Crypto Exchange Coinbase Assures 'Funds Are Safe' After 3-Hour Outage Creates Brief Panic

The largest cryptocurrency exchange in the U.S., Coinbase Global Inc. COIN recovered from a three-hour-long system-wide glitch past midnight, causing a brief bout of anxiety for its customers.

What Happened: In an X post past midnight on Tuesday, the exchange informed about the glitch, saying, "We are investigating this issue and working on a solution."

The trading platform assured its users that their funds were safe.

A few customers shared screenshots from the Coinbase App, displaying a “Planned maintenance in progress” message, prompting them to question the platform about the real nature of the outage. 

At 3:34 a.m. EDT, the company informed that the incident had been completely resolved. However, it added a caveat that some customers might still face transaction failures while sending funds.

Coinbase's official website was accessible at the time of writing. 

Why It Matters:  Coinbase is the largest crypto trading platform in the U.S., with volumes reaching upwards of $2 billion in the last 24 hours, according to CoinGecko. The platform allows the trading of popular coins like Bitcoin BTC/USD, Ethereum ETH/USD, and Solana SOL/USD.

Since the implosion of the FTX exchange in the fall of 2022, users accessing centralized exchanges have become circumspect regarding the safety of their funds, and even minor outages have led to FUD.

Read Next: The Dencun Dilemma: Can Lower Fees Derail Ethereum’s Deflationary Ambitions And Dampen Prospects Of A Price Surge?

Photo by rafapress on Shutterstock