{"id":17711,"date":"2025-06-25T11:37:09","date_gmt":"2025-06-25T15:37:09","guid":{"rendered":"https:\/\/joindeleteme.com\/?post_type=is-it-scam&#038;p=17711"},"modified":"2025-06-06T11:42:16","modified_gmt":"2025-06-06T15:42:16","slug":"is-coinbase-a-scam","status":"publish","type":"is-it-scam","link":"https:\/\/joindeleteme.com\/is-it-scam\/is-coinbase-a-scam\/","title":{"rendered":"Is Coinbase a Scam?"},"content":{"rendered":"\n<div class=\"wp-block-rank-math-toc-block\" id=\"rank-math-toc\"><h2>Table of Contents<\/h2><nav><ul><li><a href=\"#what-is-coinbase\">What Is Coinbase?<\/a><\/li><li><a href=\"#is-coinbase-a-scam\">Is Coinbase a Scam?<\/a><\/li><li><a href=\"#so-should-you-use-coinbase\">So, Should You Use Coinbase?<\/a><\/li><li><a href=\"#how-to-use-coinbase-safely-and-privately\">How to Use Coinbase Safely and Privately\u00a0<\/a><\/li><\/ul><\/nav><\/div>\n\n\n\n<p>If you\u2019re thinking of using Coinbase, you need to know: Is Coinbase a scam?&nbsp;<\/p>\n\n\n\n<p>Below, we explain whether Coinbase is a scam and discuss some steps you can take to improve your safety when using this platform.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"what-is-coinbase\">What Is Coinbase?<\/h2>\n\n\n\n<p>Coinbase is an exchange platform for cryptocurrencies and a public company.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"516\" src=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasewebsite_optimized-1024x516.png\" alt=\"Coinbase\" class=\"wp-image-17712\" srcset=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasewebsite_optimized-1024x516.png 1024w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasewebsite_optimized-300x151.png 300w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasewebsite_optimized-768x387.png 768w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasewebsite_optimized.png 1200w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>You can use Coinbase to buy, trade, sell, and store hundreds of cryptocurrencies, including Ethereum, Bitcoin, and many others.&nbsp;<\/p>\n\n\n\n<p>There are two ways for you to store your cryptocurrencies: in a custodial wallet (on Coinbase) or a non-custodial wallet app (you control the private keys, but you also have to manage security).<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"is-coinbase-a-scam\">Is Coinbase a Scam?<\/h2>\n\n\n\n<p>No, Coinbase is not a scam. It\u2019s a legitimate cryptocurrency exchange platform.&nbsp;<\/p>\n\n\n\n<p>Coinbase gets positive reviews from third-party publications and sites.<\/p>\n\n\n\n<p>For example, <a href=\"https:\/\/www.nerdwallet.com\/reviews\/investing\/brokers\/coinbase\" target=\"_blank\" rel=\"noreferrer noopener\">NerdWallet<\/a> gives Coinbase a rating of 4.6 out of 5.0 stars.\u00a0<\/p>\n\n\n\n<p>Some of the pros NerdWallet highlights include quick withdrawals and low minimum to fund your account. As for the cons, NerdWallet notes that Coinbase has higher fees compared to other similar exchanges and isn&#8217;t very transparent about its fees.<\/p>\n\n\n\n<p>Similarly, <a href=\"https:\/\/www.investopedia.com\/tech\/coinbase-what-it-and-how-do-you-use-it\/\" target=\"_blank\" rel=\"noreferrer noopener\">Investopedia<\/a> gives Coinbase a rating of 4.2 out of 5.0 stars. It lists poor customer service and Coinbase\u2019s default wallet as the cons.\u00a0<\/p>\n\n\n\n<p>User reviews on Coinbase are mainly positive:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>4.0 out of 5.0 stars (from 17,511 reviews) on <a href=\"https:\/\/uk.trustpilot.com\/review\/coinbase.com\" target=\"_blank\" rel=\"noreferrer noopener\">Trustpilot<\/a>.<\/li>\n\n\n\n<li>4.4 out of 5.0 stars (from 900k reviews and 50m+ downloads) on <a href=\"https:\/\/play.google.com\/store\/apps\/details?id=com.coinbase.android&amp;hl=en_GB\" target=\"_blank\" rel=\"noreferrer noopener\">Google Play<\/a>.<\/li>\n\n\n\n<li>3.5 out of 5.0 stars (from 1,263 reviews) on <a href=\"https:\/\/www.reviews.io\/company-reviews\/store\/coinbase\" target=\"_blank\" rel=\"noreferrer noopener\">REVIEWS.io<\/a>.<\/li>\n\n\n\n<li>4.7 out of 5.0 stars (from 1,762,975 reviews) on the <a href=\"https:\/\/apps.apple.com\/us\/app\/coinbase-buy-btc-eth-sol\/id886427730\" target=\"_blank\" rel=\"noreferrer noopener\">App Store<\/a>.\u00a0\u00a0\u00a0\u00a0<\/li>\n<\/ul>\n\n\n\n<p>On internet forums like Reddit, user reviews are mixed and lean more towards the negative.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.reddit.com\/r\/CoinBase\/comments\/18xddnp\/coinbase_review_scam\/\" target=\"_blank\" rel=\"noreferrer noopener\">Some users<\/a> report having issues with their account being under review and Coinbase\u2019s customer service being unhelpful.\u00a0<\/p>\n\n\n\n<p><a href=\"https:\/\/www.reddit.com\/r\/CoinBase\/comments\/1ae1cgm\/is_coinbase_still_a_good_choice\/\" target=\"_blank\" rel=\"noreferrer noopener\">One person<\/a> said: <em>\u201cCoinbase good until u have a problem. If you have a problem, it is the hardest thing in the world to solve it.\u201d<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"731\" height=\"124\" src=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasereddit.png\" alt=\"Reddit post about Coinbase \" class=\"wp-image-17713\" srcset=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasereddit.png 731w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasereddit-300x51.png 300w\" sizes=\"(max-width: 731px) 100vw, 731px\" \/><\/figure>\n\n\n\n<p>The <a href=\"https:\/\/www.reddit.com\/r\/CoinBase\/\" target=\"_blank\" rel=\"noreferrer noopener\">Coinbase subreddit<\/a> currently features a mix of user complaints, security concerns, and account access issues, with some posts generally discussing Coinbase&#8217;s services and crypto-related experiences.\u00a0<\/p>\n\n\n\n<p>Coinbase is <a href=\"https:\/\/www.bbb.org\/us\/ca\/san-francisco\/profile\/financial-services\/coinbase-inc-1116-454104\/customer-reviews\" target=\"_blank\" rel=\"noreferrer noopener\">not accredited by the Better Business Bureau (BBB)<\/a> and has a 1.08 out of 5.0-star rating on the BBB website.\u00a0<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Coinbase scams<\/h3>\n\n\n\n<p>As is the case with any major platform, criminals often impersonate Coinbase in their scams.<\/p>\n\n\n\n<p><a href=\"https:\/\/www.reddit.com\/r\/CoinBase\/comments\/1htym4r\/elaborate_phishing_scam_got_me\/\" target=\"_blank\" rel=\"noreferrer noopener\">One recent scam<\/a> involves a robocall from criminals saying there is suspicious activity on your Coinbase account.\u00a0<\/p>\n\n\n\n<p>If you interact with the call, you receive a call from a \u201cCoinbase agent\u201d who guides you through legitimate-looking steps, builds credibility, and convinces you to share sensitive information, including your wallet seed phrase. Your assets are then drained instantly.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" width=\"732\" height=\"791\" src=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasescam.png\" alt=\"Coinbase phishing scam\" class=\"wp-image-17714\" style=\"width:496px;height:auto\" srcset=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasescam.png 732w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbasescam-278x300.png 278w\" sizes=\"(max-width: 732px) 100vw, 732px\" \/><\/figure>\n\n\n\n<h3 class=\"wp-block-heading\">SEC investigations and lawsuits<\/h3>\n\n\n\n<p>The U.S. Securities and Exchange Commission (SEC) <a href=\"https:\/\/www.sec.gov\/newsroom\/press-releases\/2023-102\" target=\"_blank\" rel=\"noreferrer noopener\">investigated Coinbase<\/a> for alleged violations of federal securities law, including failing to register as a broker and offering unregistered securities through its staking-as-a-service program.\u00a0<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Security<\/h3>\n\n\n\n<p>Coinbase has a page dedicated to <a href=\"https:\/\/www.coinbase.com\/en-gb\/security\" target=\"_blank\" rel=\"noreferrer noopener\">security<\/a>.<\/p>\n\n\n\n<p>Here, it states that the company is publicly traded and, as a result, publishes quarterly financial statements and is audited annually by an independent third party.&nbsp;<\/p>\n\n\n\n<p>It doesn\u2019t lend or take any action with your cryptocurrency assets without your permission.&nbsp;<\/p>\n\n\n\n<p>The platform provides mandatory 2-factor authentication, password protection, and multi-approval withdrawals in Coinbase Vault.<\/p>\n\n\n\n<p>Coinbase has a bug bounty program where anyone can report vulnerabilities they find.&nbsp;<\/p>\n\n\n\n<p>The company recently disclosed that criminals bribed overseas support agents to steal customer data, <a href=\"https:\/\/www.theregister.com\/2025\/05\/21\/coinbase_confirms_insider_breach_affects\/\" target=\"_blank\" rel=\"noreferrer noopener\">an incident<\/a> that affected nearly 70,000 accounts. Sensitive data stolen included names, addresses, phone numbers, emails, and partial government ID details. Passwords and private keys were not exposed.\u00a0<\/p>\n\n\n\n<p>A <a href=\"https:\/\/milberg.com\/news\/coinbase-data-breach-class-action-lawsuit\/\" target=\"_blank\" rel=\"noreferrer noopener\">class action complaint<\/a> has been filed in response.\u00a0<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Privacy&nbsp;<\/h3>\n\n\n\n<p>Coinbase explains the kind of data it collects, why, and with whom it shares it in its <a href=\"https:\/\/www.coinbase.com\/en-gb\/legal\/privacy\" target=\"_blank\" rel=\"noreferrer noopener\">privacy policy<\/a>.<\/p>\n\n\n\n<p>It collects information automatically, directly from you, and from third parties.&nbsp;<\/p>\n\n\n\n<p>The platform collects the following information:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Basic customer information, <\/strong>e.g., name, date of birth, address, nationality, gender, phone number, email address, and country of residence.<\/li>\n\n\n\n<li><strong>Supplemental identification information, e.g., <\/strong>utility bills, government-issued identity documents, Social Security numbers, etc.<\/li>\n\n\n\n<li><strong>Electronic Identification (\u201cEIDV\u201d) information,<\/strong> i.e., biometric information from photos or videos you share.\u00a0<\/li>\n\n\n\n<li><strong>Institutional information,<\/strong> if you\u2019re an institutional Customer.<\/li>\n\n\n\n<li><strong>Financial information,<\/strong> e.g., bank account number, payment card primary account number (&#8220;PAN&#8221;), tax identification number, etc.\u00a0<\/li>\n\n\n\n<li><strong>Wallet information,<\/strong> i.e., wallet address and details about integrations you select.<\/li>\n\n\n\n<li><strong>Preferences.\u00a0<\/strong><\/li>\n\n\n\n<li><strong>Transaction information, <\/strong>e.g., the name of the sender, the name of the recipient, the amount, etc.\u00a0<\/li>\n\n\n\n<li><strong>Additional information you submit,<\/strong> e.g., communications and referral information.\u00a0<\/li>\n\n\n\n<li><strong>App, browser, and device information.<\/strong>\u00a0<\/li>\n\n\n\n<li><strong>Product usage information,<\/strong> i.e., what you view or click on while on Coinbase, and diagnostic and troubleshooting information.\u00a0<\/li>\n\n\n\n<li><strong>Information from cookies and similar technologies.<\/strong><\/li>\n\n\n\n<li><strong>Information from affiliates and third parties, <\/strong>e.g., public database information, blockchain data, etc.\u00a0<\/li>\n<\/ul>\n\n\n\n<p>It uses this information to deliver its services, provide you with a secure and smooth experience, comply with laws, and prevent fraud.<\/p>\n\n\n\n<p>Coinbase may share your information with affiliates, linked third-party websites, TRUST (to comply with the Travel Rule), professional advisors, industry partners, authorities, regulators, and third-party service providers. It may also share your data in asset transfer or company acquisition.&nbsp;<\/p>\n\n\n\n<p>The platform retains your information as needed to provide you with its services.&nbsp;<\/p>\n\n\n\n<p>Depending on where you reside, you may be able to exercise your privacy rights, including the right to access, portability, and deletion.&nbsp;<\/p>\n\n\n\n<p><a href=\"https:\/\/tosdr.org\/en\/service\/1588\" target=\"_blank\" rel=\"noreferrer noopener\">Terms of Service; Didn\u2019t Read<\/a> (ToS;DR), a project that rates internet services\u2019 terms of service and privacy policies, gives Coinbase a \u201cGrade D.\u201d<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img loading=\"lazy\" decoding=\"async\" width=\"1004\" height=\"376\" src=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyrating.png\" alt=\"Coinbase Terms of Service; Didn't Read privacy evaluation (&quot;Grade D&quot;)\" class=\"wp-image-17715\" srcset=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyrating.png 1004w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyrating-300x112.png 300w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyrating-768x288.png 768w\" sizes=\"(max-width: 1004px) 100vw, 1004px\" \/><\/figure>\n\n\n\n<p>This means, <em>\u201cThe terms of service are very uneven, or there are some important issues that need your attention.\u201d<\/em><\/p>\n\n\n\n<p>Some of the issues flagged by ToS;DR include the following:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Coinbase shares your personal data with third parties that are not involved in its operation.<\/li>\n\n\n\n<li>Many different types of personal data are collected.<\/li>\n\n\n\n<li>Your personal data may be used for marketing purposes.<\/li>\n\n\n\n<li>Your account can be deleted without prior notice and without a reason.<\/li>\n\n\n\n<li>This service reserves the right to disclose your personal information without notifying you.<\/li>\n<\/ul>\n\n\n\n<p>On the plus side, ToS;DR states that you can request access, correction, and\/or deletion of your data and your personal data is not sold.&nbsp;<\/p>\n\n\n\n<p><a href=\"https:\/\/privacy.commonsense.org\/evaluation\/Coinbase-Buy-Bitcoin--Ether\" target=\"_blank\" rel=\"noreferrer noopener\">The Common Sense Privacy Program<\/a>, which also rates internet services\u2019 privacy policies, gives Coinbase a \u201cWarning\u201d rating. This means Coinbase <em>\u201cDoes not meet our recommendations for privacy and security practices.\u201d<\/em><\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"175\" src=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyratingwarning-1024x175.png\" alt=\"The Common Sense Privacy Program evaluation of Coinbase (&quot;Warning&quot;)\" class=\"wp-image-17716\" srcset=\"https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyratingwarning-1024x175.png 1024w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyratingwarning-300x51.png 300w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyratingwarning-768x131.png 768w, https:\/\/joindeleteme.com\/wp-content\/uploads\/2025\/06\/coinbaseprivacyratingwarning.png 1036w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>The program notes the following as potential issues:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Coinbase shares personal information for third-party marketing.<\/li>\n\n\n\n<li>It displays personalized advertising.\u00a0<\/li>\n\n\n\n<li>Third parties collect data for their own purposes.<\/li>\n\n\n\n<li>User information is used to track and target advertisements on other third-party websites or services.<\/li>\n<\/ul>\n\n\n\n<p>It also says it\u2019s unclear whether Coinbase creates and uses data profiles for personalized ads and whether personal information is sold or rented to third parties.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"so-should-you-use-coinbase\">So, Should You Use Coinbase?<\/h2>\n\n\n\n<p>Probably. It\u2019s one of the biggest cryptocurrency exchanges in the world.&nbsp;<\/p>\n\n\n\n<p>However, keep in mind that Coinbase has higher fees than competitors and that there are reports of account lockouts and slow or unhelpful support.&nbsp;<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"how-to-use-coinbase-safely-and-privately\">How to Use Coinbase Safely and Privately&nbsp;<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Create strong passwords.<\/strong> Don\u2019t use passwords like \u201c12345\u201d or passwords that include your personal information (like your date of birth). Also, make them unique (i.e., don\u2019t reuse them elsewhere online).\u00a0<\/li>\n\n\n\n<li><strong>Choose your 2FA settings.<\/strong> 2-factor authentication is mandatory on Coinbase, but you can <a href=\"https:\/\/help.coinbase.com\/en\/coinbase\/getting-started\/getting-started-with-coinbase\/2-step-verification\" target=\"_blank\" rel=\"noreferrer noopener\">choose your 2FA settings<\/a>. Coinbase recommends choosing two security keys (using one key as primary and the other key as backup).<\/li>\n\n\n\n<li><strong>Monitor account activity. <\/strong>Periodically check for unknown login attempts to your Coinbase account in your account\u2019s security settings. If you notice anything suspicious, <a href=\"https:\/\/help.coinbase.com\/en\/coinbase\/privacy-and-security\/account-compromised\/my-account-was-compromised\" target=\"_blank\" rel=\"noreferrer noopener\">lock your account<\/a> immediately.<br><strong>Don\u2019t fall for phishing attempts. <\/strong>Coinbase scams are common. Always go to the official Coinbase website or app to log in, and never click on any suspicious links in emails or text messages. Similarly, don\u2019t share your personal information or 2FA codes or passwords with \u201cCoinbase support.\u201d<\/li>\n\n\n\n<li><strong>Keep only small amounts on Coinbase for trading. <\/strong>Use a hardware wallet for large holdings.\u00a0<\/li>\n\n\n\n<li><strong>Limit how much personal information you share. <\/strong>Only provide the required details.\u00a0<\/li>\n\n\n\n<li><strong>Use a separate email for Coinbase. <\/strong>This can help keep your account more secure.<\/li>\n\n\n\n<li><strong>Use separate wallets. <\/strong>For better privacy, transfer funds from Coinbase to a non-custodial wallet.<\/li>\n\n\n\n<li><strong>Don\u2019t reuse wallet addresses.<\/strong> Use a new wallet address each time when receiving crypto to reduce traceability.<\/li>\n\n\n\n<li><strong>Stay informed. <\/strong>Follow Coinbase&#8217;s official blog and security alerts and consider joining <a href=\"https:\/\/www.reddit.com\/r\/CoinBase\/\" target=\"_blank\" rel=\"noreferrer noopener\">r\/Coinbase<\/a> to stay on top of user-reported scams or outages.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Our guide to whether Coinbase is a scam.<\/p>\n","protected":false},"author":14,"featured_media":17712,"template":"","meta":{"_acf_changed":false},"class_list":["post-17711","is-it-scam","type-is-it-scam","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/joindeleteme.com\/wp-json\/wp\/v2\/is-it-scam\/17711","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/joindeleteme.com\/wp-json\/wp\/v2\/is-it-scam"}],"about":[{"href":"https:\/\/joindeleteme.com\/wp-json\/wp\/v2\/types\/is-it-scam"}],"author":[{"embeddable":true,"href":"https:\/\/joindeleteme.com\/wp-json\/wp\/v2\/users\/14"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/joindeleteme.com\/wp-json\/wp\/v2\/media\/17712"}],"wp:attachment":[{"href":"https:\/\/joindeleteme.com\/wp-json\/wp\/v2\/media?parent=17711"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}