Cardano (ADA) Dumps as Coinbase Suspends Transactions

Coinbase CEO Refutes Rumors of Bankruptcy Amid Loss in Q1 2022

Since the tightened regulations from the Federal Reserve, the crypto market has crashed and thus users are facing many issues. Following this, Coinbase, a global crypto exchange is now facing some issues regarding Cardano transactions. Cardano’s price has been dipped to 15% within this week as Coinbase suspends ADA transactions. The major exchange platform has disabled ADA transactions since January 7th.

Currently, the team is working on an investigation for the past two days and seeking solutions. As per the update, users are not able to send and receive ADA from the Coinbase exchange. The platform has also updated the status of this issue on its website that the team is working on.

Is the Coinbase System Bugged?

Significantly, the new update of Cardano’s trezor-connect dependency might be the reason for this issue. This update may have caused problems in the Coinbase system resulting in issues in ADA transactions. Moreover, Coinbase has announced:

“The team worked on receiver address validation to prevent users from transferring ADA to rewards addresses, upgraded packages, and updated the Cardano-node and wallet backend versions.”

On the other hand, Coinbase has collected the funds and kept them safe even when ADA transactions are disabled. As a result of this issue, users are jumping to other exchanges from Coinbase for ADA transactions. At the time of writing, Cardano’s price was $1.12 while crypto experts are predicting that ADA will gain 20% soon. 

Furthermore, ADA performed well in the first week of the year before beginning to decline as a result of the market crackdown. Cardano has the potential to reach new heights this year, and the network is working on new development and enhancements. Consequently, the Coinbase team will devise a solution and resolve the issues sooner rather than allowing more users to switch to rival crypto exchanges.

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