According to Glassnode, a blockchain analytics company, Coinbase currently holds a massive amount of Bitcoin (BTC), accounting for about 4% of the cryptocurrency in circulation.
Vast Holdings
Coinbase’s custody service manages approximately 839,000 BTC, divided between its exchange and custody entities:
- Coinbase Exchange: 270,000 BTC
- Coinbase Custody: 569,000 BTC
Surge in Deposits
Coinbase saw a significant increase in Bitcoin deposits after the approval of spot Bitcoin ETFs in the US earlier this year. However, a large portion of these deposits came from outflows from the Grayscale Bitcoin Trust (GBTC).
Surveillance Partner
Coinbase serves as the custody partner for eight spot Bitcoin ETFs and has surveillance-sharing agreements with some issuers. These agreements allow for the sharing of trading data to prevent fraud and market manipulation.
