Coinbase · Coinbase User Agreement

Limitation of Liability

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What it is

To the maximum extent permitted by law, Coinbase, its affiliates, and their respective shareholders, members, directors, officers, employees, attorneys, agents, representatives, suppliers or contractors will not be liable for: any lost profits, diminution in value or business opportunity, any loss, damage, corruption or breach of data or any other intangible property, any damages related to your access to, use of, or alleged inability to access or use the Coinbase Services. In no event will Coinbase's aggregate liability exceed $100.

Why it matters

A $100 liability cap on a platform where users may hold tens of thousands of dollars in cryptocurrency is extraordinarily low and means Coinbase bears almost no financial responsibility for losses you suffer due to their errors, outages, or security failures.

Consumer impact

Coinbase's User Agreement gives the company broad unilateral powers to suspend accounts, freeze funds, and reverse transactions with limited notice, directly affecting your access to your money and cryptocurrency. In the event of Coinbase's insolvency, cryptocurrency held in your Coinbase account may be treated as Coinbase's property under bankruptcy law, leaving you as an unsecured creditor rather than the outright owner of your assets. You can withdraw your cryptocurrency to a self-custodied hardware or software wallet to avoid platform insolvency risk, and you can opt out of mandatory arbitration by sending written notice to Coinbase within 30 days of first accepting the agreement.

Applicable agencies

  • FTC
    The FTC can investigate whether a $100 liability cap in a consumer financial platform context constitutes an unfair or deceptive practice under Section 5 of the FTC Act.
    File a complaint →
  • CFPB
    The CFPB has UDAAP authority to challenge liability limitations that effectively eliminate consumer remedies in consumer financial products.
    File a complaint →

Provision details

Document information
Document
Coinbase User Agreement
Entity
Coinbase
Document last updated
March 24, 2026
Tracking information
First tracked
March 20, 2026
Last verified
April 4, 2026
Record ID
CA-P-002034
Document ID
CA-D-00047
Evidence Provenance
Source URL
Wayback Machine
SHA-256
28b08bdc2391062cc0b1b467b0c8cfeb1e19b51011dcce671448d97947da4585
Verified
✓ Snapshot stored   ✓ Change verified
How to Cite
ConductAtlas Policy Archive
Entity: Coinbase | Document: Coinbase User Agreement | Record: CA-P-002034
Captured: 2026-03-20 06:40:29 UTC | SHA-256: 28b08bdc2391062c…
URL: https://conductatlas.com/platform/coinbase/coinbase-user-agreement/limitation-of-liability/
Accessed: April 4, 2026
Classification
Severity
High
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