Coinbase's chief legal officer, Paul Grewal, addressed concerns over the user terms of service for cbBTC, confirming full reimbursement for lost Bitcoin. The clarification followed a highlighted provision suggesting proportional reimbursement for lost BTC. Grewal explained that Coinbase limits liabilities for external losses from complex trades. For instance, clients using cbBTC as loan collateral would be reimbursed for lost Bitcoin but not for fees from liquidation. Coinbase launched cbBTC in select regions, excluding New York, amid controversy over BitGo's WBTC and Justin Sun's involvement. Following concerns, BitGo reassured the community about Sun's fund movement limitations. The Sky community removed WBTC in favor of cbBTC, making it the third-largest wrapped BTC token in a week. Read more AI-generated news on: https://app.chaingpt.org/news