Led 12

New Data Shows Coinbase May Be Spamming the Bitcoin Network

· January 12, 2018 · 7:30 am

US exchange and wallet provider Coinbase is facing fresh criticism from both users and Bitcoin industry figures over its delayed SegWit adoption.


‘You Alone Are Spamming The Network’

As the company continues to suffer technical outages due to high demand, its effect on the Bitcoin mempool has become the source of renewed calls for SegWit as a priority.

“You need to batch your outgoing transactions,” Twitter user Civ Ekonom wrote in response to Coinbase’s latest reported system breakdown.

You are ALONE spamming the network. If you would use segwit and batch all outgoing transactions the mempool would be EMPTY.

Citing analysis of the mempool as “clear evidence,” the mempool size appears to drop significantly when Coinbase recently suspended sending Bitcoin. This has added fuel to existing community anger that the exchange has failed to implement SegWit, which would significantly reduce the cost of Bitcoin transactions it handles.

New GM: Performance ‘Totally Unacceptable’

CEO Brian Armstrong has also borne the brunt of accusations regarding his exchange’s performance and roadmap. Last year, he claimed SegWit was not a high priority on Coinbase customers’ wishlists.

In a different response to the outage, Blockchain real estate personality Ragnar Lifthrasir went as far as to suggest firing Armstrong would serve to improve Coinbase’s reliability.

New Evidence Emerges, Points to Possible Insider Trading at Coinbase

Earlier this week, Bitcoinist reported on a user-filed petition on Change.org to force a SegWit upgrade as a priority. That petition has now accrued over 8000 signatures.

In its latest official correspondence Thursday, Coinbase focused on “improving customer experience” via its new general manager Dan Romero.

Romero had previously announced SegWit as engineering priority number three in 2018.

“Dan’s first priority as GM will be improving the Coinbase customer experience,” Armstrong explained.

…Dan will provide an update on what we are doing to improve the experience and I will continue to post about all of the major activities at the company.

Romero meanwhile called the past technical performance throughout 2017 “totally unacceptable.”

What do you think about Coinbase’s SegWit situation? Let us know in the comments below!


Images courtesy of Twitter, Shutterstock

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Led 05

Coinbase Rejection Sees Ripple Drop 20% As Rumors Evaporate

· January 5, 2018 · 5:15 am

Ripple’s seemingly unstoppable bull run took a hit Thursday after US exchange Coinbase dispelled rumors it would add the asset.


‘No Plans For New Assets’

From highs above $3.60, the latest milestone in what has become the biggest-ever annual appreciation for a major cryptocurrency of around 35,000%, the platform’s XRP token swiftly fell by almost a fifth following the news.

As of press time Friday, XRP is correcting and is still down 9% versus USD and 15.4% against Bitcoin (BTC).

A blog post from Coinbase reads:

As of the date of this statement, we have made no decision to add additional assets to either GDAX or Coinbase. Any statement to the contrary is untrue and not authorized by the company.

Coinbase Treads Carefully

Rumors had previously circulated widely that XRP was due to debut on the largest exchange in the US. The veiled nod to those rumors is no doubt a prudent step as Coinbase is continuing to face major criticism and scrutiny after it emerged staff leaked information about Bitcoin Cash (BCH) being added to its books.

Meanwhile, the Coinbase blog post continued to say:

A committee of internal experts is responsible for determining whether and when new assets will be added to the platform in accordance with our framework.

The Coinbase Effect

It then added the following:

These individuals — and all employees at Coinbase — are subject to confidentiality and trading restrictions.

Ripple executives, like its investors, nonetheless remain tangibly confident about the asset’s prospects. As Bitcoinist reported Thursday, the token’s utility as a currency is a major boon to users and, thus, has a tremendous innate value, according to CEO Brad Garlinghouse.

Co-founder and chairman Chris Larsen, who owns a 37% stake of Ripple’s implied value of $320 billion, could well be the world’s ‘implied’ new richest person, with a fortune topping that of both Bill Gates and crypto-skeptic Warren Buffett.

XRP also found its way into traditionally Bitcoin-critical media outlet Russia Today’s cryptocurrency recommendations for 2018, along with Ethereum, Bitcoin Cash, Cardano, and Litecoin.

What do you think about Coinbase’s decision not to add Ripple? Let us know in the comments below!


Images courtesy of Pixabay and Bitcoinist archives.

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