US courts to handle Coinbase Dogecoin sweepstakes disputes

Justice Neil Gorsuch emphasized that arbitration is a matter of contract and parties can agree to have an arbitrator resolve threshold arbitrability questions.

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The United States Supreme Court has overridden Coinbase’s user agreement, allowing district courts to settle sweepstakes disputes involving Dogecoin rewards.

Crypto exchange Coinbase launched a Dogecoin (DOGE) sweepstakes promotional event in June 2021, but the user agreement had conflicting clauses regarding dispute resolution.

Coinbase preferred arbitrators to resolve financial disputes, while users favored court intervention. Both options were separately outlined in the platform’s agreements.

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