It is rather evident there are many things going on in the world of Bitcoin and altcoins. Whereas some of the most recent developments focus on the price some key infrastructure seems to be struggling. Coinbase, by many perceived as the major exchange in the world, has been difficult to reach by users for the second time in under a week.
What is Going on at Coinbase?
It is rather uncommon to see one of the world’s biggest cryptocurrency trading platforms struggle to remain offline several times in a few days time. While things like these can occur at any given time and to any given company, it is not something most users will be happy with. That is only to be expected, primarily when this situation affects a cryptocurrency trading platform called Coinbase.
To this date, it is hard to pinpoint the exact root of the cause. The company has mentioned its DDoS protection service provider CloudFlare is acting up a bit. That would not be the first time in this industry either. Most companies around the world use CloudFlare for this particular level or protection. However, in the crypto world, various services have been disrupted slightly because of this company over the past few years.
As this situation trucks along, it remains to be seen how such an incident can be resolved or even prevented in the future. No one can effectively blame Coinbase for problems which aren’t caused by the company or its staff. However, the users will frown upon the company regardless, as it is their service which cannot be accessed.
It seems rather unlikely the Coinbase user base will flock to alternative exchanges in the near future. That is, assuming these outages do not continue to pile up as the weeks and months progress. An unstable cryptocurrency exchange is not fun to use for anyone, and it can also have a troublesome effect on the prices of the supported currencies as well.
For the cryptocurrency industry as a whole, outages like these highlight the need for decentralized services. Especially when it comes to trading the various cryptocurrencies, there is not much point in using centralized services other than because of the convenience provided. However, these companies are fully in control over user funds, which can create trust issues if the service is interrupted along the way.
If a third outage were to occur, it is certainly possible the Bitcoin price will take another nosedive. After all, this tends to happen if one of the major trading platforms either goes in maintenance mode or has some sort of minor issues which may or may not be the company’s fault. As such, the coming hours may prove rather crucial to keep an eye on.
Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency or digital currency.