Ethereum Classic Erupts 25% After Coinbase Announces Plans to List Fifth Cryptocurrency

Ethereum Classic (ETC) exploded higher on June 12, 2018, surging as much as 25% in under an hour after Coinbase, the largest cryptocurrency exchange in the United States, announced it would begin supporting the digital asset in the coming months. The move marks a pivotal moment for a coin that had spent much of the year in the shadow of its more popular sibling, Ethereum.

TL;DR

• Coinbase announced on June 12 it will add Ethereum Classic to its platform, making it the fifth supported cryptocurrency
• ETC price surged from $12.90 to $16.15 in less than an hour, eventually settling around $15.80
• The token rallied over 18% on Kraken with $18.3 million in daily trading volume
• Coinbase proactively announced the listing well in advance to prevent insider trading concerns
• ETC becomes the first new addition to Coinbase since Bitcoin Cash in December 2017

The announcement sent immediate shockwaves through crypto markets. On Kraken, one of the largest digital asset exchanges, ETC traded at $14.84, up 18.1% with a remarkable $18.3 million in 24-hour volume. The broader market data from CoinMarketCap showed ETC’s market capitalization swelling to approximately $1.61 billion, making it the 18th largest cryptocurrency at the time.

Why Coinbase Chose Ethereum Classic

Ethereum Classic’s origin story is one of the most dramatic episodes in crypto history. Born from the ashes of the infamous DAO hack in June 2016 — when an attacker exploited a vulnerability to drain 3.6 million ETH, worth roughly $50 million at the time — the Ethereum community faced a defining choice. The majority opted to hard-fork the blockchain and reverse the theft, creating what we now know as Ethereum (ETH). A smaller faction refused to alter the chain’s history on principle, continuing on the original blockchain as Ethereum Classic.

For Coinbase, the decision to list ETC carried strategic significance beyond simply expanding its coin offerings. The exchange had been under scrutiny since its controversial addition of Bitcoin Cash in December 2017, when the token’s price spiked to $8,500 on Coinbase — nearly three times the price on other exchanges — before the listing was even fully live. The incident triggered insider trading allegations and a formal internal investigation.

A New Era of Transparency

This time, Coinbase took a markedly different approach. By publicly announcing its intention to list ETC well before any actual integration work was complete, the company aimed to level the playing field. The announcement served as both a technical coordination exercise and a signal to markets that no one should have an unfair informational advantage.

The strategy appeared to work. While ETC certainly surged on the news, the price movement was more measured and distributed across all major exchanges, rather than concentrated on Coinbase’s platforms. The token’s climb from $12.90 to $16.15 was significant but orderly, reflecting genuine market enthusiasm rather than manipulation.

What This Means for the Broader Market

The Coinbase listing carried implications well beyond ETC itself. As of June 12, 2018, the exchange supported only four cryptocurrencies: Bitcoin, trading around $6,582; Ethereum at approximately $497; Litecoin near $101; and Bitcoin Cash at roughly $874. Each addition to this exclusive list effectively served as a seal of approval from the most regulated and widely-used U.S. exchange.

Notably, Coinbase also reiterated its plans to support ERC20 tokens — the standardized tokens built on Ethereum’s platform — as well as Bitcoin forks in the future. The company had recently hired Balaji Srinivasan as its first CTO through the acquisition of his startup Earn.com, and had launched an investment arm, signaling broader ambitions in the cryptocurrency space.

Why This Matters

The Coinbase-ETC listing represented a critical inflection point for cryptocurrency market maturity. By proactively addressing insider trading concerns and expanding its offerings methodically, Coinbase was setting standards that would influence how other exchanges approached new listings for years to come. For ETC specifically, the Coinbase listing provided unprecedented visibility and legitimacy to a project that many had dismissed as a relic of Ethereum’s governance crisis. The token’s dramatic price surge demonstrated the enormous influence that exchange listings — particularly from Tier 1 platforms — wielded over cryptocurrency valuations in 2018.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry significant risk. Always conduct your own research before making investment decisions.