Cake
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    • Thanks for sharing all those articles. There's not much I can say to refute that Bitcoin could very well be the tulip mania of 2017/2018, but I have hope that it's not the same for these reasons:
      1. Tulips in the 1600s had a finite lifespan; bitcoins (in theory) do not.
      2. The need for anonymity (for legit or nefarious reasons) is evergrowing in our modern society; Bitcoin transactions would offer some semblance of anonymity.
      3. As our world becomes more and more connected and banking institutions fail to make international transactions easier and cheaper (remittances), Bitcoin and similar cryptocurrencies should flourish.

    • Is there any precedent for other commodities on how their price was affected when shorting became an option? I don't know finance at all but is making a small short bet a "no-brainer" with lots of upside?

    • they have the worst customer service on the internet. And by worst I mean they will never respond to you, maybe that's slightly better then bad customer service where you spend an hour on the phone?

      They have too many customers and they can't keep up. maybe that has changed but I've written to them 3 times since May 2017 and received exactly 0 responses.

      That being said, their interface is easy to use. If you're able to successfully connect to a bank account and transfer money in or out it's easy to manage your wallet. Note that I own a marginal amount of Ethereum and I don't transact. I bought some bitcoin once and then converted it to Ethereum.

      Have you looked at Robinhood? https://robinhood.com/

    • I checked out the link to Robin Hood and am opening an account to check it out. I appreciate the feedback on customer service. I am not comfortable giving money to people you cannot connect with easily. I my try both and just see the experience on both sides. I know I have heard much more about Coinbase, but I like the branding idea of "Robbin Hood" ; )

    • I bought $100 in bitcoin on Coinbase yesterday, and $100 on Robbinhood today. BitCoin is up over 1% since yesterday. It will be interesting to do a side by side comparison.

    • I have already made $0.53 on Robbinhood from my $100 investment yesterday : ) My $100 investment of bitcoin through Coinbase yesterday still isn't active, and won't be until Saturday!

    • Robinhood has my $100 investment in Bitcoin down to $85.57 as of today. Coinbase has my $100 investment at $84.48 as of today. I lost over $1 in the five days longer it took Coinbase to process my initial investment than Robinhood, which was practically overnight, whereas Coinbase was the better part of a week.

    • That is unfortunate. We need more ethical corporations and practices. We need them to be held accountable in a way that will deter them from doing it again. Unfortunately, these practices are most likely asessed for risk and loss and accounted for on some level, especially in this overall industry. The financial industry has been getting away with too much for too long without enough accountability to stop it. It’s time to put the brakes on.

    • yea it’s too bad. I’m rooting for coinbase but unfortunately it’s not surprising. I believe that these claims are probably true.

    • It really bugs me that more and more, the impression people have of the tech industry is darkening. I tell myself they're thinking of Facebook, Theranos, Uber and Twitter, not Cake, Netflix, Slack, Quora, Pinterest, nVIDIA...

      But we're becoming like the financial and oil industries that consumers don't trust. And every new thing like this makes it worse. 😢

    • I agree. and now Tesla and Elon. The supposed hacker we heard about earlier this week now says he's a whistle blower. I don't know what to believe.

    • It seems a bit premature to assume Coinbase was actually stealing money just because some people have accused them of it. People make the same claims about PayPal every few years.

      When trying to determine the veracity of claims like this, I think it helps to think about motivations.

      What would motivate Coinbase to steal customers' money? Greed, presumably. So if they are intentionally stealing from their customers, they must believe they could make more money through theft than through legitimate business. But Coinbase makes tons of money off legitimate transaction fees, so theft would have to be incredibly lucrative in order to be worth more than legit fees and justify the risk of being caught.

      On top of this, Coinbase would need to be able to conceal this systematic theft even from most of their own employees, or someone would surely blow the whistle. So it would have to be a conspiracy known only to a select few evil employees with sufficient expertise and access to both carry out the theft and hide the means and the money from other employees.

      I think a more likely explanation is that, like PayPal, Coinbase is hugely popular and an incredibly attractive conduit for money laundering and fraud. So they have strict verification and abuse detection controls that sometimes incorrectly identify legitimate transactions as potential fraud. Combined with an overloaded customer service team with a huge backlog of support requests, this leads to some customers having their funds locked and not being able to talk to a human about it, which feels unfair to the customers, which leads them to accuse Coinbase of theft.

      For what it's worth, I've traded thousands of dollars worth of cryptocurrency through Coinbase and never had a problem, so I'm inclined to believe the latter explanation.

    • I think "stole" is the wrong word choice by Business Insider and/or the lawyers ...

      I however 100% believe that these customers had a problem and Coinbase completely disregarded the complaints, or more likely never even looked at them. The customers had no other recourse then to take legal action.

      Business Insider should quote GoRudy on Cake.co from 23 days ago...

      "they have the worst customer service on the internet. And by worst I mean they will never respond to you, maybe that's slightly better then bad customer service where you spend an hour on the phone?"

      Turns out I was wrong. If you can't locate your money or bitcoins you'd gladly spend an hour on the phone.

      Coinbase CEO has been saying for a year that they would staff up their customer service team which clearly hasn't happened or has been ineffective. Talk is cheap, now they have a real legal problem on their hands.

      My guess... Coinbase had great timing in the boom / wild westworld of crypto.

      Robin hood on the other hand built a platform in a heavily competitive and regulated environment by a team of experienced builders, "Timir Tenev and Baiju Bhatt who had previously built high-frequency trading platforms for financial institutions in New York City"

      ...and now they're built to execute and win in crypto as well.

      ***

      I passed on investing in Coinbase, maybe i'm still mad at myself about that.

    • My $100 investments in Bitcoin through Robin Hood and Coinbase dropped to about half most of this year and last. Now it is up over 50%! I guess facebook's announcement of its Libra crypto currency has re-energized invest in cryptocurrency. We shall see where this goes. Personally, I don't like facebook trying to start its own currency. It is over reach and potentially destablizing. How do you activate spell check on Cake?