Coinbase's support account on X, @CoinbaseSupport, has responded to numerous reports from users claiming their accounts have been restricted.
Coinbase's support account on X, @CoinbaseSupport, has responded to numerous reports from users claiming their accounts have been restricted.
This surge in account restrictions follows an uptick in user activity after recent elections, prompting the company to characterize user complaints as "FUD" (fear, uncertainty, and doubt).
The platform acknowledged that the increase in new and reactivated users has coincided with a 2-3x rise in fraudulent attempts. In a series of posts, Coinbase stated that its fraud-prevention systems have successfully protected customers from tens of millions in potential losses in November alone.
However, the company also noted that this increase has led to a "minor increase in restricted accounts" and longer customer support wait times.
Security researchers have expressed concerns regarding Coinbase's risk assessment policies, particularly its view on VPN usage. Scott Shapiro, Coinbase's product director, stated that because attackers frequently use VPNs, the platform’s risk models may flag legitimate users employing these tools in conjunction with other suspicious activities.
He clarified that using a VPN alone would not trigger account restrictions, but rather a combination of factors could lead to a false positive requiring additional security review.
Critics have highlighted Coinbase's delayed customer support, particularly during weekends. Taylor Monahan, a principal security researcher at Metamask, criticized the company's response times, emphasizing that cryptocurrency transactions often occur outside traditional business hours.
This article contains links to third-party websites or other content for information purposes only (“Third-Party Sites”). The Third-Party Sites are not under the control of CoinMarketCap, and CoinMarketCap is not responsible for the content of any Third-Party Site, including without limitation any link contained in a Third-Party Site, or any changes or updates to a Third-Party Site. CoinMarketCap is providing these links to you only as a convenience, and the inclusion of any link does not imply endorsement, approval or recommendation by CoinMarketCap of the site or any association with its operators.
This article is intended to be used and must be used for informational purposes only. It is important to do your own research and analysis before making any material decisions related to any of the products or services described. This article is not intended as, and shall not be construed as, financial advice.
The views and opinions expressed in this article are the author’s [company’s] own and do not necessarily reflect those of CoinMarketCap.
