Coinbase Takes Meaningful Steps Towards Improving Operations

Despite preparing for an upcoming IPO, Coinbase has remained busy as of late. One of the world’s largest digital asset exchanges has not only invested in promising starters, but has also taken vital steps toward improving its own operations and infrastructure. The following are several examples of the progress being made in recent days by Coinbase.

Bison Trails Acquired by Coinbase

About a year ago, Bison Trails capped a hugely successful Series A that saw the company raise $ 25.5 million USD. Highlighting this rise was participation from companies like Coinbase Ventures, Galaxy Digital, and more. This is notable as it was announced a year later that Coinbase was acquiring Bison Trails.

Between its initial investment in Bison Trails, and its close working relationship in the time since, this acquisition is no surprise. Going forward, Coinbase will now benefit further from the expertise in blockchain infrastructure and network interoperability, brought by Bison Trails.

Financial Rain

While Bison Trails received an investment from Coinbase Ventures a year ago, another company is walking the same path today. Rain Financial, a digital asset service provider, is licensed by the Central Bank of Bahrain publishing completed a $ 6 million USD capital raise, led by Coinbase.

Rain Financial, which provides clients in 50 countries with access to digital asset trading and custodial solutions, has previously raised funding from investors like BitMex, up to $ 2.5 million USD.

Internal Upgrade

For years now, Coinbase has famously struggled with its platform during periods of high activity. This is clearly evident in the company’s exchange crashing at the most inappropriate times, with the issue re-emerging several times recently. This has prompted Coinbase to announce recently that it would restructure parts of its infrastructure in a bid to alleviate this lingering problem.

“… Extended and severe downtime during some of the most critical moments for our users is unacceptable, and we are following several routes to increase the availability of our services in preparation for increased load and potential (unknown) failure modes of our infrastructure in the future.”

One path that the company sets out to consider is to silo various services within its platform, rather than relying on a ‘monolithic application’. Coinbase notes that this will allow it to use unique, application-based scaling profiles, as well as to better isolate issues when they occur.

Interestingly, a Thai exchange called Bitkub was recently ordered to temporarily shut down its operations due to experiencing issues similar to those of Coinbase. An order is enforced until its platform infrastructure is upgraded. This order was lifted by SEC Thailand, as it works to protect investors from failing to access holdings during cyclical cuts. While the SEC in the US is unlikely to imitate such actions, the above orders for Bitkub to shut down should be a wake-up call to swap sector exploiting exchanges, without providing world-class services .


Founded in 2012, Coinbase is based out of Seattle, Washington. Since its launch, the team at Coinbase has developed a variety of offerings, expanding its digital asset exchange

The CEO, Brian Armstrong, currently oversees company operations.