Trading of Coinbase shares on Germany’s largest exchange is expected to come to a halt on Friday, because the crypto exchange is missing a mandatory legal identifier.
On Wednesday, Deutsche Boerse AG said it will de-list Coinbase shares from the Frankfurt Stock Exchange and the Xetra trading system by the end of day Friday. “The reason for the de-listing is a missing reference data for these shares,” Boerse said, noting that the freeze would remain in place until further notice.
Coinbase listed its shares on both the Frankfurt Stock Exchange and Xetra at the same time of its US initial public offering, and provided the necessary Legal Entity Identifier. However, the code ended up not being associated to the stock, and as a result, Coinbase shares will no longer be traded on the exchanges effective April 23. “The only way to get Coinbase back into trading is for the issuer to apply for an LEI,” a Deutsche Boerse spokesperson explained.
Following the news, Coinbase shares slumped by nearly 6% in Wednesday’s early trading session. The US cryptocurrency exchange made its debut on the Nasdaq last week via a direct listing, marking a significant breakthrough for major cryptocurrencies including bitcoin and ethereum.
Information for this briefing was found via Reuters. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.