Deutsche Boerse said on Wednesday it would delist Coinbase Global Inc (COIN.O) shares from its Xetra trading system and the Frankfurt stock exchange over incorrect data, with the U.S. cryptocurrency exchange saying it was working to resolve the “administrative error”.
When Coinbase trading started on Deutsche Boerse’s platforms, a wrong reference code – a so-called LEI code – was used by mistake, Deutsche Boerse said, leading to the delisting of the shares by the close of Friday’s trading session.
“The reason for the de-listing is a missing reference data for these shares,” Deutsche Boerse said, adding that the delisting would apply until further notice.
Such an individual reference code is needed for identification and a regulatory requirement for admission to trading. “The only way for Coinbase to resume trading is for the issuer to apply for an LEI,” Deutsche Boerse said.
The U.S. cryptocurrency exchange made its Nasdaq debut last week, its direct listing marking a major milestone in the development of bitcoin and other digital assets. As of Wednesday, its market capitalisation stood at $62 billion. read more
“We’re aware of an administrative error that has made it necessary for Coinbase to resubmit certain documentation to certain European stock exchanges,” a Coinbase spokesperson said.
“There have been no interruptions to trading of Coinbase stock at this time. We are working to resolve this as quickly as possible.”
Deutsche Boerse subsidiary Clearstream, a major European player in the clearing and settlement of trades, said it would no longer settle trades in Coinbase shares on the Frankfurt stock exchange from April 23 for regulatory reasons, unless an LEI is provided.
The listing of the San Francisco-based firm is by far the biggest yet of a cryptocurrency company, with its market capitalisation briefly topping $100 billion on its first day of trading.