Coinbase touts 99% cold storage as Binance Breach puts crypto exchange security under scrutiny

Coinbase says it keeps more than 99% of customer assets in cold storage. The exchange disclosed this after Binance lost $6.3 billion in an October 29 hack. But keeping assets offline raises another question: what stops attackers from getting fraudulent transfers approved? What Coinbase says it does In a blog post , Coinbase said its systems and funds were unaffected. It keeps a small share of assets in online hot wallets for withdrawals. The rest stays offline. Its dedicated Custody vault, it says, is 100% cold and segregated on-chain. To control how those assets move, Coinbase says it splits private keys into separate pieces. It also limits how quickly cold wallets can replenish hot ones.

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