Anger Grows at Coinbase For Not Allowing Bitcoin Cash Withdrawals

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As the bitcoin hardfork has just over a week to go with the currency splitting into two coins, Bitcoin Cash (BCC), and Bitcoin Core, which is to retain the bitcoin brand and BTC ticker for now, bitcoiners are preparing and taking precautionary steps.

However, many are complaining one of the biggest bitcoin exchange, Coinbase, is making it difficult for them. One bitcoiner, for example, says:

“I’ve used and recommended Coinbase as a wallet/broker since 2013… Coinbase does an extreme disservice to their client base by not allowing them to withdrawal their BCC.” The bitcoiner further adds:

“Part of the value in owning a Bitcoin lies in the fact that if the chain forks, you would own coins on both forks. Coinbase has essentially decided to take that value proposition away from it’s clients. In that sense, a Coinbase bitcoin is uniquely less valuable than a Bitcoin in any other wallet software.

In the past week, I’ve had to explain to pretty much everybody that I initially convinced to use Coinbase that they may be losing out on potential profits from Bitcoin Cash if they keep their coins on Coinbase.”

The anger bridges the divide with a bitcoiner complaining about their verification system which is denying bitcoin withdrawals to some.

“People wanting to get out are stuck with these verification… systems and terrible CS,” he says.

Coinbase and GDAX, its exchange, have made an astonishing statement regarding Bitcoin Cash whereby they say the currency will not be listed nor be withdrawable from Coinbase, something which some say fits the definition of theft:

“A person is guilty of theft if he dishonestly appropriates property belonging to another with the intention of permanently depriving the other of it.”

That’s especially the case since Bitcoin Cash has now been given a market by ViaBTC. Reaching a high of nearly $900 yesterday, before settling at around $500.

The current price of bitcoin cash.

The currency does not yet exist as the flag-day hardfork is to occur at 12:20 UTC on the 1st of August. As such, many think Coinbase will probably have no choice but to give their customers the Bitcoin Cash.

However, bitcoiners are taking them on their words, so seemingly withdrawing their coins from the exchange to a wallet or another platform.

 

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Sigh.