This isn’t true in the case of bankruptcy. Note that in early 2022, Coinbase updated it’s disclosures to include that customer coins could be used as collateral

This isn’t true in the case of bankruptcy. Note that in early 2022, Coinbase updated it’s disclosures to include that customer coins could be used as collateral to pay debts. That would leave customers as unsecured creditors (ie, stuck at the back of the bankruptcy line). https://finance.yahoo.com/news/coinbase-keep-customer-balances-event-103410414.html https://finance.yahoo.com/news/coinbase-keep-customer-balanc...