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Coinbase has been sued for stealing funds and closing accounts without authorization

Coinbase
TL;DR Breakdown

• Customer at Coinbase claims $6,000 worth of crypto was transferred without his consent
• The demands for the crypto exchange continue to increase, and its manager does not talk about it

Recently, the most relevant crypto trading platform in the virtual industry, Coinbase, was sued for transferring funds without authorization. The user fund on the platform is not secure, as specified in the lawsuit, which puts the legitimacy of the crypto company at risk.

For over a decade, Coinbase has offered the crypto trading systems that once made it the top crypto company on the market, but with the creation of new wallets, its popularity has plummeted. Currently, the company faces numerous lawsuits where its clients specify that their funds are lost without any justification. All this occurs amid a recovery time for the virtual market, where crypto transactions are gradually increasing.

New sued against Coinbase

Coinbase

Coinbase has a new lawsuit where the victim claims that the platform illegally transferred his funds, and their wallet was closed without justification. The crypto company has not commented about the sue, but its clients clarify that this is not the first time.

For some time now, wallet clients have been talking about crypto value transactions that, in their opinion, have no records. However, these movements do not have a reasonable basis making it look like something illegal that the crypto company is possibly committing.

Crypto wallet versus lawsuits

Coinbase

The Coinbase user said the platform asked him to renew his email and password, which the client agreed to. However, after this process, the victim realized that he did not have $6,000 worth of crypto in his wallet, which was alarming. As much as the client tried to contact support again, his attempts failed, automatically making him a victim of crypto theft.

This case would correspond to the recent lawsuit by the user George Kattula. However, there are other cases where customers claim that Coinbase not only steals their funds but also closes their wallets after making the transaction. These account lockouts can take 24 hours or even several days, so it doesn’t follow an exact pattern.

The plaintiff Kattula clarifies that although the wallet reimbursed him $1,000 in crypto from the illegal transaction, the company refused to pay the rest of the money withdrawn from his account. After these complaints, it is not surprising that more similar cases are filed against the crypto wallet. However, many users believe that Coinbase has lost security, credibility, and reputation.

Likely, the securities and exchange commission in the United States will soon investigate the crypto company. If so, the wallet may face numerous charges for theft of high-value funds.

Carisbel Guaramato

Carisbel Guaramato

An avid content creator for over 4 years, Carisbel spends her time on blogs and technology news. She honed her skills as a social communicator and now finds crypto and blockchain news events worldwide for transmission through Cryptopolitan's neutral and incisive way.

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