Coinbase will plow $500 million into crypto to boost its balance sheet – and bet 10% of future quarterly profits on digital assets

Coinbase will plow $500 million into crypto to boost its balance sheet – and bet 10% of future quarterly profits on digital assets

CEO Brian Armstrong announced on Thursday that the cryptocurrency exchange will add $500 million of crypto to its balance sheet, and allocate 10% of its future quarterly profits to growing its holdings. "We recently received board approval to purchase over $500M of crypto on our balance sheet to add to our existing holdings," he . "And we'll be investing 10% of all profit going forward in crypto. I expect this percentage to keep growing over time as the cryptoeconomy matures." On Friday, Coinbase that built on Armstrong's tweets. Coinbase's chief financial officer, Alesia Haas, said the company's updated investment policy reflects its belief in crypto adoption and utility. "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," she wrote. Coinbase will allocate the funds based on what its customers are holding, and deploy its cash over several years using a . This strategy involves spreading out an investment purchase by putting in equal dollar amounts at regular intervals. "We are long-term investors and will only divest under select circumstances, such as an