Beware of CoinBase

[SpanishSoldier]

LocalBitcoins and Coinbase

Coinbase neither prohibits nor endorses our customers’ lawful use of any third-party exchange service. Nor do we necessarily prohibit our customers’ sale of bitcoin in peer-to-peer transactions for personal, non-business use.

Coinbase customers may not, however, use their Coinbase Accounts to engage as a business in the exchange of virtual currency for fiat currency, funds, or other virtual currency. Coinbase reserves the right to limit your account use if we detect activity which constitutes a violation of this policy and/or our User Terms. We further reserve the right to limit your account use if your account is associated with high-volume activity inconsistent with personal use.

Source: https://support.coinbase.com/customer/portal/articles/1905681-localbitcoins-and-coinbase

In News: Coinbase Is Tracking How Users Spend Their Bitcoins

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[arlekyn13]

So this is the price users have to pay for using their "regulated" exchange/wallet? Welcome to the "paypal" of bitcoin

[NyeFe]

So this is the price users have to pay for using their "regulated" exchange/wallet? Welcome to the "paypal" of bitcoin

It's either this for them, or become the next BurtW

[Bit_Happy]

So this is the price users have to pay for using their "regulated" exchange/wallet? Welcome to the "paypal" of bitcoin

CoinBase deserves credit for helping Bitcoin grow stronger in the "real-world". They have the right to decide how to deal with regulations and users have the right to use them or look for other options.

[LiteCoinGuy]

bitcoin needs this kind of service but you always have a choice - use or not use that service.

[Tsquared]

So this is the price users have to pay for using their "regulated" exchange/wallet? Welcome to the "paypal" of bitcoin

CoinBase deserves credit for helping Bitcoin grow stronger in the "real-world". They have the right to decide how to deal with regulations and users have the right to use them or look for other options.

Completely agree. They provide a service that people can use or not, and they have every right to choose who can use their service based on whatever criteria they choose. People have the right to whatever opinion they have about coinbase, but to suggest they are somehow being unfair by establishing rules around acceptable use seems silly to me. There are many people on this forum offering services, and they often deny access to their services based solely on account age or trust rating, so perhaps these are centralized and regulated services also, and don't deserve to be trusted?

TT

[manselr]

The problem should be solved if you withdraw your coins and store them yourself, if you dont want to deal with the regulations.

[Enjorlas]

If stories get out that Coinbase is abusing its arbitrary rules, people will simply take their money to a different exchange. That is what makes the free market great.

[amiryaqot]

i think so risk involve to get limited at coinbase with their regulation so as online wallet they are not safe option to store btc into that wallet, blockchain wallet is good to store online.

[Jimmy Wales]

bitcoin needs this kind of service but you always have a choice - use or not use that service.

Yah... I prefer LocalBitcoins.com or its new variant 100bit.co.in, where we dont have to even keep our funds deposited. But, it is all about personal trust & choice.

[avatar_kiyoshi]

The problem should be solved if you withdraw your coins and store them yourself, if you dont want to deal with the regulations.

Agree. Use for buy/sell only Don't store your coin to exchanger although that exchanger is popular. but that's all your choice

[crazyearner]

I only use localbitcoins due to problems I had with Coinbase and I will never use their services again after the amount of problems  I had confirmed  my account and how long it took to do so. After that I had funds in my account then when I tried to cash out they suspended my account blaming me saying my ID and documents where incorrect  yet submitted them latest bills and ID. Am just glad it was not for a massive amount and eventually got this sorted out with them and once payment had been sent, since I have not used their services.

[SpanishSoldier]

So this is the price users have to pay for using their "regulated" exchange/wallet? Welcome to the "paypal" of bitcoin

CoinBase deserves credit for helping Bitcoin grow stronger in the "real-world". They have the right to decide how to deal with regulations and users have the right to use them or look for other options.

If we apply your logic in the controversy of Net Neutrality, following comes out...

Telecom companies (Read At&T and Verizon for USA) have done a lot for spreading the internet. They have the right to decide which site to load first and which to load slow. Users have the right to use them or look for other options.

p.s. If you dont know what I am talking about, check www.savetheinternet.com

[Mike Christ]

So this is the price users have to pay for using their "regulated" exchange/wallet? Welcome to the "paypal" of bitcoin

CoinBase deserves credit for helping Bitcoin grow stronger in the "real-world". They have the right to decide how to deal with regulations and users have the right to use them or look for other options.

If we apply your logic in the controversy of Net Neutrality, following comes out...

Telecom companies (Read At&T and Verizon for USA) have done a lot for spreading the internet. They have the right to decide which site to load first and which to load slow. Users have the right to use them or look for other options.

Yes, that's correct.  Would you like to follow up with a point?

[odolvlobo]

We further reserve the right to limit your account use if your account is associated with high-volume activity inconsistent with personal use.

I was banned for that reason. Keep in mind that high-volume activity is apparently only a few thousand dollars in a month.

[QuestionAuthority]

Welcome to the fully regulated legal Bitcoin. Prepare to be unimpressed.

[Jybrael]

Well a lot of people use coinbase and many of them have never encountered any problems...could it be just a error on their part?....well we will have to just wait and see...

[Beliathon]

Coinbase basically has a monopoly over the US bitcoin market. There may be 1 or 2 other options like Circle and CampBX but their volume is limited to a fraction of Coinbase volume. I wonder if an antitrust lawsuit could be filed against them, why is there no real competition in the US?

This is absurd, there's no monopoly it's just the market is too young and small for competitors to emerge on the same scale and legitimacy as Coinbase. Give it time.

[Jimmy Wales]

Coinbase basically has a monopoly over the US bitcoin market. There may be 1 or 2 other options like Circle and CampBX but their volume is limited to a fraction of Coinbase volume. I wonder if an antitrust lawsuit could be filed against them, why is there no real competition in the US?

Circle & Gemini are coming up as well as LocalBitcoins competitor 100bit.co.in. Not to mention BitQuick.co also operates in US market. CoinBase has enough competition there.

[Hazir]

Coinbase basically has a monopoly over the US bitcoin market. There may be 1 or 2 other options like Circle and CampBX but their volume is limited to a fraction of Coinbase volume. I wonder if an antitrust lawsuit could be filed against them, why is there no real competition in the US?

Circle & Gemini are coming up as well as LocalBitcoins competitor 100bit.co.in. Not to mention BitQuick.co also operates in US market. CoinBase has enough competition there.

And it is a good sign as we are all waiting for more strong and secure bitcoin businesses to open. For now I can see that coinbase is dominating market quite heavily and therefore they can set rules as they please because there is not much alternatives to good services of coinbase. I think that when Gemini will launch there will be huge competition going on between them and and coinbase and we won't see any questionable rules anymore.