Did they have a negative balance? Or is that speculation for the future? I didn't see that stated as a reason anywhere in their official blog post. If there wasn't an immediate danger, it still would be proper to give customers at least some notice before removing it.

They also should have sent a mass email to all customers regarding this major change. I looked at the USD withdrawal options and was absolutely puzzled. A blog, linked with a tiny link at the bottom of the page...is not the proper place to announce very major changes in service. At least email your customers. All major business institutions send notices to customers regarding changes in service. When your bank (and I am using this as an example because Tradehill at least acts like a "fund storage" service) changes rules on withdrawals or deposits, you receive an email with dates on when said policy goes into place...and also a postal letter in addition to that. They don't make a post on Twitter or some blog without using means listed above when they change their policies, do they?

Also, is Joel an official Tradehill employee? If this wasn't speculation regarding the negative balance, why does a non-employee have insider information regarding their situation with Dwolla?