The recent surge in Bitcoin’s value, soaring to around $60,000, has led to operational disruptions for Coinbase, the popular cryptocurrency trading platform. Numerous users reported encountering a zero balance in their Coinbase accounts today, prompting concerns about the safety of their assets.
In response to the widespread issue, Coinbase reassured users through its Status page, stating that their assets remain secure despite the technical glitch. The company acknowledged the problem and assured customers that investigations were underway, promising to provide updates promptly. However, it also noted that the app was experiencing “heightened traffic.”
The disruption comes amidst Bitcoin’s remarkable rally, driven partly by the approval of U.S. bitcoin spot ETFs, resulting in a 42% surge in its price this month. Reuters reported that this marked the largest monthly gain for Bitcoin since December 2020, with its current value exceeding $61,448, reflecting a 7.66% increase today.
Coinbase, a platform known for facilitating the buying, selling, and holding of various cryptocurrencies, has experienced a surge in demand due to the renewed interest in Bitcoin and other digital assets. The sudden influx of users, including those new to cryptocurrency investing, has exacerbated the platform’s technical issues, primarily stemming from the overwhelming traffic.
Despite users’ growing concerns about their account balances showing zero, Coinbase’s customer support channels initially offered standard troubleshooting steps, leading to frustration among users. However, the company eventually acknowledged the issue publicly and pledged to swiftly resolve the problem.
While Coinbase reported improvements in customer trading and login functionalities throughout the day, some users continued to encounter errors due to the persistent high traffic levels. The disruptions highlight the challenges faced by cryptocurrency platforms during periods of intense market activity, underscoring the importance of robust infrastructure to ensure seamless user experiences.