Coinbase Experiences Record Outflow of Bitcoins
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June 10, 2020

US crypto exchange Coinbase has experienced a record daily outflow of Bitcoins that has coincided with service outages, analysis company Glassnode reports.

On June 1, Bitcoin tried to break above the $10,000 barrier. At the same time, Coinbase, according to its own data, saw traffic skyrocket by 5 in just four minutes. This affected the operation of most of Coinbase's services. 20 minutes later, the exchange increased its number of servers in order to cope with the huge influx of users. The company has also promised to redesign its system in order to prevent similar situations in the future.

However, on June 7, Coinbase users withdrew 22,000 more Bitcoins than they deposited. According to Glassnode, this had happened only once: on July 28, 2017, when the balance of Coinbase's wallets dropped by 22,500 Bitcoins. Bitcoin's price then stood at $2,785, so the volume of funds withdrawn was $63M, while in this case the figure is $214M.

About 1 million Bitcoins remain in Coinbase's wallets, a figure far higher than any other crypto exchange.

Nassim Nicholas Taleb, a popular US economist, trader and author of the "The Black Swan," has said he has decided to close his account at Coinbase after having problems with customer service.

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