Topic: Coinbase going busto? Numerous people not getting paid by Coinbase currently. (Read 6542 times)

Coinbase is not having any problems (AFAIK). The issue, I believe, was the fact that many people were trying to sell bitcoin, but they did not have enough fiat to cover all these sales, so they had to sell some of the bitcoin they were buying on exchanges, and wait for the fiat to get to their bank accounts in order to pay their customers.

luckily they got bailed out by paypal phewww

j/k obv

I've got a good idea. Let's rent this loft right next door to their apartment/office so we can bug them in the hall or elevator about the problems.

http://www.zillow.com/homedetails/1-Bluxome-St-APT-407-San-Francisco-CA-94107/67090340_zpid/

Serge - Can you update us?

What happened with the pending order you mention?

If you've used Coinbase since, have you had any further issues?

lonestranger - Have you been paid?

If so, how long should it have taken, and how long did it actually take to get paid?

People in this thread who complained of not getting paid in a timely manner by Coinbase - please update us.

Keep the community up to date.

Yeah, that may be their profit model. It's still a hell of a good deal for merchants. Or they think the few businesses that will easily go over a million in sales will generate enough profit to carry the rest.

All their customers will not necessarily have a million dollars in sales, IMO many/most will have much less. Also when a merchant accept bitcoin via coinbase on their site they will essentially get free advertising for people to potentially buy bitcoin via coinbase (and have them earn their 1% spread on bitcoin purchases/sales).

People who complained of payments delayed - please keep us informed.

What is new with your situation(s)?

Yup!  Zero Payment Delays cause he is a thief and will just flat out take your money.

At least Coinbase will tease you a little, tickle your nuts.

Mike has never seen a pair... so he just dances around like a clown and steals your coins! 

Such a good site and awesome domain name.  Coinchimp     cause Monkeys and bitcoin go together like Hitler and Jews

No, it's not silly. If they're legit, and they have 100% of customer assets, it doesn't hurt them at all.

Not sure what the panic is about here, I buy and sell through coinbase all the time. No issues here, recently sold yesterday with no problems.

I warned people about CoinBase months ago ..

Their fees are too low - they have ZERO profits and in fact have NEGATIVE profits due to hacking.

When their Venture Capital money runs out, they will go down fast .. it will be a repeat of the MtGox fiasco, but even worse.

When will Bitcoiners wise up?

For a REAL EXCHANGE try https://CoinChimp.com .. ZERO PAYMENT DELAYS

Anybody with the delayed payments been paid yet?

Please keep us up to date.

Yes, that's the deal they give to merchants and a pretty sweet deal it is.

Selling coins.

I've been charged since my first bitcoin purchase on Coinbase. I assumed you're referring to merchants.

I always paid to sell on them.  I think that is only if you go through the merchant tool.

In the "Coinbase insured" thread in this forum, it was pointed out that  Coinbase recently stated that (Hurray!!!) their online funds are now insured.

unexecuted posted  "It's good to see Coinbase setting the standard here."

But PalmerLaura pointed out "Setting the standard for what, deception? 97% of deposits are offline and therefore uninsured."


Things like this are very disturbing, and contribute to the overall feeling for myself and others that this is a sketchy company.

The more open and transparent they can be, the more trust can be gained.
Making deceptive statements causes a lack of trust that can take a long time to be regained.

Also, their cs needs to be on the level of a bank or an Amazon or a PayPal.
Not "Hurray for us!!! After a few years we've hired a handful of minimum wage cs Live Chat people who are occasionally available" nor "If you have a serious problem, email us and sometimes you will receive a response within 24 hours, oftentimes not for a few days, and different people will give you different answers".

I don't know how many times I've seen their rep on Reddit or bitcointalk posting something along the lines of "It's unusual for you not to have gotten a response to your emails, and I don't want people to think that the only way they can get a response is to make a complaint on this board" - although repeatedly it's clear that for many people that is the only way they get a response - and sometimes not even then.


lonestranger - " I will never forget this and when there are other options I will definitely leave them."

I am hoping that a company with (imo) more credibility emerges soon for the USA market, as I would prefer to deal with another company (unless Coinbase vastly improves the issues which keep emerging).


As far as the people stating "FUD!!!" -  Coinbase could very likely not be going busto. There may be other explanations. I started the OP's title as a question, not a statement.

But surely a legitimate company should have no problem accepting and responding to legitimate criticism.

And users of Coinbase should be aware of the range of opinions and problems people are experiencing, and make their own more fully informed decisions as to if and how they want to deal with this company.

I read years ago that bank checks including foreign ones clear the next day, two days at the most for a foreign check.
(Therefore, it's evident that the reason for the long hold times some banks demand is so they can hold onto the funds that much longer to profit from them).

So it amazes me that people accept that the reason it takes Coinbase a week to pay out the bitcoins one has ordered is due to the nature of the bank transfer.

How can it take more than one business day, two at the outside, for an EFT/ACH transaction to not be finalized to the point where one party has guaranteed the other party the funds/transferred the funds electronically?

I would think the norm would be one day, two days would be an exception.

That's silly.  But I very much resent the position they've put me in with regard to my creditors.  They've jeopardized the project I'm involved in.  I had to borrow money from my kids with minimum wage jobs to make payroll last week.  I will never forget this and when there are other options I will definitely leave them.

I didn't realize it but they charge no fees for the first $1,000,000 of Bitcoin payments per customer. That's giving away a lot of profit! Literally the first $10,000 of profit from every customer. They claim to have 36,000 customers that would be $360,000,000 in lost profit. In order for them to start making a profit from every customer they already have their customers need to make $36,000,000,000 first. That's 36 billion dollars in sales before a profit on every current customer. The current Bitcoin market cap is $6,348,864,237. Kinda crazy.

So what your saying is that he is running Coinbase out of his apartment. Nothing really wrong with that as long as he runs an honest business. The last people on earth that would know if he was in financial or any business trouble would be his investors. I worked for a large firm and we doctored financial reports every year at audit time. I don't even think that's necessarily bad provided you are taking care of business (lots of companies do it - if you're really close to your promised return but not quite there, you fudge). I don't want put an axe in their coffin by contacting one of their capital partners and scaring them anyway. I want them to honestly succeed. Hell, I wanted Mt. Gox to succeed too.

Coinbase's purported address is 548 Market St, SF CA. That's "Earth Class Mail", a mail drop service. Same one Tradehill used.

One Bluxome St, Apt #440 is the home address of Brian Armstrong, which he lists as the principal place of business for Coinbase with the SEC.

VCs funding Coinbase include Andreessen Horowitz, FundersClub, IDG Ventures SF, Ribbit Capital, Union Square Ventures, and Andreessen Horowitz, and Y Combinator. If you're not a jerk, you can contact some of them and ask them if Coinbase is in financial trouble.

Is that his house? Is he running Coinbase out of his residence?

The San Francisco Bitcoin meetup group had a meeting at that exact address last summer and it was sponsored by Coinbase.

What hair? I think I remember having hair back in the 90s. lol

Well Coinbase isn't at 1 Bluxomer st suite 410. That address is in the Bluxome Place Lofts. They are apartments or condos. There was a guy from Vanguard Properties there showing a unit. I got to see the lobby and entrance of a beautiful renovated industrial property. I asked him if there were any businesses operating from the lofts. He told me no, they were zoned residential. He told me he could show me a suite in an office building nearby but there is no way to zone a unit in that building for commercial. If Coinbase is operating in that building they are doing it illegally.

  simply "use" bitcoin (store for 1 month) ... and, of the start of the month (when price rise) ... sell in ONE SHOT.

Even with the largest banks you can't really just walk in and get HUGE sums on the fly.

I tried to withdraw $25,000 from US Bank at once on the fly to go buy something and they straight up told me no... needless to say shit got a little ugly, a manager came out and they gave me five $5,000 cashiers checks.  I had to go to 5 different branches.

They told me in the future for stuff over $5,000 it was best to give them a three day heads up...  


Multiple accounts tied to one LLC most likely, but I can't recall 100%.

coinbase is too hot, better switch to circle for the time being

I don't think they are going busto but I certainly wouldn't leave any money with them. Just your typical money grabbing, super paranoid about AML/KYC, US-based exchange. I'll take BTC-e over these guys any day.

If coinbase is using bitstamp as their exchange, they probably run into trouble of getting money blocked by certain UK intermediary bank.

It wasn't too long ago a major UK bank make it their policy to refuse to service all bitcoin related wire.

I've met your wife, and her hair looks fine. Yours, on the other hand... 

LOL - well I guess I'll just keep them hidden in my closet.

HAHAHA ^^ ....getting pretty for it love it  

I'm heading that way this afternoon, as soon as my wife thinks her hair is fixed good enough to be seen in public. lol

As we both know about the Mt. Cocks stuff do your work son! do you work son!  Report back.  I actually had an interview with Coinbase so at least I know of a # and person name. lol....

Let's see, I want to go crusing yard sales today. I want to get some cash quickly because it's Sunday morning and I don't want the good stuff to be gone. So do I go to the ATM on the way or do I cruse the internet and set up a meet wasting a couple of hours first. Bitcoin isn't there yet. Maybe someday but not today. How long it takes to get there will depend on how many trustworthy exchanges can be set up in every country first.

Yeah, if you're worried that something may be wrong, you're definitely right that it's the best thing to get your funds out ASAP, sure! But I wouldn't jump to conclusions that Coinbase is going bust just yet

Really Holiday, really. And what if I want cash? Can you point me to the Bitcoin exchange that's been here since before Bitcoin?

ROFL

Yeah, take them all out immediately. Make sure they go out of business.

I do have to agree that you should be treating them the same way you would treat a small bank. Think of it this way, if you went down to your local bank to withdraw your money and they didn't immediately give it to you would you ever use that bank again?

How could you not trust this guy? He is a 25 year old veteran of the financial services industry. LOL

It doesn't matter what the "reasons" are. Depositors have a right to withdraw funds whenever the depositor wants to. If Coinbase is legit, it won't hurt them at all if every depositor withdraws all their funds. If Coinbase has been stealing customer funds, it's better to find that out sooner than later.

So withdraw all funds from Coinbase now.

I heard that they sent emails regarding the issues woth the deposits and wothdrawals. But that is beyond me.
More or less, the more time they take to solve this issue, the more trust they lose from the people that use CB.

I don't think that we should jump to conclusions just because something takes a while at some point. Do we have any official explanation about this whatsoever? This kind of stuff may have several valid reasons!

Yeah, you're spot on. That's the biggest bullshit that people spout here, especially the old timers. I've been here almost four years and everyone says well it's you're fault you lost money because you should know better than to trust X company. Well if I have to keep my Bitcoins locked up in a closet the rest of my life because I can't trust anyone then what the fuck good are they?

Or some folks have legitimate concerns.
The main issue is people not getting their money, and losing the ability to trade because of Coinbase issues. Its not about the owners are going to flee
or the company are going down.

I just experienced this my self with Cryptsy. My deposit took just over 80 hours to arrive. By that time
the coin i wanted to trade with had lost the moment. This is a big problem which happens with all these companies.
AS far as I can tell BTC operations are running around as if its the wild west and if it all goes horribly
wrong the answer is - Its your fault you lost because your trading in BTC. This is nonsense and needs to be stamped out.

As for me I trust no one or any organisation. I would like that to change however.

Do you use same multiple accounts on yourself? or have member of the same household having different account?

They are probably just snowed under right now, i cant see how they can be busto more likely trying to work out what to do with all the money.

My coinbase account was frozen too.  

They said it was because I had multiple accounts and instructed me on how to close the others. I did this and now they won't respond back after about 3-5 emails.

I haven't tried to sell there since, but I kind of figure that it is a no go on that as well.

(they don't have any of my Bitcoins of course)

No, they are actually not paying people.  I am personally VERY affected.

Looks like fud. Companies sometimes have problems but most people seem to be getting their money fine.

Same here. The problems I've had with them were all eventually resolved. Growing pains can be a real bitch, but doesn't meant hey are scammers. Indeed they are pioneering the future of consumer bitcoin.

Basically if you do research of Coinbase history you find out many sell/buy orders in the past were cancelled without any compenzation. Like you bought 1BTC when the price was 800 USD, but after few days your buy order was cancelled. The support tells you can do the transaction again, but unfortunatelly for you the price is now 850 USD.

So much about Coinbase.

I haven't faced any problem with coinbase yet?

We're in a holiday weekend. If any withdrawal is delayed past the end of next week, it's time to start talking to lawyers and collection agencies.  You might call up the accounts receivable managers at some of their big customers and see if they're seeing trouble. Buying a credit report on Coinbase from Dun and Bradstreet is worthwhile, and if they're not paying on time, report them to D&B. California small claims court goes up to $10,000, and if they owe you less than that, file in small claims court. That will get you action.

Late payment is a big red flag. Don't delay acting.

This is a link to a thread I started about 10 weeks ago.

https://bitcointalksearch.org/topic/coinbase-having-serious-technical-issues-651712



I recommend reading the links in post #5 in the thread:

Arvicco - "I'm surprised no one is talking about this to the community. All the figureheads are just regurgitating nonsense about how great Coinbase is for Bitcoin community. At the same time, users are posting horror stories about practical Coinbase experience on a regular basis: ..."

For those of you who feel all is well with Coinbase (you could be correct), simply ignore.

Coinbase needs to make a official statement to clarify all the detail. Otherwise it has bad influence and some users may scare to go there.

Though some people are desperately relying on coinbase,
for the average joe, I would say don't worry about it too much.
Coinbase will have it up and running sooner or later.
They have a reputation and they probably don't want to end up being the next Mtgox

People are just making stories so people will withdraw their money and deposit somewhere else. I am using coinbase everyday and never had any issues.

Please delete this thread mod

Got my ACH fees refunded to me in bitcoin on Aug 29 because of delays. First time that's happened. But I'm not worried (yet).

I received a payout from coinbase without any issue on the 22nd of August (9 days ago) so it must be a reasonably recent problem.

Well considering that coinbase provides services to merchants that generally cashout of their bitcoin immediately I would assume they would have more sales of bitcoin then buys of bitcoin (the same with bitpay). 

I can confirm that Coinbase is delaying some payouts.  I have numerous bitcoin sales for which I've received nothing.  One of them should have paid into my bank account on Tuesday.

Here is what they are saying: "During one of our recent code releases, we experienced a rare instance in which some of the ACHs from this weekend were delayed. We are currently putting our Engineering resources on this to mitigate this from happening again."

They are handling it terribly.  Every person who responds to email had a different time when I would get paid until a big mass mail went out saying "next Friday" we will get paid.

This is jeopardizing some very important projects for me.  And it may destroy my reputation in my community.  Can't say how much I loathe Coinbase.

You think it's the one in the SOMA? Bluxomer should be near the Safeway across from the train station. I need to go to the store anyway and I like that Safeway. I usually go to to the Safeway in the Castro but there's too many homeless scumbags over there lately. I'll try tomorrow. I know they won't be there but at least I can see if there's a storefront for them.

id expect the 'market street' address just to be a mail forwarding service.

Well, I looked real quick and found these addresses. Which one is correct?

Foreign Profit Corporation
COINBASE, INC.
Filing Information
Document Number
F14000000514

FEI/EIN Number
455293997

Date Filed
02/05/2014

State
DE

Status
ACTIVE

Principal Address
1 BLUXOMER STREET
SUITE 410
SAN FRANCISCO, CA 94104-5101

Mailing Address
548 MARKET STREET #23008
SAN FRANCISCO, CA 94045-401

Registered Agent Name & Address
C T CORPORATION SYSTEM
1200 SOUTH PINE ISLAND ROAD
PLANTATION, FL 33324

Officer/Director Detail
Name & Address

Title PD
EHRSAM, FREDERICK E, III
548 MARKET STREET, #23008
SAN FRANCISCO, CA 94104-5101

Title SD
ARMSTRONG, BRIAN D
548 MARKET STREET, #23008
SAN FRANCSCO, CA 94104

Edit: more info

Coinbase, Inc. is a West Virginia Foreign C | Corporation filed on May 9, 2014. The company's File Number is listed as 331419.

The Registered Agent on file for this company is Ct Corporation System and is located at 5400 D Big Tyler Road Charleston, WV 25313. The company's principal address is 1 Front Street, Suite 2600 San Francisco, CA 94111 and its mailing address is 548 Market Street, #23008 San Francisco, CA 94104.

The company has 3 principals on record. The principals are Brian Armstrong from San Francisco CA, Frederick Ehrsam from San Francsico CA, and Frederick Ehrsam from San Francisco CA.

Everything posted on forum is hearsay. There is little reason for a few reddit posters to lie.

Coinbase has _almost_ grown in size and reputation where they don't even need to reply to this publicly. Is there a message on their blog or has anyone bothered to check? My few are in the vault.

Weekend FUD?

Anyone can say anything via reddit, any proof?

you seem to lack any knowledge of bitcoin.

i have seen your post history and you have been complaining that blockchain.info doesnt confirm transactions

i have seen your post history and you have been complaining that coinbase doesnt confirm deposits

i have seen your post history and you have been complaining that coinbase doesnt finalise withdrawals

either your doing something wrong, or your just spouting fud to try and cause a panic crash so that your gambling addiction on betting websites will pay off

One thing that disturbed me about this company from the start is that they are trying to be a financial powerhouse, and yet they couldn't afford an adequate number of customer service people.

A few months ago in their email newsletter they made a big deal of the fact that they had hired some cs people (an inadequate amount, judging by the difficulty in finding a live chat person most of the time).

Amazing that people will accept almost non-existent cs.

Coinbase may very well be fine.

However, being told "Coinbase is fine" by an unknown person on the internet is meaningless.

What is meaningful are the numerous problems many encounter in dealing with this company, of which the Reddit thread is one of the latest examples.

As I warned last year, coinbase is a scam/ponzi and bleeding money to hackers on the daily.

When they run out of VC money to fill the holes, they will go bust - just like MtGox!

This implies there are more selling than buying on coinbase.

No wonder the price is going down.

http://www.reddit.com/r/Bitcoin/comments/2dstwg/who_audits_coinbase/

I agree. Coinbase is a reputable company. It is important to understand that they likely only have a limited amount of cash they can give to their customers before they have to sell bitcoin on an exchange, withdraw fiat from the exchange, wait for the payment to clear then send the funds to their customer. This entire process takes time.

Huh? Could you elaborate? Was that some transaction that got cancelled or something? I guess you wrote the support? It surely won't take this long to be executed normally! But any info on this would be appreciated!

I wonder when they are going to re initiate the transaction i made back in october of 2013 as promised in which I was shorted a decent amount of money.   

Huh, I really don't know if this is the indication of another Mt. Gox happening. I always felt that Coinbase was a legit company. Have they been audited in some way? I mean it's difficult to audit a reserve, because they're no exchange per se...

I don't think anything is getting out of track, because they can get sued if they even try to commit any theft/fraud.

I can go by there if you want but someone needs to get me a good address. BBB shows them on Market st. but their website shows a drop pin somewhere in the SOMA. It's Saturday so they're probably not there and I can't spend a lot of time looking because I'm going to the North Beach Rager day party at 2.

one of my sells is delayed since last wed. they say should come in soon. i have another order pending to clear next week.    if the issue occurs with the new pending order it will be a time to look for a new service provider for me.

Get serious, given the amount of VC $ they have taken down, they are virtually certain not to run out of cash anytime soon
I have never encountered any problems

I don't feel this is something to worry about. I know a few people myself who were paid out recently by CoinBase and they have had no problems at all. Possibly a small glitch in the system that was causing payments to not be made and people are jumping to conclusions.

Coinbase is fine. Back to work, peons.

Sold around 2k worth of coin 2 weeks ago without problem.

Based on the respond on the thread, this problem only happen recently.

I received a payment for 200$ a week before, not sure why this news exists.

Probably they are doing site maintainence..

http://www.reddit.com/r/CoinBase/comments/2ep8i3/i_am_waiting_for_a_coinbase_sell_they_said_the_by/