Coinbase and Kraken experience limited services amid markets turbulence

They are reportedly facing latency issues due to the high level of new user sign-ups and transfers to the platform.

Both Coinbase and Kraken’s platforms were down or experiencing intermittent latency issues on Nov.8, amid market turbulence, according to users’ complaints on Twitter. This news followed the disclosure that crypto exchange Binance intends to acquire its rival FTX earlier in the day.

According to Twitter users, services were limited in both exchanges, with issues related to connectivity to the platforms and unconfirmed rumors of halted withdrawals.

BREAKING: Coinbase is DOWN! Several services are down right now.

Now y’all seeing real bear market dealings

— MASON VERSLUIS (@MasonVersluis) November 8, 2022

On its support profile, Coinbase said it was “experiencing network connection issues for, Coinbase Pro, and Coinbase Prime. This could result in difficulty signing in. If you’re already signed in you may experience slow loading across web and the mobile app”, claiming that the issue was related to the high level of new user sign-ups and transfers to the platform today.

We’ve implemented a fix and latency has improved dramatically. Due to the high level of new user sign-ups and transfers to Coinbase today, some customers had trouble signing up / experienced delays signing in.

— Coinbase Support (@CoinbaseSupport) November 8, 2022

Kraken did not comment on the issues on its channels, but highlighted that it uses Proof of Reserves audits, enabling clients to verify balances held on the exchanges and its backed assets as well. 

Check if the exchange you’re using undergoes Proof of Reserves audits.

ICYMI: Kraken is committed to regular audits – enabling you to verify the balances you hold on our exchange are backed by real assets

Don’t trust, verify your balance now ⤵️

— Kraken Exchange (@krakenfx) November 8, 2022

With Proof of Reserves (PoR), an independent audit is conducted by a third party to check a custodian’s assets are held as claimed.

The market turbulence was triggered by the announcement on Nov. 8 by FTX founder and CEO Sam Bankman-Fried, or SBF, of an “agreement on a strategic transaction” with Binance, aiming to acquire FTX after Binance’s decision to liquidate 23 million FTT tokens, triggering a liquidity crisis at FTX. The deal has been compared with a “chess move” by some, insinuating that Binance’s strategy intentionally led to the deal.

The series of tweets triggered a sell-off of FTX Token that broke below the pattern’s support line. The sell-off continued and the token is down over 76% in the past 24 hours, negotiated at $5.09 at press time.

Hours after the deal, Binance CEO Changpeng Zhao, or CZ, also noted on Twitter that the exchange would start using proof-of-reserves soon, adding that “banks run on fractional reserves. Crypto exchanges should not.”

Related Posts

Bitcoin ‘millionaire’ wallets drop 80% in year of BTC price bear market

Twelve months after Bitcoin’s last all-time high, seven-figure BTC balances have taken a hit. Bitcoin (BTC) millionaires are becoming an increasingly rare breed as numbers fall 80%…

Despite 2 Entities Holding 73% of the FTX Token Supply, FTT Price Still Holds Above $1 per Unit

While a large fraction of crypto assets dropped a great deal in value during the past few weeks and bitcoin is down 18.2% in 30 days, the…

Dogecoin, Solana, XRP Lead Post-Thanksgiving Gains as Bearish Sentiment Wanes

DOGE is up by a double-digit, while XRP has gained by 7% in the last seven days. The overall crypto market valuation is up as tokens recover…

Top 5 Most Expensive BAYC NFTs Ever Sold

The NFT landscape has become a flourishing ecosystem enabling creators to embark remarkable NFTs to marketplaces worldwide. One such creator is Yuga Labs, the brain behind the Bored…

Russia President Putin Calls For Blockchain-based International Payment System

Russian President Vladimir Putin said there is a need for a new and independent international settlement system amidst the sanctions and restrictions placed on his country. President…

Putin calls for blockchain-based international payment system

The Russian President criticized Western’s sanctions and urged for a system “independent of external interference”. Russian President Vladimir Putin criticized monopoly in global financial payment systems and…

Generated by Feedzy