Coinbase Expands Asset Recovery Tool to BNB Smart Chain and Polygon
Crypto exchange Coinbase has announced the expansion of its asset recovery tool to include BNB Smart Chain and Polygon. The tool, which was initially launched for Ethereum in December 2022, helps users recover unsupported tokens that were mistakenly sent to their Coinbase address. By expanding the tool to BNB Smart Chain and Polygon, Coinbase aims to make on-chain recovery easier for its users.
Recovering Tokens on BNB Smart Chain
BNB Smart Chain is not currently supported by Coinbase. However, some customers may accidentally send unsupported tokens on the chain to their Coinbase address, resulting in the loss of their funds. With the asset recovery tool, Coinbase can assist in recovering these tokens directly from inbound addresses to the Coinbase wallet or any other self-custodial wallet.
Expanding Support for Polygon
Coinbase already supports the Polygon chain and has now extended its asset recovery tool to allow customers to recover unsupported Polygon assets as well. Vignesh Muralidharan, a product manager at Coinbase, stated that Polygon support was introduced in December 2023 but coincides with the integration of BNB Smart Chain.
Coinbase’s Asset Recovery Tool Fees
The asset recovery tool developed by Coinbase is built in-house using proprietary technology. When using the tool, there is a 5% fee for recovering assets valued over $100. Additionally, a separate network fee applies to all recoveries. To initiate the recovery process, customers need to provide two details: the transaction ID for the lost transaction and the inbound Coinbase address where the asset was lost.
Since its launch in December 2022, the asset recovery tool has been successful in helping over 10,000 users recover more than $160 million worth of funds. However, it is important to note that the recovery tool is not currently available for Coinbase Prime or institutional customers.
Comparison with Binance
Unlike Coinbase, rival exchange Binance does not offer token recoveries. However, if a customer has experienced a significant loss due to incorrectly depositing unlisted tokens, Binance may choose to assist them in recovering those tokens at its discretion. It is important to note that the recovery process is not guaranteed and is solely dependent on Binance’s decision.
Coinbase’s asset recovery tool aims to address customer frustration caused by incorrect deposits and improve the overall customer experience. While these errors only make up a small fraction of total transfers, Coinbase recognizes the importance of providing an easier and more streamlined on-chain recovery process for its users.
Hot Take: Coinbase Expands Asset Recovery Tool to Support BNB Smart Chain and Polygon
Coinbase’s expansion of its asset recovery tool to include BNB Smart Chain and Polygon demonstrates the exchange’s commitment to improving user experience and addressing customer frustrations. By allowing users to recover unsupported tokens on these chains, Coinbase provides a valuable service that many other exchanges do not offer. This expansion further solidifies Coinbase as a user-friendly platform that prioritizes the security and convenience of its customers.
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