Court Approves Settlement in Coinbase Dogecoin Sweepstakes Class Action

On Thursday, July 3, 2025, US Magistrate Judge Sallie Kim of the United States District Court for the Northern District of California granted preliminary approval for a $2.25 million class action settlement in the case of Suski et al. v. Coinbase, Inc. The settlement resolves claims related to Coinbase’s Dogecoin Sweepstakes, affecting approximately 447,644 class members.

The lawsuit alleged that Coinbase and its sweepstakes administrator, Marden-Kane, violated California’s Unfair Competition Law and False Advertising Law by misleading participants about the need to purchase Dogecoin to enter the sweepstakes, despite a free entry option being available.

In June 2021, Coinbase launched the “Dogecoin” cryptocurrency on its platform. To boost trading volume, it engaged a third party to run a crypto sweepstakes with a grand prize of $300,000. Allegedly, various prompts on Coinbase’s website informed users that to participate, they needed to buy or sell $100 worth of “Dogecoin” on the Coinbase platform. The plaintiffs entered the sweepstakes promotion and traded the cryptocurrency as instructed for a chance at the top prize.

Only after entering the promotion did the plaintiffs claim they discovered an alternative, free method of entry (“AMOE”) for the sweepstakes. A separate “rules and details” page on Coinbase’s website indicated that consumers could also enter the sweepstakes by U.S. Mail without having to trade cryptocurrency. The plaintiffs later filed a class action lawsuit in the Northern District of California, contending that had Coinbase properly disclosed this AMOE, they would not have spent money to enter the cryptocurrency sweepstakes.

Please contact BlockTribune for access to a copy of this filing.