Is my crypto insured?
Coinbase carries crime insurance that protects a portion of digital assets held across our storage systems against losses from theft, including cybersecurity breaches. However, Coinbase users are not party to this insurance and our policy does not cover any losses resulting from unauthorized access to your personal Coinbase or Coinbase Pro account(s) due to a breach or loss of your credentials. It is your responsibility to use a strong password and maintain control of all login credentials you use to access Coinbase and Coinbase Pro. Digital currency is not legal tender and is not backed by the government. Coinbase is not an authorised deposit taking institution (“ADI”) regulated by the Australian Prudential Regulation Authority (“APRA”), and any digital currency is not insured or guaranteed by the Australian Government Financial Claims Scheme (“FCS”), and may lose value. In case of a covered security event, we will endeavor to make you whole; however, total losses may exceed insurance recoveries so funds may still be at risk.
Is my cash insured?
Coinbase holds all cash balances, such as Australian Dollars, stored as a balance in your Coinbase or Coinbase Pro account in designated client money accounts (i.e. custodial accounts) with authorised deposit taking institutions (“ADIs”), banks or other duly licensed financial institutions (“Institutions”). Coinbase customers are not entitled to protection under the Financial Claims Scheme (“FCS”) for any customer funds held with such Institutions. All custodial pooled amounts are held separate from Coinbase funds, and Coinbase will neither use these funds for its operating expenses or any other corporate purposes.
Coinbase is not an APRA-regulated ADI. Your fiat wallet is not a deposit, transaction, cash management or investment account, meaning that any cash balances you hold with Coinbase are not insured, protected or covered by any guarantee, including (but not limited to) the FCS.
[as of June, 2023]