Coinbase has been regularly criticized for unsatisfactory customer support. A noticeable number of Coinbase customers have filed complaints with the SEC saying that they lost thousands of dollars due to alleged mismanagement of the popular U.S. cryptocurrency exchange.
As per filings with the SEC and a California state regulator, more than 115 complaints were categorized as
“They have no way to reach them by phone, money was not available when promised, and they cut [off] all contact with its customers.”
This is in addition to several, various shortcomings that could be easily considered a fairly fundamental issue for any financial entity.
As complaints mount with regulators, Coinbase is ramping up its customer support teams. In January, the company said it hired Tina Bhatnagar, previously of Twitter, to spearhead a doubling of the exchange’s support team in the coming months, and to expand round-the-clock phone support to all customers by June. She said that the company will hire 500 customer support agents by late May.
This wasn’t the company’s first attempt to address customer-service shortfalls, CEO Brian Armstrong apologized for support issues in June, and said the firm was “doubling overall support capacity” back then as well.
Throughout the last year, demand for the six-year-old company’s services has soared exponentially along with the price of cryptocurrencies themselves. Coinbase had 12 million users as of November 2017. At one point, the digital currency venue added 100,000 users in just 24 hours, continuing a record spurt lasting since CME Group announced plans to launch Bitcoin futures.
One individual wrote to the SEC saying:
“I am prevented from selling, buying, transferring or accessing my property. After repeated prompting via emails and phone calls, Coinbase advised me that I am locked out of my account as a result of a security software error on their end and that they would look into it. That was a month ago.”
Another user noted:
“I am happy to take this as far as possible, socially, politically, and economically if I do not receive what I am owed, or continue to receive no response from the company, both of which I’m sure is inevitable. If I can help to dismantle these frauds and protect any other people in America or abroad, I am more than happy to do so, just reach out.” wrote the person in August.”
The company has made several attempts to address customer-service shortfalls. To contain the fallout, Coinbase said it will double its customer support teams and expand round-the-clock phone support to all customers.