What does it mean to you?

Coinbase has announced plans to migrate corporate and consumer USDC balances to the Base network.

Coinbase's head of consumer products, Max Branzberg, emphasized that this strategic transition aims to increase the efficiency and security of managing customers' funds.

Coinbase adopts blockchain technology

This pillar for storing more assets on-chain is a step forward in digital asset management, setting the stage for other companies to follow.

“This allows us to manage and protect customer funds with lower fees and faster settlement times, without impacting the Coinbase user experience,” Branzberg said.

Coinbase places customers' digital assets in hosted digital asset wallets, ensuring their security. Of course, the company maintains the principle that these assets belong only to the customer. As a result, the team carefully designs infrastructure to secure digital assets, ensuring seamless access to business and other services.

With real-time internal ledger systems, Coinbase eliminates the risk of commingling customer funds with corporate assets. This practice is commonly used in traditional banking and is what causes the failure of the crypto exchange FTX.

Read more: Coinbase Review 2024: Best Crypto Exchange for Beginners?

Crypto investor Ryan Sean Adams sees Coinbase's on-chain migration as a sign of a broader industry shift.

“Ultimately all crypto exchanges will move onchain. Then banks. Every asset is a future token. Every bank is a future chain. Ethereum is the world's settlement layer,” Adams said.

This sentiment captures the potential of blockchain technology to reshape the financial system. Indeed, Coinbase seems to be leading the charge towards a more decentralized and efficient future.