☝️This is the biggest risk of bitcoin derivatives.

Executive Orders from your own president is a small attack surface. 

We must assume every government would steal all the bitcoin in the coinbase coffers if they could.

How robust is Coinbase Security? 

What steps are taken to mitigate this risk?

How many people hold keys?

What quorums do they use?

How is collusion prevented?

Do spies from foreign and domestic governments work for Coinbase?

Their are simmilar concerns with Fidelity , but the main problem is the aggregatate custody is too concentrated. Custodial ETF's should be diversified. Ideally, each ETF would have a different custodial provider. I don't know why the suits thought it was a good idea to custody customer bitcoin at a shitcoin casino.

Imagine if Charles S. Schwab held your money market account at the Bellagio. 

Would that seem like a good idea?