Bitcoin hits $10k, Coinbase goes down (again)

[slackovic]

Do other exchanges (like Binance, Bitstamp...) have problems when Bitcoin price surges? If those exchanges doesn't experience problems, why do you use Coinbase? You don't have to hold fiat on Coinbase to buy BTC when it's price goes trough resistance. You can wait on Binance in some stablecoin (USDT or USDC for example).

[bakasabo]

It is good that when yesterday Bitcoin's price went back from ~$10100 to ~$9500, Coinbase worked well and traders managed to fix their profit It would be a disaster if the exchange would be offline again when the price drops.

If this downtime happens again during pump, I would ask for a bonus from Coinbase. At least a discount for fees would be fair enough.

[fullhdpixel]

Some people are saying that since Coinbase is one of the biggest exchanges, it shouldn't be experiencing any downtime. I don't really think that's true, as time goes on there will always be the need to make some upgrades on their website or maybe fix somethings, it's always important. Even if it's not about this, they should do some upgrade to keep their website tightly secure.

And moreover, one hour downtime is not really bad at all. In my country local platforms would usually wait till around midnight to carry out an upgrade, but this is a platform that serves lots of countries.

[o_e_l_e_o]

Some people are saying that since Coinbase is one of the biggest exchanges, it shouldn't be experiencing any downtime.

No one is saying it shouldn't be experiencing any downtime. There will always be downtime for upgrades and maintenance, and there will always be downtime due to unforeseen issues and bugs.

What isn't acceptable is for there to be downtime literally every time bitcoin moves by more than a few hundreds dollars. The first couple of times, maybe that's ok, provided that a company with profits of hundreds of millions of dollars then spends a handful of those millions upgrading their serves so it doesn't happen again. This has been happening for years with Coinbase. The fact that they haven't fixed it yet is pathetic (unless, of course, they are doing it on purpose).

one hour downtime is not really bad at all.

It is during a big price swing. It could mean the difference between profits and liquidation.

[DarkDays]

It goes down practically every time there is a dramatic surge in volume, and every time they say they've implemented a fix.

However, sure enough, the next time Bitcoin or the crypto market surges—down goes Coinbase again.

You would think that they would be using some sort of elastic server system similar to AWS, but it seems that the problem is actually on the infrastructure side. Their matching algorithm simply can't keep up with demand and the platform just crashes.

It even happens when the surge is less significant than previous surges, indicating they haven't really done anything when they say they've fixed it, or if they have, they roll back the changes when the volume returns to normal. Not ideal, but what can we do?

[Vaculin]

Not ideal, but what can we do?

Look for another exchange, I think Binance is a good option though, they also accept fiat deposits and withdrawal I guess (not sure as I haven't tried).
We can't continue using a certain site if we will constantly complain every time they are on a bad timing maintenance.

[Baofeng]

And recently, there have been a lot o accusations against them, like insider trading. So it's better to find new exchanges and stay away from their shady practice.

If this is true then there is no reason to patronize Coinbase.

Just accusations mate, hard to prove because there are no external audit.

Coinbase Faces Fresh Bitcoin Cash Insider Trading Lawsuit Following Initial Rejection
Coinbase hit with allegations of XRP insider trading
Coinbase Listings’ Return: 200% OmiseGo Pump and Dump Raises Eyebrows


@HardFacts - Exactly, that's what traders are complaining here, after a couple of minutes of bitcoin hitting above $10k, many wanted to sell and make profit, unfortunately, they can't because it went down abruptly.

[supine]

I don't know but I think it is better to keep our crypto on our own wallet not on an online wallet or mobile wallet something safer like hardware wallet's,
So we wouldn't be bother by something like this I mean they are trusted and been around for long but we could never know if something might happen so it is better to be safe than sorry.
I only use some online wallet or mobile wallet just in case I need to transfer some BTC after all we could always use the exchange to convert our crypto into cash so I think the only point on using mobile and online wallet is if you are doing transaction regularly.

[TravelMug]

I don't know but I think it is better to keep our crypto on our own wallet not on an online wallet or mobile wallet something safer like hardware wallet's,
So we wouldn't be bother by something like this I mean they are trusted and been around for long but we could never know if something might happen so it is better to be safe than sorry.
I only use some online wallet or mobile wallet just in case I need to transfer some BTC after all we could always use the exchange to convert our crypto into cash so I think the only point on using mobile and online wallet is if you are doing transaction regularly.

I think you misunderstood what we are talking here, it's about our trading experience with one of the biggest crypto exchanges out there. I don't know if you do trade, but for most traders, they are here in crypto space to make money.

So they need to deposit and withdrawal and trade and buy and sell, that's it. What they are whining is that when they have the chance for a guarantee profit because bitcoin is going up, suddenly the system goes down because of "huge transaction" that they can't manage?

[Reatim]

I don't know but I think it is better to keep our crypto on our own wallet not on an online wallet or mobile wallet something safer like hardware wallet's,
So we wouldn't be bother by something like this I mean they are trusted and been around for long but we could never know if something might happen so it is better to be safe than sorry.
I only use some online wallet or mobile wallet just in case I need to transfer some BTC after all we could always use the exchange to convert our crypto into cash so I think the only point on using mobile and online wallet is if you are doing transaction regularly.

Do you know what you are talking about?or you have posted in wrong thread thats why this is your response in what OP is Pointing?sometimes there is nothing bad in reading OP or at least check those reply in this thread before making your own comment that way you will save your self from being insulted.

Anyway whats new in Coinbase activities?this happens for how many times as far as i remember?

But what we need to understand is the usage of exchanges whenever there are big movement in currencies.

Like when the price Grows Big,holders are going to withdraw together so congestion is there.and same as when the price plummet ,most of us also withdraw before losing big percent.

[giammangiato]

before I thought the problem was too many exchanges made in a very short time to blow coinbase during the dumps and pumps, now casually I think there is their hand behind all this, curious as a recurring event

[Oasisman]

LOL! This always happen when the price is starting to gain traction, I remember the exchange we are using in our country, the maintenance happens every time at the very short notice.

The naysayers says that this is happening because they are not going to profit from it. Care to explain?

Coinsph does not want to buy btc from you at a higher price especially during quick pumps since it's usually followed by a quicker dump. They are aware that there are more sellers in their platform in times of pump and more buyers in times of dump. In their case, it's like buying high and selling low. No profit.

I noticed that one too, once I have tried to convert my Bitcoin to fiat. I made the transaction successfuly after a couple of hours of constantly trying to get through and noticed a slight price drop.
From then, I started wondering does exchanges doing this on purpose? And now I read about this experience from Coinsbase.
Therefore, exchanges are considered one of the whales, because they have a massive bag of cryptos and are capable of manipulating the price in several ways.

[Zackgeno96]

LOL! This always happen when the price is starting to gain traction, I remember the exchange we are using in our country, the maintenance happens every time at the very short notice.

The naysayers says that this is happening because they are not going to profit from it. Care to explain?

This wasn't a maintenance job for which the exchange was brought down. It was more of a server crash because of the high number of people coming on the exchange than the server could handle at a time due to which the server crashed. I believe they should upgrade their servers or if these kinds of problems keep on arising in the future related to coinbase then I am pretty sure that their users will definitely find an alternative of coinbase with better features and up-time.

[chichidori]

LOL! This always happen when the price is starting to gain traction, I remember the exchange we are using in our country, the maintenance happens every time at the very short notice.

The naysayers says that this is happening because they are not going to profit from it. Care to explain?

This wasn't a maintenance job for which the exchange was brought down. It was more of a server crash because of the high number of people coming on the exchange than the server could handle at a time due to which the server crashed. I believe they should upgrade their servers or if these kinds of problems keep on arising in the future related to coinbase then I am pretty sure that their users will definitely find an alternative of coinbase with better features and up-time.

The surge of traders have crashed the server, they will always profit from bitcoin price even if it drops, most of the exchange relies on fees it is also a loss for them if the server goes down in the middle of an influx of traders. 

[Cryptobd24]

Last few years It's happened many times. When bitcoin price badly down or price suddenly pump then coinbase  down and hang. I think it’s not big problem because It's happen with many site when high traffic.         

[Review Master]

Last few years It's happened many times. When bitcoin price badly down or price suddenly pump then coinbase  down and hang. I think it’s not big problem because It's happen with many site when high traffic.         

Not suitable for Future and contract trading exchanges as many of the traders can loss their seed funds without any actions ( if they aren't using the Stop-loss option and trading for short period of time in a day when they are infornt of their computers/trading-tools.). This kind of things also happened with bitmex when btc price suddenly dumped into $3.8k price range and many of the traders lossed their funds because of the maintance of bitmex's liquadition machine. So, it's quite promblematic for the short-time traders and suitable for the profit bookers. 

[kryptqnick]

https://twitter.com/CoinbaseSupport/status/1267602356167798784

Lol, it seems that this is a recurring theme isn't it? One of the biggest exchanges out there and it can't handle loads of volume during bitcoin's peak. They have been in this game for so long that they should have a contingency or at least improved their servers capacity to handle the load.

There's been even a conspiracy theory that Coinbase closes on purpose every time Bitcoin is rising so that people don't sell too much. However, it's been also argued that this is not profitable to Coinbase as they lose a lot on transaction fees by not allowing trading at such times. And it's been pointed out that it's probably some technical problem of them not being able to handle too many customers and not upgrading to be able to do so (perhaps they keep forgetting to do that of the upgrade would cost too much). To sum up, it's probably just a real problem with Coinbase, not their manipulation attempt of some sort.

[agf]

It does seem to happen at every pivotal moment of volatility and price rises. It's very frustrating and could very likely be an intentional ploy by exchanges to prevent having to pay out such large amounts to customers, because it could wipe out significant amounts of their reserves. That's the conspiracy part of my mind talking, because it would make sense, but I have to hope that isn't the case. Either way it's incredibly disappointing, and it really shouldn't be happening when it comes to financial things.

[boltz]

It was just for a short time , like 30 minutes or something. I think they had a big deposit or withdraw so for security reasons they decided to shut down the exchange until that transaction goes well ( this is what I'm think it was ).
Coinbase has a strong good reputation and I can't see them doing something bad just because bitcoin hits 10k$...Bitcoin was last summer over 10k$ and Coinbase worked without any problems.

[pixie85]

It was just for a short time , like 30 minutes or something. I think they had a big deposit or withdraw so for security reasons they decided to shut down the exchange until that transaction goes well ( this is what I'm think it was ).
Coinbase has a strong good reputation and I can't see them doing something bad just because bitcoin hits 10k$...Bitcoin was last summer over 10k$ and Coinbase worked without any problems.

This would be a stupid reason.  Trades on exchange aren't done within the wallets but on the API. Big withdrawals are processsed from the wallet and usually confirmed by staff.

Deposits and withdrawals are handled separately from what users who are trading see and do. Wallets don't work on the login server so there's no way a deposit or withdrawal can influence the site.

They are intentionally blocking people from trading or their server can't handle traffic.