Reduced owed balances

[Steve Sokolowski]

For the past few weeks, we've been watching as the amount of zero-liability money owed to customers has grown. Most of this money is owed to a few large customers who have either:

• Failed to submit 1099-MISC or W8-BEN data
• Failed to enter payout addresses to claim free money owed to them from a fork
• Revoked authorization from Coinbase or closed their accounts before money could be transferred to their Coinbase accounts

All of these are easily fixable problems and can be resolved by following the directions in the red warning text at the top of the "Settings" page that is visible for affected customers.

Unfortunately, many of these customers have not taken action despite these notifications, and thousands of litecoins collected in our wallets. Therefore, we took $100,000, moved it, and wrote the key down on two pieces of paper. Since the money is no longer accessible by the system, the "payout coins owed" now shows $100,000 less than is actually owed in total.

If you are owed money due to one of these messages, you can still claim it by correcting the errors. If we run low on money to pay you, then we'll need to go to one of the locations where the papers are. There is likely to be a delay, and we apologize for that.