While the crypto market was in a bloodbath, there was an issue with accessing client accounts on a leading cryptocurrency exchange. Coinbase, the world’s largest Bitcoin exchange, announced that some customers are experiencing problems accessing accounts.
Problem accessing accounts on Bitcoin exchange Coinbase!
America’s largest cryptocurrency exchange, Coinbase, says it is aware that some of its customers are experiencing trading and account access issues. The Trade platform has assured its users that their funds are safe. The Bitcoin exchange also stated that its developers are working on this issue.
Coinbase Global Inc., like the rest of the cryptocurrency market, is having a really tough week. The filing for bankruptcy isn’t bad, but the largest US crypto exchange mentioned clause B in a regulatory filing and bitterly reminded its customers how bad things could be for them if Coinbase were to get into serious trouble. Coinbase made the following statement on its Twitter account:
First (and most importantly), your money is safe and always will be. Second, our business is healthy and we’re staying on track. We will never give up on our commitment to you and we have never been more excited to build the future with you.
Coinbase added a risk disclosure in its quarterly report: Company is filing for bankruptcy If found, the court may treat client assets (Bitcoin, Dogecoin, or other crypto assets) that the exchange has in custody as Coinbase’s assets. And they would be behind the line for repayment, forcing normal folks unaccustomed to the ins and outs of federal bankruptcy court to get their money back along with the debt of everyone else in the stock market.
Earlier this week, the exchange came under fire after it updated the language of its terms of service to clarify that user assets can be wiped out in the event of bankruptcy, as reported by Kriptokoin.com. However, CEO Brian Armstrong said such a scenario is highly unlikely.
Earlier today, Bitcoin dropped as low as $25,000 for the first time since December 2020. Coinbase shares are also under heavy pressure and dropped to an all-time low of $40.83 earlier today.
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