Coinbase presently holds approximately 4% of the circulating Bitcoin (BTC), as reported by blockchain analytics platform Glassnode. According to Glassnode, this leading US crypto exchange is in custody of about 839,000 BTC.

The vast holdings of Coinbase encompass a significant portion of both total exchange balances and US spot exchange-traded funds (ETF) balances through its custody service. Specifically, Coinbase Exchange and Coinbase Custody currently secure an estimated 270,000 BTC and 569,000 BTC respectively.

Bitcoin, valued at $65,085 at the time of this writing, commands a market capitalization of $1.285 trillion. Glassnode notes that following the approval of spot Bitcoin ETFs in the US earlier this year, Coinbase saw a substantial increase in Bitcoin deposits. However, a notable portion of these deposits can be traced to outflows from the Grayscale Bitcoin Trust (GBTC) address cluster, a persistent source of supply pressure throughout the year.

Upon the approval of spot Bitcoin ETFs, Coinbase was selected as the custody partner for eight of these exchange-traded products. Additionally, Coinbase serves as a surveillance-sharing partner for certain issuers of spot Bitcoin ETFs. In July 2023, investment manager Valkyrie entered into a surveillance-sharing agreement with Coinbase. Such agreements involve the exchange of trading data, order book details, and other market information to monitor trading activities and mitigate fraud and market manipulation.

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