Does Coinbase have FDIC protection for customer funds?

3 answers

• May 08, 2022 · 3 years ago
  Yes, Coinbase does provide FDIC protection for customer funds. However, it's important to note that this protection only applies to the USD funds held in your Coinbase account, not the digital assets like Bitcoin or Ethereum. The FDIC insurance covers up to $250,000 per customer, in case of bank failure. So, if you have USD funds in your Coinbase account, they are protected up to $250,000 by the FDIC.
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• May 08, 2022 · 3 years ago
  No, Coinbase does not have FDIC protection for customer funds. The FDIC insurance is specifically for traditional bank accounts and does not cover digital assets like Bitcoin or Ethereum. It's important to understand that investing in cryptocurrencies carries certain risks, and it's always recommended to do your own research and take necessary precautions to protect your funds.
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• May 08, 2022 · 3 years ago
  While Coinbase itself does not have FDIC protection for customer funds, it's worth mentioning that they do hold a significant portion of customer funds in cold storage, which provides an added layer of security. Cold storage refers to storing digital assets offline, away from internet access, making it less susceptible to hacking or cyber attacks. This is an important security measure taken by Coinbase to protect customer funds.
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