Coinbase Glitch Made Temporary Crypto ‘Trillionaires’ on Paper
Cryptocurrency prices went berserk as Coinbase and CoinMarketCap showed tokens soaring higher than usual due to a glitch on their end. Crypto traders were puzzled with users in the exchange raving about their huge windfalls, with some showing billions and trillions in value.
The issue experienced by both parties has since been resolved. Coinbase, the largest crypto exchange in the US, said on Twitter that the error has not affected trading activities. The company also shared that it continues to investigate difficulties in trading and prices in Coinbase Wallet. CoinMarketCap.com also provided a statement but neither company explained what really went wrong.
“Our website is currently undergoing Price Issues. We are currently investigating and will update this status when we have more information,” the CoinMarketCap tweeted on Tuesday. The company also reiterated that it has not found any evidence to suggest the glitch was due to the actions of an external party.
Coinbase users shared screenshots of their gains on social media but the crypto exchange explained it was only a display error.
Rosario Ingargiola, founder of crypto clearing and settlement platform Bosonic, said disruptions and pricing errors may “create herd behavior to drive investment decisions.” Glitches in the system are not new in the crypto space with several crypto exchanges encountering problems processing large volumes of transactions.
CoinMarketCap made light of the situation on Twitter while other users shared their reactions upon seeing the abnormally high prices.
Reissa covers latest news for Revolution Crypto.