InsideSources has learned that Martine Niejadlik has resigned from her position as Chief Compliance Officer at Coinbase at a time when the virtual currency exchange was drawing more scrutiny over its practices.
“We can confirm that Martine Niejadlik has left Coinbase in order to spend more time with her family,” said a spokesperson for the company in a statement to InsideSources. “We are grateful to Martine for all that she has contributed to Coinbase and pleased that she has remained connected to the company as an outside consultant.”
Niejadlik’s hire in November 2013 had been touted in the media. She had previously managed compliance for PayPal, EBay and Amazon. Her 20 years of experience in compliance were expected to aid Coinbase’s navigation of a wide array of current and coming financial regulations.
But her tenure was marked by controversy over moves by the company that made it the target of criticism and unflattering headlines. The company’s marketing focused on legal compliance but it was also quietly allowing customers to sidestep thorny legal troubles.
Coinbase, which has several high-profile investors, including the New York Stock Exchange and Andreessen Horowitz, has aimed to put potential customers at ease by claiming it’s the “first regulated bitcoin exchange,” but authorities in New York and California, where the company operates, say that’s not true.
It was revealed last month that a Coinbase investor presentation touted the cryptocurrency’s ability to thwart international sanctions. An investigation by InsideSources found that Coinbase’s own customer service was happy to advise customers on ways to transfer money to countries that fall under international sanctions.
“Erin Coppin has been named Chief Compliance Officer for Coinbase, and we couldn’t be more excited to welcome her to her new role,” Coinbase told InsideSources.