Let’s talk about exchange accounts and self-custody wallets.
With a self-custody wallet, you control the private keys yourself. Transfers don’t require approval from any platform, and no one can recover your lost seed phrase for you.
One thing that’s easy to overlook: exchange accounts are convenient. If you forget your password, you can reset it through a verification process, but the security of your assets depends on the platform itself.
Before transferring a large amount of assets to a self-custody wallet for the first time, back up your seed phrase and test that you can restore it.
The $BNB in your Binance account is held in custody by the platform. Once you withdraw it to a self-custody wallet, you control the private keys yourself.
I get things wrong sometimes too, so don’t take this as advice.
With a self-custody wallet, you control the private keys yourself. Transfers don’t require approval from any platform, and no one can recover your lost seed phrase for you.
One thing that’s easy to overlook: exchange accounts are convenient. If you forget your password, you can reset it through a verification process, but the security of your assets depends on the platform itself.
Before transferring a large amount of assets to a self-custody wallet for the first time, back up your seed phrase and test that you can restore it.
The $BNB in your Binance account is held in custody by the platform. Once you withdraw it to a self-custody wallet, you control the private keys yourself.
I get things wrong sometimes too, so don’t take this as advice.
