash.
Although Coinbase is not on the list, the experienced futures trader has found a way to make disparaging comments about the trading platform.
Effects of the crypto crash on companies
Crypto-related companies saw a huge drop in profits after the crypto market crash triggered by rising inflation and Celsius Network issues. The bearish trend in the crypto market has prompted the relevant companies to take strict measures. So much so that this includes widespread layoffs. As you follow on
Kriptokoin.com , Coinbase has previously cut staff by a fifth. In this context, 260 employees were laid off. This shows how badly the ongoing bear market has affected the company.
Peter Brandt’s disparaging comment came a month after the trading platform announced it in its first quarter financial report. Also, Peter Brandt warned users that “their Bitcoins no longer belong to them”. Coinbase’s statement that caused the warning included the following statements:
In the event of bankruptcy, crypto assets that we hold in custody on behalf of our customers may be subject to bankruptcy proceedings. Such customers will be considered our general unsecured creditors.
