The founder and CEO of Coinbase, Brian Armstrong, tweeted some interesting data about his company yesterday.
This accumulation of ETH began less than three months ago when they remodeled their professional trading platform into GDAX. This is quite an accomplishment for the exchange. Because of the change, the door has been opened to support Ethereum as well as any other virtual currencies in the future. The 3.5 percent of ETH saved in cold storage only shows the amount of trust customers have for Coinbase.
On the other hand, there are a few who are uncomfortable with this fact. With the possibility of Ethereum switching to proof-of-stake, Coinbase would have the opportunity of gaining more through this protocol.
Few have disputed this claim saying the exchange does not have enough to control the chain. While everyone is focusing on Armstrong’s statement, they forget that approximately 20 percent of all ETH is held in Poloniex and Kraken’s offline wallets, both holding over 9 percent (at the time of writing).