Coinbase

Coinbase Wrapped Staked ETH

Coinbase cbETH is a liquid staking token on Ethereum representing staked ETH managed by Coinbase. Yield is generated from Ethereum consensus and execution layer rewards distributed across Coinbase Cloud validators, with a 25% operator commission.

AUM

$1.03b+11.72%

APY

2.90%+3.68%

CCCRated Protocol

Updated Mar 30, 2026

Risk Rating

CCC

AAAAAABBBBBBCCCCCCD

This rating is based solely on publicly available information. The range from CCC to BB+ reflects the gap between the current assessment and the potential rating achievable if all identified improvement areas are addressed.

SCS: Smart Contract Security

KMP: Key Management Permissions

M: Market

L: Liquidity

C: Collateral

PM: Protocol Mechanics

ICE: Infra Counterparty Exposures

PCE: Protocol Counterparty Exposures

G: Governance

FR: Financial Resilience

TLC: Team Legal Compliance

DT: Documentation Transparency

Potential Score

Provider risk assessed across Business, Operations, Reliability, and Security.

View the detailed scoring breakdown

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Contract Addresses

TokenContract

0xBe98...9704

Implementation

0x3172...C9a5

Key Strengths

Operated by a publicly-traded, regulated company with SOC 2 Type II certification, SOX compliance, and NYDFS-regulated custody
Audited by a leading security firm at launch with no critical or high-severity findings, all issues remediated
Fully organic yield from native Ethereum staking rewards with no leverage, emissions, or incentive subsidies
Multi-year operational track record with no exploits, no slashing events, and consistent exchange rate appreciation
Battle-tested through major market stress events including the FTX collapse, SVB crisis, and staking queue congestion without user fund losses
Substantial financial reserves with billions in liquid assets providing indefinite operational runway

Key Risks

Single-key control over admin functions cannot be ruled out from on-chain evidence, with no disclosed multisig threshold or timelock
Address-level blacklisting can freeze individual user tokens, and the pause function can halt all transfers
Fully custodial model where Coinbase insolvency or shutdown would permanently block access to underlying staked ETH
No on-chain governance, timelock, or community input mechanism for contract changes or upgrades
Sparse technical documentation by DeFi standards with no whitepaper, contract registry, or role documentation
Past SEC enforcement action resolved in early 2025 demonstrates ongoing regulatory exposure for centralized platforms