COINBASE Bugs Allow Georgian Users To Cash Out 100x Value | Crypto Wallet Glitch

On August 30th, Coinbase suffered a glitch that allowed users in Georgia to withdraw their crypto holdings at a valuation 100 times the indented market price. One United States Dollar (USD) was valued at 290 Georgian Lari (GEL), apparently due to an error caused by a third party, while the intended exchange rate at the time was $1 = 2.9 GEL.

Shortly after noticing the glitch, hundreds of members of the Georgian cryptocurrency community withdrew their funds at inflated rates. Some were quick enough to liquidate assets for cash. However, shortly after these funds were withdrawn from Coinbase, Georgian users who used Georgian banks for liquidation received notices from their respective financial institutions about the freezing of their bank accounts.