6 ms·

I cannot recommend Coinbase at all. I operate an adult comic book publisher and they shutdown our account without notice and blamed the bank they work with (des

I cannot recommend Coinbase at all. I operate an adult comic book publisher and they shutdown our account without notice and blamed the bank they work with (despite the fact that we were not converting our BTC to USD). All support tickets took 3 - 5 days to get a reply and it was always unhelpful. For a company like ours the whole appeal of Bitcoin is the anonymity, so our readers don't have to worry about buying lewd comics and having it show up on their statements. Coinbase tarnishes what Bitcoin stands for and they do not protect artists/publishers. Do not use Coinbase.

gnarbarian 10y ago
From a consumer side I've used coinbase because of its great website and simplicity compared to alternatives I saw when I signed up a year ago. It offered a polished interface that helped me feel more comfortable about purchasing Bitcoin and making exchanges. I understand that many of these qualities are somewhat superficial when it comes to security and reliable service. What competing companies out there do a better job in your experience?
- mr337 10y ago
  I have heard of really bad horror stories on the merchant side. While on the consumer this its great, if the merchant side is horrid, you can bet it will hurt the adoption of bitcoin.
- sidko 10y ago
  There are horror stories on the consumer side too. Multiple withdrawals when only one was instructed, delays in getting money after a buy/sell, locking people out of their accounts still with Bitcoin in them without providing a reason, canceled buy orders during a volatile market, and what not. r/bitcoin is littered with such user complaints. It is sad that the best way to get support on Coinbase issues is to go on reddit to complain. Many people have moved to Circle for a smoother consumer experience. p.s. no relation to either Coinbase or Circle except as a consumer.
  - beaner 10y ago
    r/bitcoin also has a vendetta against Coinbase because they're for a blocksize increase. That forum is actually incredibly childish (just read the comments). You don't find the same concentration of complaints in other cryptocurrency reddits, and r/bitcoin definitely is not the only one or the most important.
    - selestify 10y ago
      Which is the most important?
    - barmstrong 10y ago
      Coinbase CEO here. This is (sadly) quite accurate. The other reason you see so many complaints there is that there are many scammers trying to buy digital currency with stolen credentials, and a common scammer tactic is to appear angry (via support channels, or any public forum) in the hopes that we will approve their purchase.
      - homero 10y ago
        Nah you're just too busy pumping ethereum
  - miend 10y ago
    Very easy to use Circle to purchase bitcoin with a regular card, then move that bitcoin to your own external wallet. I can recommend this as a smooth experience.
  - MichaelGG 10y ago
    Coinbase blocked my personal account, holding my Bitcoin until I provided photo ID. Just to get access to my money already purchased. Then they incorrectly decided my immigration status and removed my bank connection. I closed my account and asked for my inappropriately obtained information to be deleted. They refused to "protect" me from "identity theft". Screw them.
  - jboggan 10y ago
deleted 10y ago
[deleted]
ceejayoz 10y ago
I doubt it matters to Coinbase's bank whether or not you're converting to USD.
- onion2k 10y ago
  If customers are paying BTC in to a Coinbase account, and the account holder is removing the coins as BTC, then why would the bank's policies impact anything? It's understandable, because (presumably) financial regulations mean Coinbase can't offer a "no USD withdrawal" account that doesn't have the link to the bank, but it's a shame too.
  - ceejayoz 10y ago
    I'm certain there's a contract provision involved along the lines of "We will only provide banking services to you if you agree not to engage in or serve customers who engage in our prohibited industries in any manner."
davef1 10y ago
Coinbase employee here. We're providing the bridge between finance 1.0 (e.g. banks) and finance 2.0. This means we're subject to requirements of the banking partners we work with and can only support merchants within their comfort level. Unfortunately there are times when we would like to support a merchant but can't, but its a hard thing to keep the bridge open. You can read more here: https://medium.com/the-coinbase-blog/building-the-bridge-why-compliance-is-key-to-digital-currencys-success-7bfdd88a084c#.ckubzh6vy https://medium.com/the-coinbase-blog/building-the-bridge-why...
- moefogs 10y ago
  This doesn't explain the consistently slow and unhelpful support function. For what it's worth, I stopped using or recommending Coinbase after issues being charged successfully, but then Coinbase failed to make the buy, didn't honor the quote, and took days to respond. Coinbase is an obvious and mediocre idea, executed poorly. It's a testament to the SV hype machine that they raised enough money that they can pretend they're a real company.
- ActsJuvenile 10y ago
  Your verification system is completely broken Dave. All my attempts to verify for past two years give "Unknown error". Any attempt to upload a new ID goes back to main screen. I am exhausted from waiting for a reply from your helpdesk: they just send the same canned reply, when this might be a code bug in your verification workflow.
barmstrong 10y ago
Coinbase CEO here. I think this boils down to a misunderstanding about what our product is. There are some companies which operate purely in the digital currency world, and never store people's money. They are not regulated businesses. I'm glad these exist (and it sounds like this is what you are looking for) but this is not Coinbase. Coinbase is an exchange that integrates with the traditional financial system to help people convert their local currency into and out of digital currency. I wrote a post about this here which may help: https://medium.com/the-coinbase-blog/coinbase-is-not-a-wallet-b5b9293ca0e7#.obvdyhi2b https://medium.com/the-coinbase-blog/coinbase-is-not-a-walle... When you say Coinbase tarnishes what Bitcoin stands for, I have to disagree. We are enabling millions of people to get access to digital currency so that it can succeed. We do this successfully by playing by the rules in the existing ecosystem. You may not like these rules, but if you want millions of people to have easy access to digital currency (so that a new economy can develop etc) we are the greatest ally you have on that mission. One company can't play both roles, of integrating with the existing financial ecosystem, and creating the brave new world that you want to see. That role probably needs to be filled by separate companies. We are much closer to Stripe and other businesses which don't allow adult businesses either. https://stripe.com/blog/why-some-businesses-arent-allowed https://stripe.com/blog/why-some-businesses-arent-allowed Further reading: https://medium.com/the-coinbase-blog/building-the-bridge-why-compliance-is-key-to-digital-currencys-success-7bfdd88a084c#.la2sbe32x https://medium.com/the-coinbase-blog/building-the-bridge-why...
- CyberDildonics 10y ago
  I've had and heard somewhat similar experiences as the person you are replying to. Buying? No problem. Selling? An error, but only once you go the actual page to do it. No notification on the main accounts pages and no information with the error. Just something like 'there is a problem please contact support' (which of course means waiting a couple of business days). If I want terrible, uninformed, opaque service only when it is convenient for the other party, I can already get that at every bank I've ever dealt with. You could be better than that, but it is hard to believe that that is what you are trying to do. From your link: "As a result, the decision to support a business is not solely up to Stripe; it involves the various financial companies in the credit card processing chain. Their restrictions tend to be broad and, as a result, often pretty confusing." You don't deal with visa/mastercard payment network companies do you? If not, how can you have the same rationalizations as Stripe? And of course if you share the same problems as credit card companies (of which there are SO many), what problems are you solving?
sushid 10y ago
I cannot recommend it on good faith either. I've had confirmed ETH tractions (20+) simply not show up on my account due to an "error." Not "pending," but straight up not there. Mind you, this was worth around 2-3k USD and I've transferred coins back and forth from the same addresses before. I had to add up all the transactions from their logs to figure out they made the mistake on their end. I got it all resolved but to have cryptocurrency transactions disappear after it's been registered?? Just boggles my mind as to how this could have happened.
Ar-Curunir 10y ago
Just so you know, Bitcoin doesn't provide strong anonymity either way.
gennata 10y ago
I find it odd how in all these first employees articles they are all investors now. Would you want to raise from someone who just happened to be a first employee??
- nikanj 10y ago
  First employees have an excellent vantage point to the growth of the company, and are bound to learn tons about running a company. I would gladly raise from someone who's gone through the gauntlet, as opposed to someone who won the birth lottery and is investing money from the bank of mom and dad.

gnarbarian 10y ago

From a consumer side I've used coinbase because of its great website and simplicity compared to alternatives I saw when I signed up a year ago. It offered a polished interface that helped me feel more comfortable about purchasing Bitcoin and making exchanges. I understand that many of these qualities are somewhat superficial when it comes to security and reliable service. What competing companies out there do a better job in your experience?

mr337 10y ago
I have heard of really bad horror stories on the merchant side. While on the consumer this its great, if the merchant side is horrid, you can bet it will hurt the adoption of bitcoin.
sidko 10y ago
There are horror stories on the consumer side too. Multiple withdrawals when only one was instructed, delays in getting money after a buy/sell, locking people out of their accounts still with Bitcoin in them without providing a reason, canceled buy orders during a volatile market, and what not. r/bitcoin is littered with such user complaints. It is sad that the best way to get support on Coinbase issues is to go on reddit to complain. Many people have moved to Circle for a smoother consumer experience. p.s. no relation to either Coinbase or Circle except as a consumer.
- beaner 10y ago
  r/bitcoin also has a vendetta against Coinbase because they're for a blocksize increase. That forum is actually incredibly childish (just read the comments). You don't find the same concentration of complaints in other cryptocurrency reddits, and r/bitcoin definitely is not the only one or the most important.
  - selestify 10y ago
    Which is the most important?
  - barmstrong 10y ago
    Coinbase CEO here. This is (sadly) quite accurate. The other reason you see so many complaints there is that there are many scammers trying to buy digital currency with stolen credentials, and a common scammer tactic is to appear angry (via support channels, or any public forum) in the hopes that we will approve their purchase.
    - homero 10y ago
      Nah you're just too busy pumping ethereum
- miend 10y ago
  Very easy to use Circle to purchase bitcoin with a regular card, then move that bitcoin to your own external wallet. I can recommend this as a smooth experience.
- MichaelGG 10y ago
  Coinbase blocked my personal account, holding my Bitcoin until I provided photo ID. Just to get access to my money already purchased. Then they incorrectly decided my immigration status and removed my bank connection. I closed my account and asked for my inappropriately obtained information to be deleted. They refused to "protect" me from "identity theft". Screw them.
- jboggan 10y ago

deleted 10y ago

[deleted]

ceejayoz 10y ago

I doubt it matters to Coinbase's bank whether or not you're converting to USD.

onion2k 10y ago
If customers are paying BTC in to a Coinbase account, and the account holder is removing the coins as BTC, then why would the bank's policies impact anything? It's understandable, because (presumably) financial regulations mean Coinbase can't offer a "no USD withdrawal" account that doesn't have the link to the bank, but it's a shame too.
- ceejayoz 10y ago
  I'm certain there's a contract provision involved along the lines of "We will only provide banking services to you if you agree not to engage in or serve customers who engage in our prohibited industries in any manner."

davef1 10y ago

Coinbase employee here. We're providing the bridge between finance 1.0 (e.g. banks) and finance 2.0. This means we're subject to requirements of the banking partners we work with and can only support merchants within their comfort level. Unfortunately there are times when we would like to support a merchant but can't, but its a hard thing to keep the bridge open. You can read more here: https://medium.com/the-coinbase-blog/building-the-bridge-why-compliance-is-key-to-digital-currencys-success-7bfdd88a084c#.ckubzh6vy https://medium.com/the-coinbase-blog/building-the-bridge-why...

moefogs 10y ago
This doesn't explain the consistently slow and unhelpful support function. For what it's worth, I stopped using or recommending Coinbase after issues being charged successfully, but then Coinbase failed to make the buy, didn't honor the quote, and took days to respond. Coinbase is an obvious and mediocre idea, executed poorly. It's a testament to the SV hype machine that they raised enough money that they can pretend they're a real company.
ActsJuvenile 10y ago
Your verification system is completely broken Dave. All my attempts to verify for past two years give "Unknown error". Any attempt to upload a new ID goes back to main screen. I am exhausted from waiting for a reply from your helpdesk: they just send the same canned reply, when this might be a code bug in your verification workflow.

barmstrong 10y ago

Coinbase CEO here. I think this boils down to a misunderstanding about what our product is. There are some companies which operate purely in the digital currency world, and never store people's money. They are not regulated businesses. I'm glad these exist (and it sounds like this is what you are looking for) but this is not Coinbase. Coinbase is an exchange that integrates with the traditional financial system to help people convert their local currency into and out of digital currency. I wrote a post about this here which may help: https://medium.com/the-coinbase-blog/coinbase-is-not-a-wallet-b5b9293ca0e7#.obvdyhi2b https://medium.com/the-coinbase-blog/coinbase-is-not-a-walle... When you say Coinbase tarnishes what Bitcoin stands for, I have to disagree. We are enabling millions of people to get access to digital currency so that it can succeed. We do this successfully by playing by the rules in the existing ecosystem. You may not like these rules, but if you want millions of people to have easy access to digital currency (so that a new economy can develop etc) we are the greatest ally you have on that mission. One company can't play both roles, of integrating with the existing financial ecosystem, and creating the brave new world that you want to see. That role probably needs to be filled by separate companies. We are much closer to Stripe and other businesses which don't allow adult businesses either. https://stripe.com/blog/why-some-businesses-arent-allowed https://stripe.com/blog/why-some-businesses-arent-allowed Further reading: https://medium.com/the-coinbase-blog/building-the-bridge-why-compliance-is-key-to-digital-currencys-success-7bfdd88a084c#.la2sbe32x https://medium.com/the-coinbase-blog/building-the-bridge-why...

CyberDildonics 10y ago
I've had and heard somewhat similar experiences as the person you are replying to. Buying? No problem. Selling? An error, but only once you go the actual page to do it. No notification on the main accounts pages and no information with the error. Just something like 'there is a problem please contact support' (which of course means waiting a couple of business days). If I want terrible, uninformed, opaque service only when it is convenient for the other party, I can already get that at every bank I've ever dealt with. You could be better than that, but it is hard to believe that that is what you are trying to do. From your link: "As a result, the decision to support a business is not solely up to Stripe; it involves the various financial companies in the credit card processing chain. Their restrictions tend to be broad and, as a result, often pretty confusing." You don't deal with visa/mastercard payment network companies do you? If not, how can you have the same rationalizations as Stripe? And of course if you share the same problems as credit card companies (of which there are SO many), what problems are you solving?

sushid 10y ago

I cannot recommend it on good faith either. I've had confirmed ETH tractions (20+) simply not show up on my account due to an "error." Not "pending," but straight up not there. Mind you, this was worth around 2-3k USD and I've transferred coins back and forth from the same addresses before. I had to add up all the transactions from their logs to figure out they made the mistake on their end. I got it all resolved but to have cryptocurrency transactions disappear after it's been registered?? Just boggles my mind as to how this could have happened.

Ar-Curunir 10y ago

Just so you know, Bitcoin doesn't provide strong anonymity either way.

gennata 10y ago

I find it odd how in all these first employees articles they are all investors now. Would you want to raise from someone who just happened to be a first employee??

nikanj 10y ago
First employees have an excellent vantage point to the growth of the company, and are bound to learn tons about running a company. I would gladly raise from someone who's gone through the gauntlet, as opposed to someone who won the birth lottery and is investing money from the bank of mom and dad.