[aresant]

Two important items:

a) Adreas is the Chief Security Officer of Blockchain and a well known / respected digital currency personality.

b) The most interesting part of the article was a link to another post reviewing Coinbase's security practices (1) where he concludes "it appears that the Coinbase system contains the expected funds and their cold storage system and process appear to be operating according to security best practices."

(1) http://antonopoulos.com/2014/02/25/coinbase-review/

[smtddr]

If anyone has 38mins to burn...

http://techcrunch.com/2013/12/17/foundation-brian-armstrong-...

A Google Ventures video about coinbase security with Kevin Rose(from old Digg) asking a bunch of questions with Coinbase founder Brian Armstrong.

Sounds very legit to me.... but... you _still_ shouldn't leave huge amounts of bitcoin in any exchange! Make[1] your own btc-address + private key and keep the coins there. And note that bitaddress.org can be git clone'd and ran on a computer without internet access.

1. https://www.bitaddress.org

[argumentum]

Coinbase isn't really an exchange (though it works as such for US dollars). It's mainly a hosted wallet service that provides apps, and merchant and developer tools to make it easier to engage with the bitcoin ecosystem.