How does Coinbase manage the assets under custody?

3 answers

• R PMay 04, 2022 · 3 years ago
  Coinbase employs a multi-layered security approach to manage the assets under its custody. This includes offline cold storage, where the majority of funds are kept in secure, offline wallets that are not accessible to hackers. Additionally, Coinbase implements strict access controls, encryption, and regular security audits to protect the assets from unauthorized access or theft. The platform also offers insurance coverage for the assets held in custody, providing an extra layer of protection for users.
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• Sukrit DobhalSep 15, 2021 · 4 years ago
  When it comes to managing assets under custody, Coinbase takes security very seriously. They use a combination of hot and cold wallets, with the majority of funds stored in cold wallets that are not connected to the internet. This ensures that even if there is a breach in the hot wallet, the majority of the assets remain secure. Coinbase also implements strict security protocols, such as multi-factor authentication and regular security audits, to safeguard the assets from potential threats. Overall, Coinbase's approach to asset custody prioritizes security and protection for its users.
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• jasminesmcleanra3Apr 05, 2023 · 2 years ago
  As a leading cryptocurrency exchange, Coinbase understands the importance of asset security. They have implemented industry-leading security measures to protect the assets under their custody. Coinbase uses a combination of offline cold storage and hot wallets to store and manage the assets. The majority of funds are kept in cold storage, which is not connected to the internet and therefore less susceptible to hacking attempts. Coinbase also employs advanced encryption techniques and regular security audits to ensure the integrity of the assets. Overall, Coinbase's asset custody practices prioritize security and provide peace of mind for users.
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