Coinbase cancel "high risk" buy - now seeking agent in Los Angeles

[Sir Lagsalot]

I do freelance writing. I asked my client to pay me in Bitcoin. He agreed despite having no prior working knowledge of Bitcoin. I suggested Coinbase as payment method given his US location. After a week of waiting, Coinbase have declined to process his transaction due to "high risk." The amount is under $100 and my client has an account with a major US bank with a long history (years) of problem-free transactions.

The circumstances make this a particularly unwelcome turn of events now that deadlines are looming, yet Coinbase suggest to my client that he "try again in a few weeks." As I really want to be paid in Bitcoin and am unwilling to accept inferior payment methods such as PayPal or wire transfer, Coinbase have really dropped us in the soup.

Unless Coinbase can process the transaction before the end of the week or another solution presents itself...

It seems I must set up an in-person meeting to facilitate client-cash-for-Bitoin-to-my-wallet from a continent and hemisphere away.  

I believe it's doable, but I require the assistance of a fully trustworthy party in Los Angeles. They would have to physically meet with my client and facilitate the transaction at a set time such that I can email my client when I receive the funds and authorise him to release the cash.

I'm not entirely sure what reward to offer. A %-based fee would not justify the time and work required. I can offer a substantial discount on one of my products? Or freelance writing / graphic design services. Otherwise open to suggestions.

[1714784419]

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[vokain]

wish i could help!

[xerxesdarius]

I'm in San Diego if that helps.

http://bitcoinsd.com/

[Sir Lagsalot]

Thanks for the goodwill guys.

To make this a no-trust proposition all round, I can ask my client to release the funds on 2 or 3 network confirmations rather than on my email.

[EscrowBTC]

"High Risk"? This isn't the first time when I hear this crap!

We are tired of lies!

[sublime5447]

If they are willing to upload a photo ID. They could buy btc from me for Paypal.

[justusranvier]

This is exactly what LocalBitcoins was invented for.

It looks like there are two sellers in the LA area with high transaction counts and 100% positive feedback.

[NewLiberty]

I am in Los Angeles, and I sympathize, as I am also working through issues with Coinbase's trust algorythm. 

I came across your post accidentally through a search looking for similar issues, so I may be too late to assist, but happy to do so if I am not.

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Why was my order "High Risk" and cancelled?
Last Updated: May 15, 2013 07:04PM PDT
Because of the inherent risks that accompany selling bitcoin (an irreversible payment system) with traditional payment methods (which are reversible), we use machine learning algorithms to determine the probability of a purchase being fraudulent. We do this for the protection of consumers and Coinbase alike.

These algorithms are still being tweaked and are not perfect. If you've been unfairly flagged, we genuinely apologize.  Our prediction abilities get better every single day, and false positives are an unfortunate but necessary part of the learning process. If you believe that you've had an order incorrectly cancelled, contact us at “support@coinbase.com” and we can manually review the transaction.

[KingOfSports]

I am in Los Angeles, and I sympathize, as I am also working through issues with Coinbase's trust algorythm.  

I came across your post accidentally through a search looking for similar issues, so I may be too late to assist, but happy to do so if I am not.

=============
Why was my order "High Risk" and cancelled?
Last Updated: May 15, 2013 07:04PM PDT
Because of the inherent risks that accompany selling bitcoin (an irreversible payment system) with traditional payment methods (which are reversible), we use machine learning algorithms to determine the probability of a purchase being fraudulent. We do this for the protection of consumers and Coinbase alike.

These algorithms are still being tweaked and are not perfect. If you've been unfairly flagged, we genuinely apologize.  Our prediction abilities get better every single day, and false positives are an unfortunate but necessary part of the learning process. If you believe that you've had an order incorrectly cancelled, contact us at “support@coinbase.com” and we can manually review the transaction.

How come then there has been not a single order "canceled due to high risk" when the price of bitcoin has gone DOWN since initiating the buy. The answer: there is none. Coinbase cancels purchases when they see fit and when prices of bitcoins rise rapidly, thus padding their pockets further because coinbase buys/sells the instant you buy/sell with them, preserving they make 1% margin. If they cancel a purchase after the price has risen from $100 to $106 then they can sell that bitcoin they already sold for a higher price to their coinbase users. THAT is why they cancel them. Please do feel free to show MULTIPLE examples of them canceling orders where the price has decreased drastically, and I will remove this post.

[Axion_Zen]

Also had my second order through them randomly cancelled for same "high risk" after purchasing 5 BTC at 97$ then BTC rose 103+ while I was waiting for BTC deposit.

[NewLiberty]

The risk may be them not making enough?
They have all my information.  I've been with the linked bank for 20+ years and have many accounts there.  I really don't know what else the risk might be.
I'm just testing the service, looking for reliable business partners.  The volume they can clear for me isn't large but I'd like to see that it reliable at least.

[hennessyhemp]

My friend experienced a cancelled transaction on Coinbase, contacted tech support, and within a day or so had his BTC funded (I believe with like 0.1 extra for his troubles), so if you haven't yet contacted them, you absolutely should.

[🏰 TradeFortress 🏰]

I am in Los Angeles, and I sympathize, as I am also working through issues with Coinbase's trust algorythm.  

I came across your post accidentally through a search looking for similar issues, so I may be too late to assist, but happy to do so if I am not.

=============
Why was my order "High Risk" and cancelled?
Last Updated: May 15, 2013 07:04PM PDT
Because of the inherent risks that accompany selling bitcoin (an irreversible payment system) with traditional payment methods (which are reversible), we use machine learning algorithms to determine the probability of a purchase being fraudulent. We do this for the protection of consumers and Coinbase alike.

These algorithms are still being tweaked and are not perfect. If you've been unfairly flagged, we genuinely apologize.  Our prediction abilities get better every single day, and false positives are an unfortunate but necessary part of the learning process. If you believe that you've had an order incorrectly cancelled, contact us at “support@coinbase.com” and we can manually review the transaction.

How come then there has been not a single order "canceled due to high risk" when the price of bitcoin has gone DOWN since initiating the buy. The answer: there is none. Coinbase cancels purchases when they see fit and when prices of bitcoins rise rapidly, thus padding their pockets further because coinbase buys/sells the instant you buy/sell with them, preserving they make 1% margin. If they cancel a purchase after the price has risen from $100 to $106 then they can sell that bitcoin they already sold for a higher price to their coinbase users. THAT is why they cancel them. Please do feel free to show MULTIPLE examples of them canceling orders where the price has decreased drastically, and I will remove this post.

.
This. The funny thing is dumbasses don't see it and keeps trying coinbase and magically their txn isn't canceled when BTC drops.

You can stop using coinbase if you don't like it - it's not the only way to purchase BTC, otherwise use it with the risk of getting your transaction cancelled.

(Edit: Sorry, my original post was rude)

[NewLiberty]

I am in Los Angeles, and I sympathize, as I am also working through issues with Coinbase's trust algorythm.  

I came across your post accidentally through a search looking for similar issues, so I may be too late to assist, but happy to do so if I am not.

=============
Why was my order "High Risk" and cancelled?
Last Updated: May 15, 2013 07:04PM PDT
Because of the inherent risks that accompany selling bitcoin (an irreversible payment system) with traditional payment methods (which are reversible), we use machine learning algorithms to determine the probability of a purchase being fraudulent. We do this for the protection of consumers and Coinbase alike.

These algorithms are still being tweaked and are not perfect. If you've been unfairly flagged, we genuinely apologize.  Our prediction abilities get better every single day, and false positives are an unfortunate but necessary part of the learning process. If you believe that you've had an order incorrectly cancelled, contact us at “support@coinbase.com” and we can manually review the transaction.

How come then there has been not a single order "canceled due to high risk" when the price of bitcoin has gone DOWN since initiating the buy. The answer: there is none. Coinbase cancels purchases when they see fit and when prices of bitcoins rise rapidly, thus padding their pockets further because coinbase buys/sells the instant you buy/sell with them, preserving they make 1% margin. If they cancel a purchase after the price has risen from $100 to $106 then they can sell that bitcoin they already sold for a higher price to their coinbase users. THAT is why they cancel them. Please do feel free to show MULTIPLE examples of them canceling orders where the price has decreased drastically, and I will remove this post.

.
This. The funny thing is dumbasses don't see it and keeps trying coinbase and magically their txn isn't canceled when BTC drops.

Stop using coinbase if you don't like it, otherwise use it and shut up.

Thanks for the advice, but I find this conversation useful so I hope you don't mind if we continue the discussion?  
This was my first purchase with them. (I usually have excess coins but wanted to test their purchasing process.)
My account with them is fairly new a month or so, with a few sells in it that had no problems.

I have contacted their support as listed.  Will see if anything comes of it.  I remain interested in the experience of others using the service.
I've also opened a second purchase to test further.  They are tiny buys, 4 and 5 coins.

[NewLiberty]

My friend experienced a cancelled transaction on Coinbase, contacted tech support, and within a day or so had his BTC funded (I believe with like 0.1 extra for his troubles), so if you haven't yet contacted them, you absolutely should.

Any details on that interaction would be interesting.

[Axion_Zen]

My friend experienced a cancelled transaction on Coinbase, contacted tech support, and within a day or so had his BTC funded (I believe with like 0.1 extra for his troubles), so if you haven't yet contacted them, you absolutely should.

Any details on that interaction would be interesting.

Tried contacting, 5 days no response^^

[NewLiberty]

My friend experienced a cancelled transaction on Coinbase, contacted tech support, and within a day or so had his BTC funded (I believe with like 0.1 extra for his troubles), so if you haven't yet contacted them, you absolutely should.

Any details on that interaction would be interesting.

Tried contacting, 5 days no response^^

Same here... so far.

In the mean time, signing up with BitPay as well.
Met with their VP Sales yesterday.
Very nice to work with.

[infobiactrader]

Just thought I'd share my own experience: bought some (4) at 98, got them at 108.  Maybe I was just lucky; I have no idea.  Just my own side of it.

[NewLiberty]

Just thought I'd share my own experience: bought some (4) at 98, got them at 108.  Maybe I was just lucky; I have no idea.  Just my own side of it.

Thank you for this. 
I would like to think my experience is aberrational and not there is some problem they can correct, but so far I have nothing from them on the matter.
My preference would be to have many such services available to me that are trustworthy. 
People tend to communicate about problems more than when things just work, so I appreciate your chiming in.

[NewLiberty]

Continued testing of Coinbase:  Sumbitted a buy for 4 coins (their price $448.63)
PENDING Your BTC will arrive on Tuesday Aug 27, 2013 around 02:23PM PDT. August 21, 2013, at 01:23pm PDT
Will see if they fulfill and which way the price moved (likely down from there).

I wouldn't want to be their accountant/auditor.

OTOH, selling coins received through them has been swift and easy.