As the world’s largest cryptocurrency exchange, Coinbase is often held up as a model for the industry. In addition to being one of the most popular exchanges, Coinbase is also one of the most trusted, thanks in part to its insurance policies. But does Coinbase really insure your crypto?
The short answer is yes, Coinbase does insure your crypto. The exchange maintains insurance policies with leading insurers that protect against loss of digital assets due to hacking, theft, and other events.
So if your crypto is stolen from Coinbase, you should be able to get compensated by the exchange’s insurance policy.
However, it’s important to note that not all events are covered by Coinbase’s insurance policy. For example, if you lose your crypto because you forgot your password or made a mistake when sending it to another wallet, you will not be compensated by the exchange.
Similarly, if you are affected by a hack or theft that occurred outside of Coinbase (e.g., on another exchange or wallet), you will also not be eligible for compensation.
In sum, Coinbase does insure your crypto against certain risks, but it’s important to understand the limitations of this coverage before relying on it.