Why does Coinbase hold my money?

Coinbase implements a holding period for newly deposited funds, ranging from 7 to 10 days. This measure is taken to safeguard against potential fraudulent activities and ensure the security of user funds.

Besides the standard holding period, there are other factors that can lead to Coinbase retaining funds. One such factor is the margin maintenance requirements, which stipulate the minimum amount of funds that must be maintained in an account to support open margin positions.

Another reason for funds being held by Coinbase is the presence of excess open orders. When there are too many open orders, Coinbase may decide to hold onto some funds to cover potential liabilities arising from these orders.

Users can take certain steps to potentially avoid the holding period imposed by Coinbase. One effective strategy is to maintain a balance of funds in their Coinbase account. This can demonstrate a history of responsible trading and may reduce the likelihood of funds being held.

Additionally, actively tracking one's trades and open positions can also help in avoiding the holding period. By staying informed about the status of their trades and positions, users can make timely adjustments and prevent any unforeseen circumstances that might lead to funds being retained by Coinbase.