Crypto exchanges were down due to an increased number of new user sign-ups and transfers.
An American cryptocurrency exchange, Coinbase, and San Francisco-based crypto exchange and bank, Kraken, have reportedly experienced connectivity issues.
On November 8th, several crypto exchange customers used Twitter to share that they experienced some problems with Coinbase and Kraken, with one user tweeting:
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Reacting to customer issues, Coinbase Support shared a tweet claiming that Coinbase.com, Coinbase Pro, and Coinbase Prime are experiencing network connectivity issues. The company claimed that it has “all hands on deck” and will fix problems as soon as possible.
Coinbase highlighted that users may experience issues while signing in to the platform or “slow loading across web and the mobile app.”
After a few hours of the initial tweet, Coinbase announced that the issue was solved. According to Coinbase, investors experienced connectivity issues due to “the high level of new user sign-ups and transfers to Coinbase.”
It appeared that San Francisco-based crypto exchange Kraken users experienced similar issues. In a now-deleted Kraken support message, the company noted that some users are experiencing difficulties logging in through the website or mobile application.
After some time, Kraken team shared an updated message, claiming that connectivity problems were solved.
One can assume that Coinbase and Kraken experienced major movement due to the news that Binance is acquiring crypto exchange FTX. Prior to the announcement of the acquisition, Binance’s CEO revealed that Binance is planning to liquidate all of its FTX native token, FTT, holdings.
The move triggered a liquidity crisis in FTX. Many investors started actively transferring their crypto holdings from FTX to other exchanges. Based on the data shared by blockchain analyst PeckShield, on November 7th, investors moved around $128,2M worth of crypto from FTX.
