The San Francisco based exchange Coinbase claims to have moved $5 Billion worth of Cryptocurrencies in an upgrade made to its cold storage infrastructure, which according to Coinbase is by far the biggest wealth migration by a single entity in the history of Cryptocurrencies.
According to the company’s blog:
“Coinbase recently moved 5% of all BTC, 8% of all ETH and 25% of all LTC in circulation (among many other assets) in what we believe is the largest crypto migration on record.”
The total supply of LTC is 84 Million out of which around 56.66 Million are currently in circulation. Coinbase claims to own 25% of the current circulating supply which would sum up to 14.5 Million
The San Francisco based exchange notified its customers on Nov 29th that they will move significant funds on all Coinbase supported Blockchains. Over the course of two days, Coinbase moved a significant portion of the LTC supply.
On the 30th of November, Coinbase moved 300,000 LTC to 40 new wallets which entered the top 100 richest Litecoin wallets according to Bitinfocharts. Over $1.1 Billion worth of value was transferred on the Litecoin network on 30th November a significant portion of which was due to Coinbase.
Image Source: Coinmetrics.io
It is alarming that a centralized exchange like Coinbase owns 25% of a decentralized Cryptocurrency like Litecoin. Coinbase added support to Litecoin back in May last year, a year and a half later the exchange holds one-fourth of the entire circulating supply.
This goes to show that Coinbase fueled a good amount of Litecoin adoption and price appreciation in the 2017 bull run.
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