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Author Topic: Why say "NO" to Web wallet  (Read 365 times)
Little Mouse
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November 08, 2019, 09:07:41 AM
Last edit: November 08, 2019, 10:35:45 AM by Little Mouse
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 #1

I am not using web wallet much, unless I am in need of some quick money to cash. That's why I was having a little BTC to my coinbase wallet. Yesterday, when I sent ~0.06 BTC which I was holding there for a long time, they didn't send it instantly. They emailed me that it will be delayed since they need to check the transaction for some reason.

Your fund, you are giving power to others to control = web wallet = BANK
Stop using web wallet, get rid of being controlled by others.

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November 08, 2019, 09:50:25 AM
 #2

so far I still use blockchain and until now it is still safe, even they have added 2FA features and of course it will be more secure. but of course, when having a lot of bitcoin it is recommended not to put it in one wallet, it's best we save most of it in a hardware wallet, such as trezor or ledger.

 
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November 08, 2019, 10:19:50 AM
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 #3

Coinbase is not a wallet Little Mouse.
They are an exchange, and they let you hold your funds in their wallet if you wish. It is a custodial service
There are some wallets like blockchain.com, myetherwallet, etc. They are not custodial and doesn't hold your privatekeys.

They are good for adoption and for newbies. They're easy to use. However, they are unsafe for big amounts.

Web walletsare nothing like banks. Coinbase is, because it is not a wallet, but an exchange

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November 08, 2019, 10:26:35 AM
 #4

From my point of view, It's preferable to download electrum mobile App and used than patronizing the web wallets, I have used both at some point and the experience is quite similar but the electrum mobile App is more secure and convenient to used than web wallets also it puts the control of your fund in your hands since you'll be in control of your private key.

Web wallet and exchange aren't idea for storing funds, just as the saying goes, "not your private key, not your coin". Both service providers can easily be hacked at anytime and that's their biggest disadvantage as it puts your coin at risked of been stolen.

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November 08, 2019, 10:35:15 AM
 #5

Coinbase is not a wallet Little Mouse.
They are both, an exchange as well as a web wallet, at least they claim that. However, in my early BTC days, I used to use that and had some regular people whom I used buy/sell BTC, they too use coinbase. That's why I am still there. I'm using it for regular use purpose, for others. I have software wallet which I don't carry on my phone.
https://wallet.coinbase.com

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November 08, 2019, 10:39:30 AM
 #6

"Why say "NO" to Web wallet"

And why not? We shouldn't be hypocrites. Generally, people start (including most of us here) with a web wallet such as Coinbase and blockchain.com and others. It's a good solution for those who start and who are not geeks.

We need to provide user-friendly solutions if we want it to be easy to use by everyone and thus to increase adoption.

Saying not to use a web wallet is a barrier to all this. We can perfectly use a web wallet. It's just that it's the kind of wallet in which you keep a little bit of money for current expenses.

The irony is that you tell to people not to use this kind of wallet but then you tell us you use it and you have bitcoins

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November 08, 2019, 10:51:34 AM
 #7

How long you've been holding those btc on coinbase? I think they're becoming stricter for their withdrawals these days and wants to verify it first before allowing the transaction.
I'm aware of the consequences upon using web wallets but to be honest, I'm still using them but I'm not holding a huge amount with them, for smallers transactions they are good for me.


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November 08, 2019, 10:53:51 AM
 #8

Quite an unpopular opinion, but I'd say using Coinbase as a hot wallet is mostly fine, currently as developers are still working on the lightning network and making it better. As far as I know, the Coinbase app is what a good number of people(in the US) use to store their bitcoin, and the off-chain Coinbase<->Coinbase instant transactions are definitely very convenient(privacy issues aside). With that said, only store funds on a hot wallet amounts that you would store on your physical pocket cash wallet(probably <$100?). Because like you have said, some centralized wallets are quite notorious for locking up funds.

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November 08, 2019, 10:57:29 AM
 #9

Also, I don't prefer to use a web wallet. But I use hardware wallets like ledger nano s and trezor and also I use Exodus wallet for my crypto and the best thing about this wallet is it is a very lite wallet which is desktop supported crypto wallet. You don't have to store the entire blockchain on your desktop and its interface has very good access to the wallet.
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November 08, 2019, 11:04:47 AM
 #10

I am not using web wallet much, unless I am in need of some quick money to cash. That's why I was having a little BTC to my coinbase wallet. Yesterday, when I sent ~0.06 BTC which I was holding there for a long time, they didn't send it instantly. They emailed me that it will be delayed since they need to check the transaction for some reason.

Your fund, you are giving power to others to control = web wallet = BANK
Stop using web wallet, get rid of being controlled by others.

I totally agree, but when it comes to buying and selling crypto, it's most convenient to do it online.
I think Coinbase is the safest online exchange service on the market, but I advise against keeping money in online wallets or exchanges.
If someone is as lazy as me and does not want to go to a ground exchange or Bitcoin ATM, or lives in a place where it is impossible to trade F2F and is forced to use online exchanges, should do it very quickly, and keep the funds only in the cold wallet, and preferably in hardware wallet.

 
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November 08, 2019, 11:16:02 AM
 #11

Don't rule them out, they come in very useful for on the go transactions <$100. Make sure you;re using one like blokchain.info or BRD wallet where you own the keys too and keep spending balance on there only.

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November 08, 2019, 11:26:33 AM
 #12

Coinbase is not a wallet Little Mouse.
They are both, an exchange as well as a web wallet, at least they claim that. However, in my early BTC days, I used to use that and had some regular people whom I used buy/sell BTC, they too use coinbase. That's why I am still there. I'm using it for regular use purpose, for others. I have software wallet which I don't carry on my phone.
https://wallet.coinbase.com
Web wallet is just part of their exchange service,so if they found your transaction is from gambling sites or the source is from somewhere they restricted it will have such impact on these kind of transactions.Once they identify that its from an gambling site then your account will be closed,you may or may not be able to withdrew the remaining funds.

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November 08, 2019, 01:24:03 PM
 #13

I am not using web wallet much, unless I am in need of some quick money to cash. That's why I was having a little BTC to my coinbase wallet. Yesterday, when I sent ~0.06 BTC which I was holding there for a long time, they didn't send it instantly. They emailed me that it will be delayed since they need to check the transaction for some reason.

Your fund, you are giving power to others to control = web wallet = BANK
Stop using web wallet, get rid of being controlled by others.
Coinbase isn't a wallet which had been said earlier yet its an exchange which means you don't posses your wallets keys and that the risky part.
Knowing coinbase is heavily centralized and if they do find out some issues on your transaction then they would really have the power to make investigations
which causes delays.For you not to experience the same thing in the future then better not to opt-in  with Coinbase yet there were lots of non custodial wallets as of this moment.

 
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November 08, 2019, 01:25:09 PM
 #14

web wallets like blockchain.info or myetherwallet. while Coinbase is exchange, but also you can save it on that. so maybe your intention is not to save on the exchange? because they control your funds? but it's true, don't save too much money on the exchange, if you look at the history, many exchanges got hacked. whereas web wallet like I said is good, it doesn't control your money, so maybe the title you mean is exchange, not web wallet.

 
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November 08, 2019, 01:26:25 PM
 #15

Coinbase is not a wallet Little Mouse.
They are both, an exchange as well as a web wallet, at least they claim that. However, in my early BTC days, I used to use that and had some regular people whom I used buy/sell BTC, they too use coinbase. That's why I am still there. I'm using it for regular use purpose, for others. I have software wallet which I don't carry on my phone.
https://wallet.coinbase.com
Web wallet is just part of their exchange service,so if they found your transaction is from gambling sites or the source is from somewhere they restricted it will have such impact on these kind of transactions.Once they identify that its from an gambling site then your account will be closed,you may or may not be able to withdrew the remaining funds.
They should allow us to withdraw it or they will the one who will send it to you after you fill out details of closing your account. In our country there is a popular crypto wallet like coinbase it's also created to trade with addition features to pay bills and to convert easily to fiat, if it founds out that you're money came from gambling they will block your account to do transactions but will give you info how will you terminate your account, just need to submit the form and wait till it send it to your bank account or preferred recipient since it's still your money.

 
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November 08, 2019, 02:19:26 PM
 #16

Coinbase is not a wallet Little Mouse.
They are both, an exchange as well as a web wallet, at least they claim that.

It is a false claim, already discussed a lot here in this forum and iin the whole bitcoin community, especially after mt gox episode.

A wallet is a software or web interface which gives you your private keys. No private keys? Not your coins. Simple as that.

If coinbase ever shuts down, you lose your coins. If some government requires anything, they can freeze your account and so on.
Coinbase is a custodial service, or custodial wallet, whatever...

Blockchain.com is a web wallet.
You hold your privatekeys. The coins are yours. If you lose the keys, they cannot recover. They cannot check or authorize transactions, they can't do anything. They just generate keys and give them to you, and also provide an interface to spend and receive coins. A truly wallet. Forked coins are also yours. Coinbase doesn't have any of that.


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November 08, 2019, 02:51:54 PM
 #17

They should allow us to withdraw it or they will the one who will send it to you after you fill out details of closing your account. In our country there is a popular crypto wallet like coinbase it's also created to trade with addition features to pay bills and to convert easily to fiat, if it founds out that you're money came from gambling they will block your account to do transactions but will give you info how will you terminate your account, just need to submit the form and wait till it send it to your bank account or preferred recipient since it's still your money.
I know many guys faced the same issue from coinbase but they didn't get the coins as much easier,we may have to wait for the support team from coinbase to respond but yes we may get back our coins from blocked account but it may take time at least few weeks.

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November 08, 2019, 03:52:07 PM
 #18

Your fund, you are giving power to others to control = web wallet = BANK
Stop using web wallet, get rid of being controlled by others.
Agree, good message, good story.
There are so many easy apps for wallets for PC/Android and more. Why giving control of your funds to others? In Bitcoin world its a no no.

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November 08, 2019, 07:08:47 PM
 #19

Coinbase is not a wallet Little Mouse.
They are both, an exchange as well as a web wallet, at least they claim that.

If you don't have private key (seed or mnemonic also count), then it's not wallet, but custodial service.

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November 08, 2019, 07:36:46 PM
 #20

"Why say "NO" to Web wallet"

And why not? We shouldn't be hypocrites. Generally, people start (including most of us here) with a web wallet such as Coinbase and blockchain.com and others. It's a good solution for those who start and who are not geeks.

The problem comes from the others.

As much as people love the simplicity of a web wallet that resembles PayPal, they also love low fees, no KYC, and more at which point they start avoiding the old and regulated services and fall for the zero everything scams that prey on beginners. And even if we talk about Coinbase, which has a reputation, but everyone had a reputation before the first bad thing went wrong, from exchanges to banks. Everything is fine till it's not fine anymore , and at that point, there is nothing left to do.

Just as some say "don't invest more than you can afford to lose", it's probably the same about not having more coins on a 3rd party service than you can afford to forget about.

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