Coinbase, a major cryptocurrency exchange, has had technical issueson its exchange with its payment system the last few months. Users flocked to social media sites, such as Reddit, to discuss their confusion as to why some users were charged multiple times for transactions.
While some users faced minor charges of roughly couple hundred dollars, some users were hit with duplicate charges of up to 50 times, totaling over tens of thousands of dollars. Users have been charged more than their account balance or maxing out their credit cards.
Coinbase then released a blog post on Tuesday regarding the issue. The exchange said that all affected customers will be refunded in full for the damages. All purchases that processed between January 22, 2018 and February 11, 2018 will be refunded and reprocessed.
“We deeply apologize for any frustration this may cause. We are actively working with banks, processors and networks to improve the digital currency purchasing experience.” said Coinbase.
Coinbase then also tweeted out saying that the customers who experienced the technical errors was a result of Visa reversing and recharging transactions.
Last week, most financial institutions changed the Merchant Category Code (MCC) for Coinbase, which made all transactions classified as cash advances, meaning the user’s bank may charge a higher fee. The exchange claims that Visa is among card issuers that changed their code with affect Coinbase users.
Visa issued a statement, reported by CNET, shortly after Coinbase had accused the card issuer for the duplicate charges: "Visa has not made any systems changes that would result in the duplicate transactions that are being reported. We are also not aware of any other merchants who are experiencing this issue. We are reaching out to this merchant's acquiring financial institution to offer assistance and to ensure cardholders are protected from unauthorized transactions."
Regardless of which party is at fault, Visa and Coinbase say they will work together to figure out a solution to the issue.