Coinbase possesses $25 billion in Bitcoin, but the exchange only has about $200 million of the cryptocurrency in its wallets.
Recently, blockchain intelligence platform Arkham discovered that cryptocurrency firm Coinbase had approximately 1 million Bitcoin stored in its wallets. At the current BTC market values, the coins are worth almost $25 billion.
According to Arkham, the exchange holds close to 5% of all Bitcoin in circulation. According to Arkham, Coinbase currently has 947,755 BTC in its possession. Approximately 19,493,537 bitcoins are currently in circulation. Additionally, Arkham stated that it had tagged and identified 36 million Bitcoin deposit and holding addresses used by the exchange.
The largest cold wallet on Coinbase, according to Arkham, can hold about 10,000 BTC. The spy agency believes that Coinbase has more Bitcoin that are unlabeled and untraceable based on the exchange’s financial records. Despite having approximately $25 billion worth of Bitcoin in its wallets, Coinbase only owns about 10,000 of them, or about $200 million.
People in the neighbourhood responded differently to the information about how much Bitcoin the centralised exchange has. Some warn holders not to wait until exchanges start to restrict withdrawals, believing it to be a sign to remove their BTC from exchanges.
Others claim that there is no good way to store their funds because there are real concerns about cold wallets.
Business intelligence company MicroStrategy continues to hold the lead in terms of the percentage of Bitcoins owned by businesses. In earnings reports published on August 1, the company’s co-founder Michael Saylor stated that the company currently holds 152,800 BTC, which are valued over $4 billion.