Does Coinbase use cold storage?

Coinbase Wallet is a self-custody wallet . The private keys (that represent ownership of the crypto) are stored directly on your device and not within a centralized exchange like Coinbase.com.

Cold Storage and Crypto Vaults Coinbase and Coinbase Pro are two of the only exchanges that store 98% of crypto assets offline in secure cold storage (not on the internet) and away from the prying eyes of online hackers.

Coinbase uses the same “cold storage” approach it uses with its regular wallets . They store about 97 percent of their Bitcoin entirely offline in a geographically distributed set of vaults and safe deposit boxes.