The crypto exchange said the planned internal migration is a normal, “best practice” in the industry to maintain cybersecurity standards.
Crypto exchange Coinbase initiated a large fund migration on Saturday, moving tokens to new internal wallets in a scheduled, routine security procedure to reduce long-term exposure of keeping funds in the same wallet addresses, which are publicly known.
The migration is not due to any cybersecurity breaches or external threats, according to an announcement from the company. Coinbase said:
This means that large Bitcoin (BTC), Ether (ETH), and other token balances will be moving onchain from Coinbase wallets to other internal Coinbase wallets already labeled by blockchain explorers and intelligence platforms.
Coinbase warned users that during the migration, scammers may attempt to exploit the situation by impersonating Coinbase representatives and reaching out to customers requesting login information or asking users to shift funds, which the exchange never does
