

I would like to thank $BCC for indirectly auditing ALL $BTC exchanges on their actual BTC holdings ✌️

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level 1
Comment deleted by user1 year ago
level 2
335 points · 1 year ago

The exchanges were forced to let a ton of customers withdraw all their BTC... so we've proven they actually had the coins rather than doing some ponzi scheme, or leveraging many times over like banks do, etc.

level 3
228 points · 1 year ago · edited 1 year ago

Still can't believe how many people were ready to declare Coinbase insolvent thieves because it took them 24 hours over a weekend to send their coins from cold storage. People were going full Alex Jones.

level 4
Peter Todd - Bitcoin Expert
122 points · 1 year ago

People were ready to declare Coinbase insolvent thieves not because it was taking them awhile - that's to be expected with cold storage over a weekend - but because they apparently lied about the cause and blamed it on non-existent network congestion instead.

That's consistent with a team in over their head saying stupid things because they're trying to cover up insolvency on short notice, something that's happened many times before in Bitcoin. Fortunately, the most likely explanation is their PR team doesn't know what they're talking about. But if you're in a position to take your BTC out of Coinbase, why take the risk of them getting hacked? Better to be at the front of the line than in the back with the bag holders.

level 5
16 points · 1 year ago · edited 1 year ago

There is risk with any way of storing bitcoin. People think that their paper wallet or Trezor is bulletproof, but what if you get hit by a bus? What if there's a fire? What if it is lost or stolen? Coinbase has next-of-kin protocol in the event of death and is insured. Individuals with large amounts of Bitcoin demand these protections, which are impossible with paper, hardware, or software wallets.

You are correct that Coinbase's social media mention of "bitcoin network congestion" was incorrect. Calling it a "lie" is a bridge too far, in my opinion, but predictably led to subsequent hysteria.

Edit: to those responding that their wallet "can survive a fire" etc, great. What about every other scenario I listed?

level 6
3 points · 1 year ago

To my mum i gave Ledger recovery seed asking her to watch for it because its very very very very very very very very important. And expensive! (that one she got, hehe ) So in case of shit emergency contact person will automatically recover that whats left 'important' of dead :) (i wont be dead anytime soon, no worries :)

level 7
6 points · 1 year ago

If you trust a person with your private key, then that is no better than trusting coinbase and what you have isn't really a hardware wallet. Even with clear instructions, unsophisticated users can and will make mistakes. Your bitcoin will only be as secure as your mother's understanding of bitcoin.

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level 5
21 points · 1 year ago

i love how i read a reddit response before checking who wrote it and think, "damn this guy gets it."

look up and it's peter todd.


level 6

He's known for being the guy with little books next to his username. :)

level 6

Well my issue with coinbase was I bought on the dip on the 25th and the 26th. I normally it says I'll receive my funds within 3 to 5 calendar days. Looking at the history of my purchases which there is a decent amount, it's never taken more than 5 days 5 days has always been longest wait time for me. Obviously verified and all that. So when I ordered on the 25th and 26th I get a message saying that my coins won't arrive for 8 days and to expect them on August 1st. I tried canceling the payment it would not work of course they don't have a phone line cuz they have about 8 people working there, so naturally emailed support. After 3 days on the 27th I finally heard back with a canned response from them basically saying I'm shit out of luck, but just the copy and pasted response from the frequently asked questions page. I wrote back to them in a way you could probably describe as less eloquent and slightly inflammatory to let them know I am putting a stop purchase order slash claim against them and I don't give a fuck if you freeze my account. Well to my surprise on the 31st, even though the time frame of when I'll get my coin listed on the wallet said August 1st, my Bitcoins, both purchases on the 25th and 26th where received. Now if I didn't receive those coins before then I would have been extraordinarily Furious. I thought it was diabolical and abysmal ethics to give me my coin after the split. Eight days to receive and 7 for the next payment. And to get them both at the same time on the 31st. I have never in my life receive my coins earlier than the date posted on the purchase notes in the wallet. And now I don't really know what to think, I'm very happy now. But to state that I won't be getting my coins till August 1st is just wrong. But in the end it didn't happen, and I know this is such a cliche, but it really is the principle of the matter. I hope that makes sense I'm rushing through this on my phone. Anybody else deal with anything like this or something similar happened?

level 5

And why put coins through Coinbase anyway? After their countless issues, constant deposit delays, shady coin "losses", shitty verification system, and much, much more, why in God's name would you ever trust them with your money?

Time and time again I'm surprised they have any customers left.

level 6

Coinbases whole business model is to provide a user friendly interface for people with no understanding of cryptocurrencies. Brain Armstrong has stated this many times over. They are servicing a customer base who has no rational understanding of blockchain protocols and are ignorant to whats happening in the bitcoin world 99% of the time. As a result, they're able to prey on the uninformed and get away with so much garbage simply because their customers don't know any better.

Quite honestly, they've done an incredible job at it too. They've been able to capitalize on the influx of bandwaggon jumpers in the past few years, and no doubt will continue the trend for years to come as everyone and his brother starts buying bitcoin. Coinbase reminds me of the Goldman Sachs of the crypto industry- from a PR standpoint everyone hates them, but the firm is incredibly successful at what they do. I hate coinbase as much as the next person, but you got to respect the success they've been able to achieve.

level 7

I feel like this attitude is hugely detrimental to Bitcoin in the long term. I use Coinbase regularly. I know the risks and shady behaviour and blah, blah, blah. But you know what - I couldn't give a fuck. It's convenient. Easy to use. Has a UX that doesn't make me want to put my head in an oven. I don't wanna know what's happening in bitcoin 99% of time - fuck I look checking on my bank 24/7, I have a life man. If this community can't grasp the need and value of well designed, easy to use products for the mass market then bitcoin will never gain critical acceptance.

1 more reply

level 7

What is a good alternative - breadwallet?

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level 6
Comment deleted by user1 year ago
level 7

I won't provide a list. You can do your own research.

I personally use Gemini, which is insured but their own thing is that it takes a couple weeks to get verified. Digital assets aren't, but they have protections and gaurentees against any loss.

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level 5
10 points · 1 year ago

There are other kinds of congestion besides bitcoin network congestion.

level 6

There are, but they were very specific.

We're seeing a high backlog in bitcoin withdrawals due to significant congestion on the bitcoin network.

That was an outright lie.

level 7
4 points · 1 year ago

Sounds like whoever runs their social media doesn't have a perfect understanding of Bitcoin. Doesn't justify losing your shit IMO.

level 8
3 points · 1 year ago

It does when there is a good chance they account for 9 figures worth of USD in bitcoin and public outreach, whoever that may be, was either not informed correctly, told to lie or winged it and got it massively wrong.

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