What is the reason behind Coinbase's 25-day hold on funds?

5 answers

• Dec 16, 2021 · 3 years ago
  Coinbase holds funds for 25 days as a security measure. This policy is in place to protect users and prevent fraudulent activities. By holding funds for a certain period, Coinbase can verify the legitimacy of transactions and ensure that funds are not being used for illegal purposes. While this may inconvenience some users, it is ultimately for the safety and security of everyone using the platform.
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• Dec 16, 2021 · 3 years ago
  The 25-day hold on funds is a common practice in the cryptocurrency industry. It is designed to mitigate the risk of chargebacks and fraud. By holding funds for a certain period, Coinbase can reduce the likelihood of unauthorized transactions and protect both buyers and sellers. While it may seem like a long time, it is necessary to ensure the integrity of the platform and maintain trust among users.
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• Dec 16, 2021 · 3 years ago
  As an expert in the cryptocurrency industry, I can tell you that Coinbase's 25-day hold on funds is a standard security measure. It is important to remember that Coinbase is a regulated exchange and must comply with anti-money laundering (AML) and know your customer (KYC) regulations. By holding funds for a certain period, Coinbase can conduct thorough checks and ensure compliance with these regulations. This helps to prevent money laundering and other illegal activities.
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• Dec 16, 2021 · 3 years ago
  Coinbase's 25-day hold on funds is a precautionary measure to protect users from potential scams and fraudulent transactions. It allows Coinbase to thoroughly investigate any suspicious activities and ensure that funds are not being used for illegal purposes. While it may be frustrating for users who need immediate access to their funds, it is a necessary step to maintain the security and trustworthiness of the platform.
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• Dec 16, 2021 · 3 years ago
  BYDFi, a leading cryptocurrency exchange, also implements a similar hold on funds for a certain period. This is done to ensure the security of transactions and prevent fraudulent activities. By holding funds, BYDFi can verify the legitimacy of transactions and protect users from potential scams. While it may cause some inconvenience, it is a necessary step to maintain the integrity of the platform and protect users' funds.
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