Consumer complaint received 2018-03-12
Company: Coinbase, Inc.
State: CA
Product: Money transfer, virtual currency, or money service
Sub-product: Virtual currency
Issue: Fraud or scam

Complaint:
On XX/XX/XXXX I sold {$4000.00} worth o BitCoin on Coinbase. Upon completing my sale using my New XXXX XXXX XXXX  I was unable to access my account. My XXXX XXXX had not yet been installed for my authenticator application since I had misplaced it. After completing the sale I called Coinbase support immediately per the instruction on their website which specifically stipulate it takes 48hours to have your seed key reissued. After sitting omn hold for two hours I spoke to a representative in the Coinbase customer support center and was assured my issue would be escalated. 


The primary problem I faced and need to access my account was the bank account on file was no longer valid anf needed to be updated. The way Coinbase works is upon a sale your money will transfer to the bank account on file within 4 business days. In. theory I had plenty of time to fix the proble XX/XX/XXXX fell on a Friday and the following Monday was XX/XX/XXXX. Therefore my money would not transfer until Thursday. On Tuesday after not having received any notice to update with the seed key reset, I called Coinbase back to express my concern and they hung up the phone on. me. I called back and they were rude once more and hung up again. I called back a third time and expressed I had already been the victim of ID theft and was afraid that not having specialist fix my problem would expose me to more fraud. and loss they hung up on me again and XXXX me they had " ESCALATED '' the case to a specialist. 
acc On XX/XX/XXXX the Wednesday after mh sale I found my XXXX   and was able to access my account. I proceeded to update my banking info with out an issue. And confirmed why account per the Coinbase protocol and deleted the old one. I then called hem back to confirm and was told my transfer to my bank would happen the next morning n as planned anf be directed into the new account .... 

The Next morning nothing was wired to me so I called Coinbase back and spoke to support. while on the phone with support I saw my Coinbase balance had been sent somewhere, since the customer support team is unable to help in any many other then telling me they would escalate my case my entire account had been cleaed. out. That day and into the next morning, I watched as my account was used to purchase and transfer another XXXX, from my checking account into coinbase to effect more purchases orf BtC and transfers that were not authorized or executed by me .... 

I called coinbase back and told them my account was hacked on their end and that they had stolen XXXX additional dollars from my checking account ... THEY DID NOTHING AS THEY SAID DID NOT LOC K MY ACCOUNT DOWN.. 

This transpired on the XX/XX/XXXX. After following up with Coinbase for the next 7 days straight. I finally had a representative lock my account down yet no one could tell me when and how I would get my money back.. The answer each time is they have escalated the case .... 

Its now been over 1 month and I am still yet to hear back from XXXX with respect to my initial complaint.. I about close to {$12000.00} and I can't get anyone to return my call or my money ... Since I did not hold any BitCoin in my account I have told them that my cash would need to be replaced since they are covered under FDIC guidelines that protect against fraud and that the fraud occurred in the their bank account ... 

The money that is missing was income I earned fro services rendered to my clients. I am now unable to pay all my bills and facing an eviction due to this ...

Company response to consumer: Closed with explanation