Is storing crypto on Coinbase safe?

Based on the features of hot wallets in the crypto space, Coinbase wallet stores the majority of the crypto coins online. It does not use cold storage services such as hardware wallets and an encrypted data device.

Cold storage (or offline wallets) is one of the safest methods for holding bitcoin , as these wallets are not accessible via the Internet, but hot wallets are still convenient for some users.

Coinbase takes extensive security measures to ensure your account and cryptocurrency investment remains as safe as possible , but ultimately, security is a shared responsibility. Here are some actionable steps that you can take to help safeguard your investment and keep your account safe from unauthorized access.

Cold storage is often seen as even more secure than a traditional wallet. It involves storing bitcoins offline—that is, entirely separate from any Internet access. Keeping bitcoins offline substantially reduces the threat from hackers .