The world of cryptocurrency trading is extremely risky, but it wasn’t supposed to be like this. Some of the Coinbase account holders have lost their money on Thursday (15th February 2018), as they look into their bank statements to find out that the exchange has withdrawn unnecessary funds from their accounts.

Coinbase experienced one of the most shocking errors in recent cryptocurrency history by duplicating users past bank & debit/credit card purchases, effectively draining off money from accounts without authorization.

The expensive error allegedly left several account holders’ completely exhausted. Some Coinbase clients gave the statements on Reddit about the illegal transactions that took place upwards of $50,000, while many others informed duplicated purchases on smaller transactions. Even those less affected have been left with an immense headache from filing technical support tickets with Coinbase, calling their banks, and disconnecting their associated accounts.

An Official member of Coinbase’s engineering team, Justin gave the following message on Reddit:

“We are vigorously inspecting some reports from our customers about sudden credit or debit card charges appearing on their statements from previous Coinbase purchases. We can validate that the unexpected charges are instigating from our payment processing network, and are linked to charges from prior purchases. To the best of our knowledge, these surprising charges are not permanent and are in the course of being refunded. We are running joint investigations with all parties involved, and will provide updates as we receive them.”

But later on, they blamed Visa by stating that the erroneous debit and credit charge is the result of Visa reversing & recharging transactions. This wasn’t done by Coinbase.

However, Visa Begs To Differ.

A representative from Visa informed the Financial Times that the monetary institution has not made any modifications that would result in the duplicate transactions & they are also not aware of any other merchants who are experiencing the same problem. Visa also claims that they are ready and willing to ensure cardholders are protected from illegal transactions. Coinbase has yet to make an official declaration about the circumstances either on their website or via social media.

Despite the serious setback and egregious blunder made by Coinbase, the marketplace has remained relatively stable. At the time of writing, three of the four cryptocurrencies that are being traded on Coinbase platforms like Bitcoin, Bitcoin Cash, and Litecoin are all up above in a period of 24 hours.


Author's Bio: 

Ricky Makan is a venture capitalist and Crypto Enthusiast best known for pioneering the market for Digital Marketing. He is a Co-founder of Unkrypted, a platform which provides the latest news and information that helps understand everything about the ever-evolving world of digital currencies. He is been fascinated by Blockchain technology since the first time he heard about it in 2013