Coinbase Fixing Account Restrictions Plaguing Users

Coinbase CEO Brian Armstrong stated the crypto change has decreased pointless person account freezing by 82%, after figuring out it as a “main situation” for the change. 

In a June 6 X submit, Armstrong acknowledged that account freezing has been an issue “for longer than is suitable,” and that it has develop into a high precedence for his agency to enhance.

“The difficulty has been decreased by 82% to date, with extra enhancements coming. We’ll preserve you up to date as additional enhancements roll out,” Armstrong stated, earlier than asking all clients with frozen accounts to contact Coinbase Assist.

Coinbase customers have expressed frustration over account restrictions for years, reporting sudden freezes lasting a number of months or longer, prompting some to desert the platform. 

Buyer confidence in Coinbase was additionally not too long ago shaken by a mass data breach that uncovered the main points of greater than 70,000 buyer accounts.

Coinbase says fewer restrictions because of improved fashions

Armstrong credited the progress to Dor Levi, a member of Coinbase’s product workforce, who got here on board 9 weeks in the past with the first objective of fixing the account restrictions.

In a submit of his personal, Levi said a lot of the progress has come from making “important investments” in Coinbase’s machine studying fashions and infrastructure.

“We’ve improved the precision and recall of all our fashions, and are seeing fewer restrictions/freezes consequently.”

Coinbase will proceed to implement account restrictions imposed by court docket orders and sanctions to stay compliant with the regulation, Armstrong and Levi famous.

Regardless of the progress, a lot work stays, stated Levi, who admitted that as a Coinbase person himself, the expertise with account restrictions nonetheless doesn’t meet his “personal bar.”

I joined @coinbase 9 weeks in the past with a significant objective: fixing pointless account restrictions.

Should you’re on CT, you understand how important this situation has been for customers. I personally am a Coinbase person and our restriction expertise is just not assembly my very own bar.

The objective is obvious: Account… pic.twitter.com/zvGuM3QSZi

— Dor (@dorvonlevi) June 6, 2025

Coinbase customers say they’ve been locked out for a number of months

In response to Armstrong’s submit, one X person said they’ve been fully locked out of their Coinbase account for over two years, whereas one other said they deserted the platform after enduring an eight-month freeze.

One other X person attributed the prolonged account freezes to Coinbase’s buyer assist workforce.

“At Coinbase, this can be very exhausting to talk to a stay customer support particular person,” they said, including that it “can take endlessly to trace somebody down.”

Associated: Coinbase aware of recently disclosed data leak since January: Reuters

Coinbase can also be planning to strengthen its safety measures after illicit actors bribed a few of its abroad customer support brokers to entry government-issued ID images and home addresses of round 70,000 Coinbase clients final December. The incident was only disclosed in mid-Could.

https://t.co/evpIBMFvRW pic.twitter.com/f6UPdkL5R0

— Brian Armstrong (@brian_armstrong) May 15, 2025

One X person even claimed {that a} household good friend of theirs misplaced Bitcoin (BTC) and Ether (ETH) in a rip-off that they imagine was linked to the current Coinbase knowledge breach.

Coinbase stays one of many world’s largest crypto exchanges, with over 100 million customers and is the most important custodian of the spot Bitcoin exchange-traded funds.

Journal: Coinbase hack shows the law probably won’t protect you: Here’s why