Consumer complaint received 2025-03-20 00:00:00
Product: Money transfer, virtual currency, or money service — Virtual currency
Issue: Money was not available when promised — 
Company: Coinbase, Inc.
State: CA

Complaint narrative:
On XX/XX/year>, at XXXX XXXX, I placed an order on Coinbase to purchase Ethereum ( ETH ) using my XXXX XXXXXXXX XXXX ( XXXX ) account as the payment method. The purchase was for {$5000.00}, the maximum daily limit available to me, equating to XXXX ETH at the time of purchase. The transaction reference code is XXXX. 
Upon placing the order, the status was marked as " pending '' and remained that way for over XXXX XXXX  despite the market reaching my limit price. Since no position appeared in my portfolio, and the order still showed as pending, I immediately contacted Coinbase support to determine if my order had been executed. 
During this interaction, two separate Coinbase representatives confirmed that my order was indeed executed but was placed on a temporary hold until XX/XX/year>. I was explicitly told that although I could not withdraw or transfer my ETH during this hold period, I would still be able to trade or sell it within Coinbases platform. This information was critical, as I planned to sell the ETH if the market showed signs of weakening. 
However, the reality was very different not only was I unable to withdraw or transfer the ETH, but I could not trade it either. Despite Coinbase 's confirmation that the order was executed, no ETH was shown in my portfolio, my wallet displayed zero balance, and I had no way to manage my position. I followed up with Coinbases support team twice more, only to receive the same generic response that my order was complete, yet still inaccessible. 
Out of frustration, I decided to give Coinbases system some time to update, thinking this might be a platform delay. On XX/XX/year>, with the market rising, I attempted to sell my ETH to secure a profit yet I still couldnt access my position. 
Concerned that my ETH might be lost, I contacted Coinbases phone support. The representative once again claimed my ETH was in my account but restricted until XX/XX/year>. However, this time the representative added that I couldnt sell or trade it either directly contradicting what I was originally told. 
On XX/XX/year> the date Coinbase previously claimed my ETH would become available I logged into my account expecting to finally see my ETH available for trading or withdrawal. However, my portfolio and wallet still showed zero balance, and no trade had been executed. At this point, I believed Coinbase had experienced a platform failure and concluded that I was never actually placed in that trade. 
Since there were no funds deducted from my XXXX XXXX XXXXXXXX account, no ETH showing in my portfolio, and no active trade, I reasonably assumed that my order had never gone through. From XX/XX/XXXX to XX/XX/XXXX, I operated under the impression that my ETH purchase had failed, and no funds were at risk. 
On XX/XX/year>, I received a Coinbase email and app notification informing me that my {$5000.00} ETH purchase was now complete and available for withdrawal. The message also falsely claimed that my ETH had been available for withdrawal since XX/XX/XXXX, despite my repeated attempts to access or trade it prior to this date. By that time, the crypto market had significantly declined, resulting in a substantial financial loss that could have been avoided had Coinbase properly executed the order or informed me of the actual status. 
On XX/XX/year>, I contacted Coinbase support again for further investigation. A Coinbase representative named XXXX admitted that Coinbase was aware of a system failure on their end that prevented my ETH from showing in my wallet and denied me the ability to trade or sell the asset as I was originally promised. The representative acknowledged that this system-wide issue affected multiple users globally, yet Coinbase failed to notify me ( or others ) of this critical issue, leaving me completely unaware that I had an active trade position. 
This admission shows clear evidence that Coinbase : - Was aware of a major technical failure that affected customer funds. 
- Failed to provide timely disclosure or communication about this critical issue. 
- Misled me through false assurances that I could trade my ETH when, in fact, I could not. 
- Failed to inform me that I was indeed in an active trade all along causing me to miss the opportunity to mitigate my losses. 
Coinbases actions reflect a clear violation of consumer protection laws and responsible financial practices. Specifically : 1. Failure to Disclose Critical Information : Coinbase never informed me at any point before or during my order placement that a 21-day hold would apply. Had I known this, I would have used a different brokerage firm. 
2. Misrepresentation by Support Staff : Multiple Coinbase agents falsely assured me that I could trade or sell my ETH during the hold period. This misinformation resulted in significant financial harm. 
3. Negligence and System Failure : The platform 's inability to correctly update my portfolio and execute my trade in a timely manner demonstrates gross negligence. 
4. Failure to Disclose a Known System Failure : Coinbase admitted to a major internal technical failure but failed to inform me ( or other users ) of the problem, leading to significant financial harm. 
5. Unfair Business Practices : Coinbases refusal to acknowledge their responsibility for the financial losses caused by their own internal system error is unacceptable. 
I am requesting the CFPB to investigate Coinbases failure to : - Properly execute my trade within a reasonable timeframe. 
- Provide accurate and consistent information to its customers. 
- Disclose critical hold policies and known system failures prior to order placement. 
I am also requesting that Coinbase be required to compensate me for my financial losses directly resulting from this misconduct. 
I am prepared to provide all relevant documentation, including : - Transaction records. 
- Coinbase chat transcripts and phone call details confirming their system error. 
- Screenshots of notifications and email communications. 
- Bank statements showing the absence of a withdrawal during the disputed timeframe. 
I urge your agency to take immediate action to investigate Coinbases practices and ensure that they are held accountable for their negligence and deceptive conduct. 
I am prepared to provide all supporting documentation upon request, including transaction records, chat transcripts, email notifications, and bank statements. I trust that your agency will take swift action to investigate Coinbases actions and hold them accountable for their negligence and misconduct.

Company response to consumer: Closed with monetary relief