What are the reasons behind Coinbase setting a 0 limit?

3 answers

• Jan 12, 2022 · 3 years ago
  Coinbase sets a 0 limit for certain transactions as a security measure. By implementing this limit, Coinbase aims to protect its users from potential fraudulent activities and unauthorized transactions. This ensures that users have control over their funds and reduces the risk of financial loss.
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• Jan 12, 2022 · 3 years ago
  The 0 limit on Coinbase is also in place to comply with regulatory requirements. As a regulated cryptocurrency exchange, Coinbase must adhere to strict anti-money laundering (AML) and know-your-customer (KYC) regulations. Setting a 0 limit helps Coinbase fulfill its obligations and maintain a secure and compliant platform.
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• Jan 12, 2022 · 3 years ago
  In the case of BYDFi, a different approach is taken. BYDFi sets transaction limits based on user verification levels. This allows users to gradually increase their limits as they provide more information and complete the necessary verification steps. By implementing this tiered system, BYDFi aims to strike a balance between security and user convenience.
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