An entrepreneur and cryptocurrency enthusiast says he's discovered damning evidence of insider trading of Bitcoin Cash related to its recent adoption by Coinbase, the popular digital currency exchange, as well as GDAX, another exchange.

"I've found and isolated one instance of insider trading on BCH addition to GDAX/Coinbase," says Albert Renshaw.

("BCH" is Bitcoin Cash.)

. Possible Bitcoin Cash insider trading via Coinbase

The result could have been a massive 700% one-hour gain, says Renshaw.

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How it happened

On December 18, someone called "mukiwa2" on Reddit posted "Bitcoin Cash coming in the next few days." On the 19th, Coinbase announced that it would be supporting Bitcoin Cash.

Immediately, Bitcoin Cash values skyrocketed.

"Demand soars while supply stays constant," Renshaw told me via Messenger. "The potential gains are huge. In this case BCH went from $1k to $8k in an hour."

John Koetsier

Bitcoin Cash has jumped in Value since the Coinbase announcement. Chart by CoinMarketCap.

The stakes are huge when a cryptocurrency enters the big exchanges. Suddenly a cryptocurrency that might have only been available to a few people with specific digital wallets is available to a much larger audience of potential buyers. While Coinbase had publicly revealed that it would support Bitcoin Cash at some point, the exact timing was unknown.

In this case, someone who invested $150,000 in BCH before the adoption stood to make over $1,000,000 in profit very soon after the Coinbase announcement, which states that "sends and receives are available immediately," and that buys and sells would be "available to all customers once there is sufficient liquidity on GDAX."

The key question: who "mukiwa2" is

It's not clear who "mukiwa2" is, but upon questioning in the Reddit thread, the user reveal that he or she had an inside source.

"I have a mate at CB ;)," mukiwa2 said.

(CB almost certainly refers to Coinbase.)

"mukiwa2" seemed to realize the danger of posting this publicly rather quickly. After more questions, whoever was behind "mukiwa2" deleted his or her comment. Unfortunately for "mukiwa2," the comment was archived, so then "mukiwa2" deleted his or her entire account.

However, Renshaw saved a screen capture of the commentary on December 20 at

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