01 June 2022 Wednesday. 23:34:46 UTC
I purchased Bitcoin on Coinbase platform on May 10, 2022 for 3 transactions on my CreditCard/22,000 USD, for 0.70093063 BTC. On May 17, 2022, I swapped BTC-WBTC, transacted $21,394.93 USD at 8:55 AM, BTC/$30,523.61 at the time, on the Coinbase platform, does not have a transaction hash assigned from the Blockchain. My email confirmation said the transaction was an ex/rate @0.93456039 WBTC/BTC. Regardless of USD value of the coin, the whole point of WBTC is they are equal to BTC coin to coin. This is on Coinbase in their “Help” section, which states “The BTC that backs WBTC is transparently verifiable through a “proof of reserve” system that verifies the 1:1 backing between minted WBTC tokens and Bitcoin stored by custodians.” I began the transaction with 0.70093063 BTC ($21,394.93 USD) and received 0.64297007 WBTC ($19,649.69 USD). I received 0.05796056 WBTC less than required, standard of 1:1 ratio of coin for coin. The exchange rate, in the confirmation email sent by Coinbase, is WBTC/BTC ($30,560.82/$30,523.61) a rate 1.00121, a 1:1 ratio. I wanted to recover the missing amounts, and immediately traded it back from WBTC to BTC, and actually had a worse experience. When converting WBTC to BTC, it went from 0.64075374 WBTC to 0.581173 BTC which is a value of $17,739.49 USD. In 3 minutes, on an exchange where I am supposed to be exempt from incurring fees as a Coinbase One subscriber, an expectation of a coin for coin transaction, a calculated exchange rate of 1.00121, went from $21,000.00 USD-$17,739.49 USD, a loss of $3,665.43 USD. A total of $5,717.11 has been taken from my account, for 6 transactions. The solution is to calculate this at the correct rate, & refund my money. They have these listed as fees, for a CoinbaseOne subscriber, and exempt. Any way you see this, as a fee, an exchange rate, or coin for coin, Coinbase is coming up short.