Major institutions all across the globe are all holding bitcoin both directly and indirectly as the flagship cryptocurrency has posted massive gains over the past month. Even crypto businesses are starting to increase their stake in bitcoin and it has been recently revealed that popular crypto exchange Coinbase has been holding bitcoin and other crypto-assets as an investment on its balance sheet.
A blog post from the Crypto exchange operator Coinbase has shed light on the company’s crypto bags that it has been holding for since 2012. Brett Tejpaul, Coinbase’s head of institutional sales, trading, custody, and prime services, wrote in the blogpost:
“Since our founding in 2012, Coinbase has held bitcoin and other crypto assets on our balance sheet — and we plan to maintain an investment in crypto assets as we believe strongly in the long-term potential of the cryptoeconomy.”
While the Coinbase executive did not specify how much of the company’s funds are in digital assets, this appears to be the first time the trading platform has publicly disclosed its investment in bitcoin as part of its balance sheet, even though this is not a surprise coming from a company dealing with cryptocurrencies.
Throughout the past months, there have been several major investments from large institutions in bitcoin as part of their treasuries. According to data acquired from Bitcoin Treasuries, a total of $67 billion worth of bitcoin is being held on the balance sheets of all companies, including both crypto and non-crypto.
A gateway for industry leaders
Besides holding crypto, Coinbase has helped multiple publicly traded and private companies acquire bitcoin on their balance sheets, including the likes of Tesla and MicroStrategy. According to some sources familiar with the matter, Coinbase’s prime brokerage arm has more than five Fortune 500 companies as its clients.
Without disclosing any names Tejpaul added that Coinbase has executed “nine and ten figure trades for some of the largest institutions in the world.”
“Clients have selected us for our track record in security, sophisticated execution platform, 24/7/365 white glove service, and focus on regulatory compliance,” he added.
More details about Coinbase’s bitcoin investments could be acquired from the company’s Form S1, which it confidentially filed last year with the U.S. Securities and Exchange Commission to advance towards its goal of listing the company on Nasdaq.
The filing is set to be revealed in the coming weeks and could shed more light on Coinbase’s business.