Coinbase

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Coinbase, Inc.
Coinbase
FoundedSan Francisco, California, United States (June 20, 2012)
HeadquartersSan Francisco, California, United States
Area servedWorldwide
Founder(s)Brian Armstrong
Fred Ehrsam
Key peopleBrian Armstrong, (CEO)
ProductsBitcoin exchange and wallet service
WebsiteOfficial website
Users650,000 (Dec 2013)[1]
[2][3][4]
 
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Coinbase, Inc.
Coinbase
FoundedSan Francisco, California, United States (June 20, 2012)
HeadquartersSan Francisco, California, United States
Area servedWorldwide
Founder(s)Brian Armstrong
Fred Ehrsam
Key peopleBrian Armstrong, (CEO)
ProductsBitcoin exchange and wallet service
WebsiteOfficial website
Users650,000 (Dec 2013)[1]
[2][3][4]

Coinbase is a Bitcoin exchange headquartered in San Francisco California, founded by Brian Armstrong and Fred Ehrsam.[5][3] Users of Coinbase can buy and sell bitcoins for US dollars at the current market rate using their United States bank account for a fee of about 1% of the value of the transaction.[6][7] Coinbase aims to make it easier for non-technical users to send and receive Bitcoin payments by offering an online wallet service for storing, sending, and receiving bitcoins; along with merchant services that enable businesses to accept bitcoin payments online, and fee-free micropayments between Coinbase accounts.[8][9] To use the buy/sell service, customers have to provide bank details, setup two-factor authentication on a mobile phone and wait three days.[10]

Reception[edit]

Coinbase has been noted for being one of the more user-friendly bitcoin exchanges,[11] although it has been criticized for cancelled and delayed orders and unresponsive customer support.[12] Users have also reported not receiving ACH deposits from Bitcoin sales into their bank accounts in the time promised.[13] Coinbase has declined to provide payment processing services for U.S. marijuana businesses on the grounds that federal law prohibits it even if state laws do not.[14]

Capital investments[edit]

In December 2013, Coinbase received a US$25 million investment, from the Silicon Valley venture capital firm Andreessen Horowitz.[15] The company has received US$31 million in capital investments, nearly one-third of the total publicly disclosed investment in Bitcoin companies made as of February 2014.[16]

Partners[edit]

In December 2013, Coinbase became the bitcoin processor for Overstock.com.[17] In January 2014, personal finance app Mint added integration with Coinbase, enabling its users to track their bitcoin purchases alongside their other expenses.[18]

In June 2014, Coinbase became the bitcoin processor for Expedia.com. [19]

In July 2014, Coinbase became the bitcoin processor for Dell.com. [20]

Security[edit]

Breaches of individual Coinbase accounts have been reported, and users are recommended to enable two-factor authentication on their account.[21]

References[edit]

  1. ^ Nermin Hajdarbegovic (2013-12-19). "Coinbase passes 650,000 users in less than a year". CoinDesk. Retrieved 2014-01-10. 
  2. ^ "About Coinbase". Coinbase. Retrieved 1 July 2014. 
  3. ^ a b "Company Overview of Coinbase, Inc.". Bloomberg News. Retrieved 1 July 2014. 
  4. ^ "Coinbase". LinkedIn. Retrieved 1 July 2014. 
  5. ^ "Dish Network Says It Will Accept Bitcoin". The New York Times. Retrieved 1 July 2014. 
  6. ^ Fowler, Geoffrey A. (2014-02-18). "Bitcoin experiment in everyday life". The Wall Street Journal. Retrieved 2014-02-25. 
  7. ^ Fung, Brian. "Expedia wants you to book your next hotel stay with Bitcoin". The Washington Post. Retrieved 1 July 2014. 
  8. ^ Tricia Duryee (2012-06-29). "Betting on Bitcoin: Coinbase wants to be the PayPal of Internet-only currency". All Things Digital.
  9. ^ David Meyer (2013-08-06). "Can Bitcoin enable the fabled micropayments revolution? Coinbase thinks it’s worth a shot". GigaOM.
  10. ^ Jeff John Roberts (2013-07-18). "Bitcoin's Open-Air Trading Floor". Bloomberg Businessweek.
  11. ^ Alexia Tsotsis (2013-05-27). "Coinbase leads charge in Bitcoin’s consumerization". TechCrunch.
  12. ^ Ranvier, Justus (2013-07-16). "Coinbase: Instant purchases, delayed support". Bitcoin Magazine. Retrieved 2014-02-25. 
  13. ^ Coinbase - where are the deposits? 
  14. ^ Hill, Kashmir (2014-02-10). "Marijuana shop's plan to accept Bitcoin goes up in smoke". Forbes. Retrieved 2014-02-25. 
  15. ^ Alex Williams (2013-12-12). "Coinbase Raises $25M Led By Andreessen Horowitz To Build Its Bitcoin Wallet And Merchant Services". TechCrunch. Retrieved 2013-12-13. 
  16. ^ Garrick Hileman (2014-02-24). "Following the Money: Geographic Dispersion of VC Bitcoin Investment". CoinDesk. Retrieved 2014-02-25. 
  17. ^ Burns, Matt (2013-12-21). "Overstock.com partners with Coinbase and starts accepting bitcoins as payment". TechCrunch. Retrieved 2014-01-10. 
  18. ^ D'Onfro, Jillian (2014-01-30). "Popular budgeting app Mint adds Bitcoin support with Coinbase". Business Insider. Retrieved 2014-02-25. 
  19. ^ "Expedia.com Now Accepts Bitcoin to Give Travelers More Choice and Flexibility in Hotel Payments". PRNewswire. 2014-06-14. Retrieved 2014-07-18. 
  20. ^ Wilhelm, Alex (2014-07-18). "Dell Now Accepts Bitcoin For All Online U.S. Purchases". TechCrunch. Retrieved 2014-07-24. 
  21. ^ Lowensohn, Josh (2014-02-07). "A string of thefts hit Bitcoin's most reputable wallet service". The Verge. Retrieved 2014-02-25.