This is a very interesting development, especially given Coinbase's reach and visibility. The unfortunate effect might be that people who have been so far stub

This is a very interesting development, especially given Coinbase's reach and visibility. The unfortunate effect might be that people who have been so far stubbornly HODLing their BTC themselves (self-custody) will be tempted to surrender their coins to the exchange in exchange of immediate liquidity thereby increasing the concentration of actual custody of BTC by the exchanges ... the very thing Bitcoin was designed to avoid. The temptation here is (at least on paper): you get to "keep" your Bitcoin while enjoying the benefit of them at the same time (betting. of course, that BTC will keep going up over time). Here's to hoping hodlers will resist the temptation.