Coinbase Dogecoin Sweepstakes Case Now In A Lower Court

• 1 Coinbase Dogecoin sweepstakes case shifted to district court amid arbitration involvement.
• 2 The crypto exchange introduced the Dogecoin Sweepstakes promotional event in 2021 to reward users.
• 3 Supreme Court’s exit from the case and Kabosu’s death, the iconic dog behind the Dogecoin meme are affecting the coin price.

Coinbase’s long-time pending Dogecoin sweepstakes case shifted from the Supreme Court to the district court. In 2021, Dogecoin (DOGE) Sweepstakes promotional event was introduced by Coinbase and had conflicting clauses regarding dispute resolution. 

Why Supreme Court Snatch Hands From the Coinbase Dogecoin Sweepstakes Case?

On May 23, the US Supreme Court snatched hands from the Dogecoin sweepstakes case amid arbitration involvement. Bloomberg Law disclosed the Supreme Court’s decision on the case over X (formerly Twitter).

DOGE, a prominent player in the memecoin market was trading at $0.1617, after experiencing a downturn of 2.64% in a day with a market cap of $23,353,923,164. 

The court ordered district courts to settle the case as Coinbase preferred arbitrators whereas users favored court intervention. According to the legislation, the US courts are not authorized to handle cases that involve arbitration clauses only.

Coinbase Dogecoin Sweepstakes Case

It all began in June 2021 when Coinbase introduced its Dogecoin sweepstakes system to reward users. The exchange also shared the news on X.

As per the system, individuals taking part and buying and selling $100 in DOGE on Coinbase at a specific time will get rewards. Different ranges were set for different winners the top player will receive $300K in DOGE whereas the top 10 winners will get $30K in DOGE and many more.

After several user allegations that Coinbase misled them into paying to participate in the sweepstakes, a class-action lawsuit was filed against the exchange. According to users, the exchange took pay even though there was an option to participate for free.

Coinbase argued that the users had agreed to resolve all disputes. However, a Federal judge in California denied Coinbase’s request while acknowledging the arbitration clause in the exchange’s user agreement.

DOGE Reacts

The collision of Coinbase Dogecoin sweepstakes and the death of Kabosu, the dog behind the Dogecoin meme at the age of 18, impacted DOGE’s price. DOGE price dropped from $0.1672 on May 23 to $0.1617, at press time, showcasing a drop of 2.34% in a day.

DOGE price I Source: CoinMarketCap

Kabosu, once inspired by the viral Doge meme had filled the DOGE community’s eyes with tears and X with countless wishes for Kabosu’s soul.

Sumit Gupta, the co-founder of CoinDCX said that DOGE had a tremendous impact on individuals’ life. He added that it brought millions of individuals into the world of crypto in a fun way.

Adarsh ​​Singh

Adarsh Singh is a true connoisseur of Defi and Blockchain technologies, who left his job at a “Big 4” multinational finance firm to pursue crypto and NFT trading full-time. He has a strong background in finance, with MBA from a prestigious B-school. He delves deep into these innovative fields, unraveling their intricacies. Uncovering hidden gems, be it coins, tokens or NFTs, is his expertise. NFTs drive deep interest for him, and his creative analysis of NFTs opens up engaging narratives. He strives to bring decentralized digital assets accessible to the masses.