Coinbase is a digital asset exchange company headquartered in San Francisco, California. They broker exchanges of Bitcoin (₿), Ethereum (Ξ), Litecoin (Ł) and other digital assets with fiat currencies in 32 countries, and bitcoin transactions and storage in 190 countries worldwide.
Coinbase was founded in June 2012 by Brian Armstrong and Fred Ehrsam. It has since grown to serve over 13 million customers and is now one of the most popular ways to buy and sell cryptocurrencies.
Coinbase is often lauded as one of the most trusted and easy-to-use cryptocurrency exchanges. However, there have been some concerns raised about the safety and security of Coinbase and its user funds.
In May 2016, Coinbase was hacked and over $1 million worth of user funds were stolen. The hack highlights some of the risks associated with centralized exchanges like Coinbase, where user funds are held in hot wallets connected to the internet.
In March 2018, it was revealed that Coinbase had been overcharging users for several years and had not refunded the overcharged amounts. This led to a class action lAWSuit being filed against the company.
Despite these issues, Coinbase remains a popular choice for those looking to buy and sell cryptocurrencies. It is important to remember that no exchange is completely safe from hacks or mismanagement, but Coinbase has taken steps to improve security and increase transparency since its early days.