The SEC has revealed that it has received nearly 200 pages worth of customer complaints from Coinbase customers.
Coinbase is undoubtedly one of the most influential cryptocurrency firms in the world, with the executives valuing their own company at a staggering $8 billion dollars. Since its birth in June 2012, it has continually cemented itself as a way for worldwide investors to get their ‘feet’ dipped into the cryptocurrency market. Coinbase quickly became an exchange of choice during last year’s bull market, with the Coinbase app hitting #1 on the Apple App Store in December.
Coinbase recently made a series of announcements announcing new ventures. Most notably, the announcement of its index fund, aimed at institutional investors who hold the position of a U.S. accredited investor.
Does Coinbase Have Growing Pains?
Many in the cryptocurrency community will tell you about their experiences with Coinbase, some good and others bad. SEC documents obtained by Mashable have shown the extent of these ‘bad’ cases, with many enraged customers expressing experiences that do not resemble a world-class exchange.
These negative experiences have taken the form of lost funds, to users claiming that Coinbase somehow ‘stole’ cryptocurrency holdings from Coinbase wallets. It would be of no surprise if Coinbase attributed these cases to ‘growing pains’, as Coinbase’s userbase did skyrocket over the course of 2017.
While some of these cases may just be angry customers trying to throw Coinbase under the bus, it has become apparent that some of these cases hold credence.
One user noted that on August 30th, 2017, that he/she wired $21,000 to Coinbase from their personal account. Upon checking their Coinbase account, the user realized that the $21,000 was not credited and that Coinbase has not responded to any messages given to the exchange’s support line.
The user stated:
They have effectively stolen my money at this point. They have no way to reach them by phone, and they are ignoring my repeated attempts to resolve this matter.
Another infuriated user said:
On December 13th 2017, I wired $1,000 from my Bank of America account to my Coinbase account. This was supposed to be a one day transaction… It is now more than a month. I see no sign of my funds. I have emailed many times, sent them the confirmation details from Bank of America, nobody will reply to an email, nobody calls me back. There is no way a 1-day transfer can take more than a month.
These are just two of the many cases contained in almost 200 pages of customer complaints, with many consumers having eerily similar issues with Coinbase. If you take a gander at the ‘/r/Coinbase’ subreddit, the full extent of these cases becomes clear.
Despite reports of cases like the aforementioned two, Coinbase has been trying to improve its service, announcing ambitious expansion plans over the past six months, including buffing the customer support team.