Coinbase Faces Criticism Over Solana Deposit Delays

Coinbase, a public crypto exchange with a market capitalization of nearly $74 billion, is facing complaints about its services once again. This time, it’s Solana users who are expressing frustration over delayed transactions, specifically Solana deposits.

Delayed Transactions Spark Frustration

Multiple users have taken to social media to blast Coinbase for delays in transactions, with some reporting wait times of up to 34 hours. Solana is known for its fast transactions and high throughput, making it one of the quickest chains available. However, Coinbase’s customers are saying that’s not the case when dealing with the exchange.

“Sent two transactions from a Solana wallet to Coinbase today. First took 6.5 hours to land. Second hasn’t landed in 3 hours. Coinbase says the future of crypto is on-chain, but they clearly believe on-chain = evm despite Solana being the #1 chain by volume. Need to wake up asap” – Mike Dudas, co-founder of crypto media outlet The Block

A History of Technical Glitches

This isn’t an isolated incident for Coinbase. The platform has a history of technical glitches, particularly during times of increased market activity. Retail investors have long been familiar with Coinbase’s service disruptions, which seem to surface whenever demand spikes.

Previous Incidents

In February 2024, when Bitcoin’s price skyrocketed past $64,000, Coinbase experienced a significant outage. During that period, users reported their account balances displaying as zero, and were unable to buy or sell crypto due to system errors. Brian Armstrong, Coinbase’s CEO, later attributed the downtime to a surge in traffic that overwhelmed the exchange’s infrastructure.

Just a month later, Coinbase ran into more technical problems when Solana’s price surged, leaving users dealing with late or canceled SOL deposits.

Root Cause of Delays

Andrew Allen, a protocol expert at Coinbase, confirmed on social media that the delays users are experiencing with Solana deposits stem from the exchange’s infrastructure and not the chain itself.

“Yeah, it’s on us to improve. Not Solana’s fault. Solana usage has pushed our infra past its limits, and the team is well aware and actively working on it.” – Andrew Allen

Coinbase’s Response

In response to the growing complaints, Coinbase Support released a detailed thread acknowledging the delays and explaining the root cause. The thread stated that Coinbase “has seen unprecedented Solana transaction activity,” causing delays in processing. While the team claims to have improved delays by 30% on the last day, transactions may still take up to 24 hours.

Tips for Coinbase Users:

* Be patient and allow up to 24 hours for transactions to process
* Monitor Coinbase’s social media channels for updates on delays and technical issues
* Consider using alternative exchanges or wallets for faster transaction times

Coinbase’s mission is to “create an open financial system for the world.” However, the platform’s repeated technical failures are increasingly hard to overlook. Until the exchange addresses its technical shortcomings, the idea of an “open financial system” seems a bit closed off for some users — especially those who expect faster service.

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