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> they are practically required to have terrible customer support in many situations due to banking regulations and practices What do you mean by that? What ar

• modeless 9y ago
  In the case that they have any suspicion of illegal or even simply suspicious activity, even though they may be wrong, they must err on the side of caution and freeze and/or close accounts. "Illegal activity" may be something as innocuous as selling Bitcoin to friends, as that could run afoul of MSB laws. As another hypothetical example, accessing your Coinbase account when you are overseas could be seen suspicious as Coinbase may not be able to tell if you are there temporarily or have moved without telling them, and in the latter case all sorts of laws may apply. In the case that they are forced to freeze or close accounts, they are probably not allowed to say why or give any recourse, which is incredibly frustrating for the person who may be wrongly affected.
  • falsedan 9y ago
    Pretty sure what the practices you described have 0% basis in law/regulations and 100% ass-covering/terrible customer service.
    • modeless 9y ago
      That may or may not be true but it's the banks imposing these kinds of requirements, not Coinbase. Coinbase has no power to change banking practices so they must simply do what the banks require. Coinbase would probably love to let anyone do anything with their Bitcoin, but they would be shut down immediately.