Both Coinbase’s and Kraken’s platforms were lower or experiencing intermittent latency issues on November. 8 among market turbulence, based on users’ complaints on Twitter. This news adopted the day’s earlier thought that crypto exchange Binance promises to acquire its rival FTX.
Based on Twitter users, services were limited on exchanges, with the process of connectivity towards the platforms and unconfirmed rumors of stopped withdrawals.
BREAKING: Coinbase is Lower! Several services are lower at this time.
Now y’all seeing real bear market dealings
— MASON VERSLUIS (@MasonVersluis) November 8, 2022
On its support profile, Coinbase stated it had been “experiencing network connection issues for Coinbase.com, Coinbase Pro, and Coinbase Prime. This could cause difficulty logging into websites. If you are already signed in your soul can experience slow loading across web and also the mobile application.” The exchange claimed the issue was associated with our prime degree of new user sign-ups and gets in the woking platform on November. 8.
We’ve implemented a fix and latency has improved dramatically. Because of the higher level of recent user sign-ups and gets in Coinbase today, some customers had trouble registering / experienced delays logging into websites. https://t.co/IcA6wtZz1N
— Coinbase Support (@CoinbaseSupport) November 8, 2022
Kraken didn’t discuss the problems via its public channels but highlighted it uses proof-of-reserves audits, enabling clients to ensure balances held around the exchanges and it is backed assets too.
See if the exchange you’re using undergoes Evidence of Reserves audits.
ICYMI: Kraken is dedicated to regular audits – helping you to verify the balances you possess on the exchange are supported by real assets
Don’t trust, verify balance now ⤵️
https://t.co/sI0TkgLTHq— Kraken Exchange (@krakenfx) November 8, 2022
With proof-of-reserves, a completely independent audit is carried out by a 3rd party to check on a custodian’s assets are held as claimed.
The marketplace turbulence was triggered by FTX founder and Chief executive officer Mike Bankman-Fried’s November. 8 announcement of the “agreement on the proper transaction” with Binance, which aims to get FTX after its decision to liquidate 23 million FTX Token (FTT), triggering a liquidity crisis at FTX. Some have compared the offer to some “chess move,” insinuating that Binance intentionally and strategically acted in a manner that brought towards the deal.
The number of tweets triggered a sell-from FTX Token that led to its cost breaking below its support. The sell-off ongoing, and also the token is lower over 76% previously 24 hrs, buying and selling at $5.09 by publication time.
Hrs following the deal, Binance Chief executive officer Changpeng Zhao also noted on Twitter the exchange would begin using proof-of-reserves soon, adding that “banks operate on fractional reserves. Crypto exchanges shouldn’t.”
