Arca’s Jeff Dorman Slams Coinbase CEO for Prediction Market Stunt on Earnings Call
Jeff Dorman, chief funding officer at digital asset agency Arca, has criticized Coinbase CEO Brian Armstrong after the alternate head appeared to deliberately set off bets on prediction platforms in the course of the firm’s third-quarter earnings name.
Key Takeaways:
- Arca’s Jeff Dorman criticized Coinbase CEO Brian Armstrong for referencing prediction market bets in the course of the firm’s earnings name.
- Armstrong talked about crypto buzzwords like “Bitcoin” and “Web3” that customers had wagered would seem.
- The incident reignited debate over market integrity.
Dorman said Armstrong’s comments “mocked the trade” and undermined efforts to construct institutional belief in crypto.
Coinbase CEO Drops Bitcoin and Web3 Mentions After Tracking Prediction Market Bets
At the tip of the decision on Thursday, Armstrong admitted he had been “monitoring the prediction market about what Coinbase will say on their subsequent earnings name.”
He then added the phrases “Bitcoin, Ethereum, Blockchain, Staking, and Web3” – phrases that customers on Polymarket and Kalshi had wagered can be talked about.
His comment successfully allowed some bettors to win.
Bloomberg reported that greater than $84,000 was staked on whether or not these key phrases can be mentioned in the course of the name.
The second rapidly unfold throughout social media, sparking debate over whether or not Armstrong’s actions had been merely playful or probably manipulative.
Dorman wasn’t amused. “You want your head examined if you happen to assume it’s cute or intelligent or savvy that the CEO of the most important firm on this trade overtly manipulated a market,” he wrote on X.
He added that such habits damages credibility, particularly as corporations like Arca work to place crypto as a critical, institutional asset class.
Polymarket, one of many platforms internet hosting the bets, reacted in jest, calling Armstrong’s actions “diabolical work.”
However, the incident underscored how calmly regulated “point out markets” could be influenced when public figures knowingly reference their outcomes.
Coinbase later clarified that its staff are barred from taking part in prediction markets involving the corporate.
Notably, Coinbase has invested in each Polymarket and Kalshi, and Armstrong used the identical name to advertise the agency’s new “Everything Exchange,” which can finally assist prediction markets.
Responding to the backlash, Armstrong posted on X, “lol this was enjoyable – occurred spontaneously when somebody on our staff dropped a hyperlink within the chat.”
Coinbase Rejects Senator’s Claim of Ties to Trump’s ‘Corruption Factory’
Coinbase has denied allegations from Senator Chris Murphy, who accused the alternate of being a part of what he known as President Donald Trump’s “corruption manufacturing unit.”
Murphy cited Coinbase’s donations to Trump’s inauguration and a brand new White House ballroom challenge, in addition to its political spending via Fairshake, a crypto-backed tremendous PAC that supported pro-crypto candidates.
In response, Coinbase’s Chief Policy Officer Faryar Shirzad known as the claims “ridiculous,” saying the senator ignored “fundamental info.”
Shirzad clarified that Fairshake is a non-partisan PAC that supported each Republicans and Democrats, together with a number of of Murphy’s Senate colleagues.
He added that company donations to presidential inaugurations have been normal follow for a long time and absolutely disclosed beneath marketing campaign finance regulation.
Addressing considerations over the ballroom donation, Shirzad mentioned Coinbase’s contribution was a part of a broader company effort via the Trust for the National Mall, alongside corporations comparable to Apple, Google, and Ripple.
The White House confirmed the ballroom’s $300 million value is funded privately.
The submit Arca’s Jeff Dorman Slams Coinbase CEO for Prediction Market Stunt on Earnings Call appeared first on Cryptonews.
