Announcing: Crypto held in cold storage with Coinbase Custody
Today is a big day. We’re excited to announce that our customers' crypto will now be held in cold storage with Coinbase Custody!
The idea behind this custody arrangement is simple: you should always have a claim to your crypto. This change ensures that your digital currency is held in an account that’s owned by you and that’s stored by one of the largest crypto custodians in the world.
- At minimum, 80% of all customer-owned digital currency on Shakepay is held in cold storage with Coinbase Custody Trust Company, LLC, a US qualified custodian.
As a measure of good practice, that figure is usually over 90%.
- Customer-owned digital currency stored by Coinbase Custody will be held in For Benefit Of (FBO) accounts, owned by you, which means you have the legal and rightful claim to these assets. FBO accounts are a type of sub-account which have become best practice in the financial industry for segregating customer funds.
- These assets will be covered by Coinbase Custody’s insurance policy (read more in the Coinbase FAQ).
As a Shakepay customer, you won’t notice any changes to your account and you’ll be able to buy, sell, and transfer your crypto like you normally would.
We’ve taken a big step, with a top-tier custodian like Coinbase Custody, to safeguard your digital currency. Big steps like this push the entire industry forward.