COINBASE SENDS CUSTOMERS NOTICE OF EXCHANGE DELAYS, CAUTIONS ON RISKS OF CRYPTOCURRENCY INVESTMENT
With all the demand, the site
experienced unprecedented delays as well, leaving some customers frustrated. The company
has since sent out a warning letter, encouraging customers to invest in responsible ways.
The letter, sent to customers via email, explains that the company is obviously excited about
the prospect of massive gains in their platform and are working hard to get customer support
up to speed. Further, the post makes clear that investors should expect trading delays over
time, as the platform continues to experience growing pains.
The email concludes with a rather stiff warning to investors about the risks associated with
investing in cryptocurrencies and an encouragement to invest responsibly. The company
“We also wanted to remind customers of some of the risks associated with trading digital
currency. Digital currencies are volatile and the prices can go up and down. Due to the rapidly
changing price of digital currencies, some customers may not have sell limits that are
sufficient relative to the value of total digital currency they are storing on Coinbase. Sell limits
are one of the many measures Coinbase takes to protect client accounts and assets.”
While the statement does not speak to Coinbase’s assessment of the cryptocurrency market,
the company is clearly seeking to inform investors about the potential for loss in such a
volatile market. Long term Bitcoin holders, however, are aware of this issue, having
weathered a number of large scale price corrections already.