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In 2013, Bitcoin's market cap was less than a Billion, I think. And those Android wallets probably only held small amounts. But now that pension funds get into
by ArtTimeInvestor 3y ago
In 2013, Bitcoin's market cap was less than a Billion, I think. And those Android wallets probably only held small amounts.
But now that pension funds get into Bitcoin, one has to wonder what would happen if a giant like Coinbase turns out to be holding their funds in cold storage but with guessable keys.
- 3abiton 3y agoIt's crazy to to from a hobbyist niche commodity to a nearly gold reserve alternative.
- xiphias2 3y agoEven if those ,,small amounts'' were 5% of net worth of some people (which was not uncommon), the same small amount would consist of more than 99% of the net worth of the same people currently. As Android wallets were the easiest to use wallets and exchanges routinely robbed people, it mattered a lot even back then. While Coinbase has a quite good protocol for securing keys, what's scary to me is that so many ETFs are trusting it to be the only key holder instead of using multi-signature wallets between multiple entities (like Fidelity and Unchained capital as the other 2).
- ArtTimeInvestor 3y agoIs it documented, how the individual ETFs are holding their assets? I know they state that they do it via a custodian and name it like "Coinbase", but is that really all? All they got is an IOU from Coinbase? Maybe they have more specific setups?