Class action lawsuit against Coinbase, inc

[accord01]

I have submitted a complaint against Coinbase, Inc to the State Attorney's office of California.  The state has referred me to a list of lawyers who could handle my case against Coinbase, Inc.  They also contacted Coinbase, but coinbase has yet to reply, and that has been almost 2 months ago. Coinbase has yet to reply to my emails, and the emails of many others who have been defrauded by their schemes.

If you have been lied to by coinbase, the first thing you can do is submit a report here:

http://oag.ca.gov/contact/consumer-complaint-against-business-or-company

It is very simple, and just be honest and state the facts.

My question is, since I don't care about the money that coinbase defrauded me, wouldn't it be better to just file a class action lawsuit so everyone gets closure?  I hate to see others being put in bad situations by coinbase.  This isn't small amount of money being dealt with here since bitcoin prices have ballooned to potentially life changing amounts.

So for those of you who are looking for closure with coinbase and left in the dark, please 1) submit a report 2) be patient and I will keep you guys updated on what will be done.

PS- Coinbase is not an exchange, but more of an arbitrator amongst the exchanges.  They charge several pts higher than an exchange that they use (most likely bitstamp) and have a paypal like system so you can use your bank to deposit/withdraw.  Beyond that, coinbase uses a system where it is almost limitless to how much they can profit.  They have the option to cancel your transaction at will if the price somehow goes against them at settlement time (usually a week after initiation).  Those that they do not defraud are content (because of the ease of deposit/withdraw), which should be a high percentage of people.  And those that they do defraud, are left devastated.

For more information:

https://bitcointalk.org/index.php?topic=341188.msg3655164#msg3655164

How to file complaint against coinbase:

Below is where you need to go to file complaints against coinbase.com, they have defrauded many people of money. The need to give us our bitcoins or money back (with interest)! No one answers the cellphone attached to coinbase’s sec filing and the voicemail is full. I tried calling it 100 times in a day, someone kept turning it off and back on, so they received the calls.

Coinbase.com has committed many counts of fraud and complaints need to be filed or they will just continue to commit fraud. Here is the definition of fraud, let the legal system be the judge:
1
a :  deceit, trickery; specifically :  intentional perversion of truth in order to induce another to part with something of value or to surrender a legal right
b :  an act of deceiving or misrepresenting :  trick
2
a :  a person who is not what he or she pretends to be :  impostor; also :  one who defrauds :  cheat
b :  one that is not what it seems or is represented to be
"Fraud." Merriam-Webster.com. Merriam-Webster, n.d. Web. 17 Dec. 2013. <http://www.merriam-webster.com/dictionary/fraud>.

File Complaints if you have been defrauded by coinbase.com!!
Company information:
COMPANY CONFORMED NAME: Coinbase Inc.
CENTRAL INDEX KEY: 0001576711
IRS NUMBER: 455293997
STATE OF INCORPORATION: DE
FISCAL YEAR END: 1231
FILING VALUES:
FORM TYPE: D
SEC ACT: 1933 Act
SEC FILE NUMBER: 021-196380
FILM NUMBER: 13837179
BUSINESS ADDRESS:
STREET 1: 1 BLUXOME STREET, APT. 410
CITY: SAN FRANCISCO
STATE: CA
ZIP: 94107
BUSINESS PHONE: 415-843-1515
SEC complaint center:
http://www.sec.gov/complaint/select.shtml
FBI IC3 (Internet Complaints):
http://www.ic3.gov/default.aspx
California Attorney General:
http://oag.ca.gov/contact/consumer-complaint-against-business-or-company
San Francisco District Attorney:
http://www.sfdistrictattorney.org/index.aspx?page=7

[other_side]

Do you want to close one of last options left for US people to buy/sell bitcoins?

[crazy_rabbit]

I'm not up for a class action myself, I think it's unwarranted and bad for bitcoin itself. I would however like them to answer my support emails for my own problem: https://bitcointalk.org/index.php?topic=354851.0 but it's not lawsuit worthy by a long shot. I'm pretty forgiving, the rest of their services seem to work and I know they are legit, and I've met Brian before, but- yeah. Support really needs to be worked out.

[accord01]

Do you want to close one of last options left for US people to buy/sell bitcoins?

It's not a matter what I want to do, but a matter of what needs to be done to weed out all the fraudulent/dishonest/incompetent companies associated with bitcoin, which is almost all of them.  And it is a matter of justice being served.  Are you okay with a dishonest company handling something you believe in?

[crazy_rabbit]

Do you want to close one of last options left for US people to buy/sell bitcoins?

It's not a matter what I want to do, but a matter of what needs to be done to weed out all the fraudulent/dishonest/incompetent companies associated with bitcoin, which is almost all of them.  And it is a matter of justice being served.  Are you okay with a dishonest company handling something you believe in?

There is a difference between dishonest and understaffed or poorly run.

[taltamir]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

[accord01]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

Yes they are frauds.  Read the threads in the link i provided.  And all the links within there.

For example, here is their spokesperson telling a blatant lie:

Trance,

Sorry for the confusion here. We use machine learning algorithms to prevent fraud and they're not always 100% accurate. If you feel you've had a transaction cancelled incorrectly send support an email. We regularly review transactions and push them through at the original purchase price upon request. I also wrote a bit about our fraud program in the fourth section here:

http://newsbtc.com/2013/11/07/coinbases-olaf-carlson-wee-answers-questions-users-technical-issues/

Hope that helps!

This is like the lie of all lies.  They almost NEVER push through transactions at original purchase price upon request.  I requested it 1000000 times.  Others have requested it 1000000 times.  No response.

But you are totally right, an unethical company in a monopolizing situation... cannot be good in the long term.

[nahtnam]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

[accord01]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

Do you have any sympathy for the people in these threads:

https://bitcointalk.org/index.php?topic=339882.0

https://bitcointalk.org/index.php?topic=145797.0

https://bitcointalk.org/index.php?topic=339849.msg3655636#msg3655636

https://bitcointalk.org/index.php?topic=328076.0

https://bitcointalk.org/index.php?topic=322631.msg3454765#msg3454765

https://bitcointalk.org/index.php?topic=322229.0

https://bitcointalk.org/index.php?topic=321684.msg3450929#msg3450929

https://bitcointalk.org/index.php?topic=328013.msg3531406#msg3531406

https://bitcointalk.org/index.php?topic=328013.msg3526610#msg3526610

https://bitcointalk.org/index.php?topic=338172.msg3627572#msg3627572

http://bitcoin.stackexchange.com/questions/14195/did-i-just-get-defrauded-by-coinbase

This is just a small handful of threads I found on this forum.  There are a lot more on other forums and people that don't have a voice.

Do you have any sympathy for what people were put through and is going through?  Do you know how much coinbase is taken in from 1) arbitration 2) 1% fee 3)hedging or stealing with customer funds.

[Bill Bisco]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

If people's money has been stolen, that needs to be rectified: no ifs, ands, or buts about it. 

@OP
I'm sorry to hear this, my experience with coinbase thus far has been good.  This seems to be a note to me that I should be using instantaneous service.  We'll see if that actually happens later this month.

I hope you'll be able to get your BTC without breaking the company so that others can still use it. 

Best of luck!

[nahtnam]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

If people's money has been stolen, that needs to be rectified: no ifs, ands, or buts about it. 

@OP
I'm sorry to hear this, my experience with coinbase thus far has been good.  This seems to be a note to me that I should be using instantaneous service.  We'll see if that actually happens later this month.

I hope you'll be able to get your BTC without breaking the company so that others can still use it. 

Best of luck!

I admit coinbase has its issues and im sure they will give you your money back. You can even call them! Just dont ruin it for people who are having no issues with it. Thanks.

[accord01]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

If people's money has been stolen, that needs to be rectified: no ifs, ands, or buts about it. 

@OP
I'm sorry to hear this, my experience with coinbase thus far has been good.  This seems to be a note to me that I should be using instantaneous service.  We'll see if that actually happens later this month.

I hope you'll be able to get your BTC without breaking the company so that others can still use it. 

Best of luck!

I admit coinbase has its issues and im sure they will give you your money back. You can even call them! Just dont ruin it for people who are having no issues with it. Thanks.

What is their phone number?

[ajw7989]

The key to getting it at the price you locked in is to contact olaf here. He has pushed the few cancellations I had through successfully. Other than that no other problems. Support does answer just takes some time but they are new so that is expected. Overall I am satisfied with coinbase so do not ruin it

[nahtnam]

Do you want to close one of last options left for US people to buy/sell bitcoins?

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

If people's money has been stolen, that needs to be rectified: no ifs, ands, or buts about it. 

@OP
I'm sorry to hear this, my experience with coinbase thus far has been good.  This seems to be a note to me that I should be using instantaneous service.  We'll see if that actually happens later this month.

I hope you'll be able to get your BTC without breaking the company so that others can still use it. 

Best of luck!

I admit coinbase has its issues and im sure they will give you your money back. You can even call them! Just dont ruin it for people who are having no issues with it. Thanks.

What is their phone number?

+1-415-580-2710 https://coinbase.com/merchants. I would suggest you to be calm and not yell at them or anything otherwise they wont help you. You have around 3 hours before they close.

[shawshankinmate37927]

an unethical company at the top places barriers for entry for an ethical competitor to take over from them, defrauds their customers, and reduces trust in the currency. If they are frauds they should be closed.

The question is, ARE they frauds or is the OP blowing hot air. I am not personally familiar with the company or their alleged misconduct.

I have had no issues with them and I would say that a class action law suit would be pretty extreme measures. Sorry but I dont support this.

Do you have any sympathy for the people in these threads:

https://bitcointalk.org/index.php?topic=339882.0

https://bitcointalk.org/index.php?topic=145797.0

https://bitcointalk.org/index.php?topic=339849.msg3655636#msg3655636

https://bitcointalk.org/index.php?topic=328076.0

https://bitcointalk.org/index.php?topic=322631.msg3454765#msg3454765

https://bitcointalk.org/index.php?topic=322229.0

https://bitcointalk.org/index.php?topic=321684.msg3450929#msg3450929

https://bitcointalk.org/index.php?topic=328013.msg3531406#msg3531406

https://bitcointalk.org/index.php?topic=328013.msg3526610#msg3526610

https://bitcointalk.org/index.php?topic=338172.msg3627572#msg3627572

http://bitcoin.stackexchange.com/questions/14195/did-i-just-get-defrauded-by-coinbase

This is just a small handful of threads I found on this forum.  There are a lot more on other forums and people that don't have a voice.

Do you have any sympathy for what people were put through and is going through?  Do you know how much coinbase is taken in from 1) arbitration 2) 1% fee 3)hedging or stealing with customer funds.

I tried opening an account with them about a year ago, but was unsuccessful.  I guess I should consider myself fortunate.

https://bitcointalk.org/index.php?topic=193186.msg2013389#msg2013389

[mayax]

What bank are they using?

[accord01]

What bank are they using?

no idea....

I need some advice from lawyers on this forum on how to proceed.

[Nagle]

They're in San Francisco. If it's for under $10,000, sue them in California Small Claims Court. It's cheap, and usually effective.

It would be a learning experience for Coinbase's owners to stand in front of a judge and explain their problems.

[nahtnam]

Spoke to soon. I just bought 0.1 btc. The $80 (It was $800 at that time) was taken out of my bank account which is fine so far. I had 0.08 in there to start with but a few days after the buy, coinbase took out the 0.08 from my account. I have no clue why this happened and no reply from Olaf. I will be emailing the CEO about this now.

[italeffect]

630,000 accounts and a handful of clients with serious problems? This should hardly be surprising.