Coinbase to Spend $500 Million on Cryptos
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US crypto exchange Coinbase has plans to spend around $500 million on cryptocurrencies and will invest part of the company's proceeds in cryptos in the future. The platform's CEO Brian Armstrong said:

"We recently received board approval to purchase over $500M of crypto on our balance sheet to add to our existing holdings. And we'll be investing 10% of all profit going forward in crypto."

Coinbase's crypto investment allocation will be determined by its aggregate cryptocurrency custody balances. As a result, Coinbase's investment strategy will depend on its customers. The company's blog states:

"This means we will become the first publicly traded company to hold Ethereum, Proof of Stake assets, DeFi tokens, and many other crypto assets supported for trading on our platform, in addition to Bitcoin, on our balance sheet."

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Coinbase representatives have stressed they will only sell cryptocurrencies under certain circumstances, such as an asset delisting from the trading platform. All transactions will be conducted through Coinbase OTC or off-site to avoid conflicts of interest with customers.

Coinbase disclosed its crypto assets in February as it prepared to go public. Later it became known that at the end of last year, the company held $316.1 million in such assets after increasing its position 10-fold during the year.

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