An executive for the digital payment service of cryptocurrency exchange COINBASE has announced that it has made the tough call to remove native Bitcoin and other UTXO support on its Commerce platform.
Lauren Dowling, the product lead for Coinbase Commerce, stated that customers were facing operational challenges with the product.
Coinbase Commerce Stops Offering Native Bitcoin Payments
In a series of posts on X (formerly Twitter), Dowling emphasized that customers were facing significant challenges with Coinbase Commerce due to crypto volatility risk, manual effort required to resolve incorrect payments and limited asset support
Dowling clarified that to tackle these issues, the platform developed an on-chain payments protocol utilizing smart contracts and other tools to enable seamless off-chain commerce.
“In addressing these concerns, we saw an opportunity to build an open onchain payments protocol leveraging smart contracts and other EVM tools to enable seamless onchain commerce without the operational and financial burdens of the old system.”
However, Dowling notes that the exchange is constantly exploring other ways to bring payment solutions to customers, including the use of the Lightning Network
COIN rose 10% after JPMorgan upgraded the exchange’s stock to neutral. The bank’s expert sees potential for COIN, given its strong links to the sustained Bitcoin price momentum.
COIN’s price reached $180.31 USD before markets closed on February 16 for the weekend.
JPMorgan analyst Kenneth Worthington upgraded COIN to neutral from underweight as Bitcoin touched $52,400. Last month, Kenneth downgraded share prices to $80, indicating a potential 35% drop. At the time of publication, Bitcoin’s price is $52,014.
Meanwhile, Coinbase customers are advised to be cautious about clicking on any email links claiming to be from Coinbase. There is a likely chance that it could be a scam in an attempt to steal all their crypto.
The scheme is known as the Coinbase reset fraud. It involves crypto scammers gathering personal information from users to deceive them into resetting their Coinbase login credentials. BeInCrypto recently reported that these scammers deprived a victim of over 1,400 ETH, valued at an estimated $4 million.
