How are my digital assets 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, 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. Digital assets are not within scope of the jurisdiction of the UK Financial Ombudsman Service or the Irish Financial Services and Pensions Ombudsman, nor are they subject to protection under the UK Financial Services Compensation Scheme or the Irish Deposit Guarantee Scheme or the Irish Investor Compensation Scheme (or equivalent schemes in other jurisdictions). 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.
How are my cash balances held?
Cash balances, such as British Pounds, which customers store with Coinbase are held as E-Money in your Coinbase account(s). Our E-Money services are regulated by the UK Financial Conduct Authority (FCA) and E-Money in your Coinbase account(s) is issued by CB Payments Ltd which is an electronic money institution authorised and regulated by the FCA . E-Money is not subject to protection under the UK Financial Services Compensation Scheme or the Irish Deposit Guarantee Scheme or Irish Investor Compensation Scheme (or equivalent schemes in other jurisdictions).
[as of June 2023]