Coinbase, one of the leading cryptocurrency exchanges in the United States, is struggling with a „system-wide failure” that has made its services unavailable to users on both desktop and mobile platforms.
The exchange officially announced the outage on its website, warning users of a „major outage” that began at 4:15 a.m. UTC on May 14. As a result, an error message „Service 503 temporarily unavailable” is displayed when trying to visit the Coinbase site.
„Coinbase is experiencing a system-wide failure. We are investigating the problem. Your funds are safe,” reads a message on the status page.
Coinbase may be experiencing an overload
According to Mozilla ’s developer’s guide, this error message usually indicates that the servers are undergoing maintenance or are overloaded. Coinbase support via social media confirmed the problem and assured users that they are actively investigating it and working on a solution.
This is not the first time Coinbase has faced temporary outages. on February 28, like several other exchanges, Coinbase experienced service disruptions due to a surge in cryptocurrency trading activity .
While such outages are undoubtedly frustrating for users, some in the cryptocurrency community are using these incidents to fuel a bullish narrative, suggesting that the increased activity causing the outages ultimately benefits the market price.
While the duration of the outage and the cause have not been specified by Coinbase, the company is expected to provide updates as it works to resolve the issue and restore full functionality to its platform.
KBW raises Coinbase’s target price to $230
Last month, investment banking firm KBW praised Coinbase for offering investors a unique opportunity to capitalize on the long-term growth potential of the crypto economy and raised its target price for COIN to $230.
In a research analysis, KBW raised Coinbase’s target price from $160 to $230, while maintaining its market performance rating. Meanwhile, Coinbase has also faced serious regulatory issues.
Last month, Judge Katherine Polk Failla of the U.S. District Court for the Southern District of New York ruled that the SEC’s lawsuit against Coinbase could proceed.
The decision came after Coinbase filed a motion to dismiss the SEC’s case, which borders on allegations that the exchange is operating as an unregistered securities exchange, broker and clearing agency.
In her ruling, Judge Failla stated that the SEC’s lawsuit against Coinbase was based on „credible” grounds.
„The Court finds that the SEC has sufficiently established its position that Coinbase acts as an exchange, broker and clearing agency under the federal securities laws and, through its staking program, engages in the unregistered offer and sale of securities,” – The court document reads.
Kathryn Haun, a former deputy U.S. attorney and partner at Andreesen-Horowitz, has stepped down from Coinbase’s board.
