Coinbase is one of the largest cryptocurrency exchanges in the world that is also a public listed enterprise. However, recently the company administration has been getting lash back from netizens on account of its controversial and impartial policies. Keeping up with the bad press expectations, Coinbase has recently revealed major bad news for its users in Japan, Singapore, and Canada.
The announcement informs the users from the designated countries that the platform will ask for supplementary details related to their financial transaction history. The platform further added that all cryptocurrency transactions made to transfer funds from Coinbase to another crypto exchange are now liable for reporting.
Latest Coinbase’s Notification Receives Backlash from Users
Coinbase might be walking the same path of exclusivity as Apple Inc. The company is introducing strict reporting criteria for its users hailing from Japan, Canada, and Singapore, which is likely to cause a major drop in its international user base. The exchange recently sent a notification to the users in the aforementioned countries to provide additional information.
Meanwhile, the information crackdown on the citizens of Canada is strictest. Any transaction greater than 1,000 CAD also requires the Canadian Coinbase user to submit additional information about the third-party recipient of the payment. The same restriction is not in place for citizens of Japan or Singapore. Without any delay, the Twitter crypto community has labeled the step as an authoritarian measure. Following the bias of Coinbase toward Russian and Canadian users, some community members fear that the exchange can impose the same restrictions on US users at any time in the future.
The citizens of these three designated countries would need to submit details about other wallets if they decided to transfer their funds or make cross-exchange payments. The users in Canada will need to send the details of the recipient of the payment to Coinbase in addition to the residential information of the payment receiver.
Singapore Coinbase users need to submit only the full name of the receiver and state the country where the user hails from. The Coinbase clients in Japan are instructed to share the name, address, and wallet credentials of the recipient. The only case where the users are not required to provide any details with Coinbase is when the recipient is also a Coinbase user, and the management can automatically access their information.