Isn't this pretty funny?
When people suffer from the collapse of a competitor's service, then CZ says:
"your keys, your coins" [1]
When at this time his company is also concerned, he explained contradictory things.
So the conclusion is, "Experience teaches more than theory."
Keep in mind that Binance also has a “non-custodial” wallet, if CZ doesn't get rid of it soon then he teached bullshit about 99%.
1. https://www.coindesk.com/markets/2022/11/13/binances-cz-pushes-for-self-custody-trust-wallet-token-soars-80-to-record-high/
Topic: 99% of People Will Lose Crypto in Self Custody - page 3. (Read 1047 times)
Is this a "Bitcoin" problem or a "Human" problem?
The Bitcoin Protocol are pretty solid.... and with a little bit of research, anyone can safely store their coins. The centralized custodial services are run by humans and that human element bring risk to Bitcoin. (Weak code / Internal corruption / Mismanagement)
We humans are also very lazy and forgetful, so we add the human weakness to Bitcoin use. We want convenience with third party services handling our wealth.... but when we are offered the opportunity to have financial freedom, we humans drop the ball.
The Bitcoin Protocol are pretty solid.... and with a little bit of research, anyone can safely store their coins. The centralized custodial services are run by humans and that human element bring risk to Bitcoin. (Weak code / Internal corruption / Mismanagement)
We humans are also very lazy and forgetful, so we add the human weakness to Bitcoin use. We want convenience with third party services handling our wealth.... but when we are offered the opportunity to have financial freedom, we humans drop the ball.
It is a human problem of course but that makes it Bitcoin problems
One lesson we always learn about in making consumer products is, if we want people to use them, we must make it easy for people to use.
It is like saying that coding is perfect but humans still have to make the code, so if the language is not easy to learn, it is the problem of the language
After all a bitcoin wallet is already very easy to use, if you are using a smartphone then installing a wallet is as easy as installing any other app, then once you generate a new wallet you just need to backup your seed words and keep those words somewhere safe, if people are still losing their bitcoin despite how simple bitcoin is to use we cannot blame the developers for making bitcoin too complicated, this is about people not being able to follow some incredibly simple instructions, and we must hold them accountable for it.
Quote from: noormcs5
Recently, when people are withdrawing their money to personalized wallets, CZ says that out of these people 99% of them will lose money, as only 1% of the people are capable of handling the non-custodial wallets.
‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
Since many people has learned from other people mistakes, I guess it will be difficult for people to loose money for non-custodial wallets because they know what not to display in public and what to write out for future purpose. I believe many users understood how to secure and safeguard their bitcoins and altcoins in their wallets because nobody want to lose his or her money in this hardship that is affecting the global economy. ‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
Is this a "Bitcoin" problem or a "Human" problem?
The Bitcoin Protocol are pretty solid.... and with a little bit of research, anyone can safely store their coins. The centralized custodial services are run by humans and that human element bring risk to Bitcoin. (Weak code / Internal corruption / Mismanagement)
We humans are also very lazy and forgetful, so we add the human weakness to Bitcoin use. We want convenience with third party services handling our wealth.... but when we are offered the opportunity to have financial freedom, we humans drop the ball.
The Bitcoin Protocol are pretty solid.... and with a little bit of research, anyone can safely store their coins. The centralized custodial services are run by humans and that human element bring risk to Bitcoin. (Weak code / Internal corruption / Mismanagement)
We humans are also very lazy and forgetful, so we add the human weakness to Bitcoin use. We want convenience with third party services handling our wealth.... but when we are offered the opportunity to have financial freedom, we humans drop the ball.
It is a human problem of course but that makes it Bitcoin problems
One lesson we always learn about in making consumer products is, if we want people to use them, we must make it easy for people to use.
It is like saying that coding is perfect but humans still have to make the code, so if the language is not easy to learn, it is the problem of the language
Is this a "Bitcoin" problem or a "Human" problem?
The Bitcoin Protocol are pretty solid.... and with a little bit of research, anyone can safely store their coins. The centralized custodial services are run by humans and that human element bring risk to Bitcoin. (Weak code / Internal corruption / Mismanagement)
We humans are also very lazy and forgetful, so we add the human weakness to Bitcoin use. We want convenience with third party services handling our wealth.... but when we are offered the opportunity to have financial freedom, we humans drop the ball.
The Bitcoin Protocol are pretty solid.... and with a little bit of research, anyone can safely store their coins. The centralized custodial services are run by humans and that human element bring risk to Bitcoin. (Weak code / Internal corruption / Mismanagement)
We humans are also very lazy and forgetful, so we add the human weakness to Bitcoin use. We want convenience with third party services handling our wealth.... but when we are offered the opportunity to have financial freedom, we humans drop the ball.
LoL maybe that's true but if people stay on the exchanges they will lose their funds anyway: He is like "you will lose these coins one way or another so lose it on us" 
He is treating the investors as gamblers and the saddest part is, he might be right actually. Still though, he is not telling this because he is worried about the investors, he is worried about his own business.
If you can't handle your own private key, you shouldn't be owning crypto imo. "Not your keys, not your coins."
He is treating the investors as gamblers and the saddest part is, he might be right actually. Still though, he is not telling this because he is worried about the investors, he is worried about his own business.If you can't handle your own private key, you shouldn't be owning crypto imo. "Not your keys, not your coins."
He make sense and we've been telling people that it's best to keep their crypto assets to a non custodial wallet, wherein they have the full control of their funds.
That doesn't make sense at all, how can he say that 99% of people will lose their crypto to non-custodial wallets, that's just too much. He is simply concerned that more people will become aware of the security of their assets and prefer to secure their assets in their own non-custodial wallets and that Binance will lose out on their potential customers. And is holding assets on Binance safer than non-custodial wallets? nothing guarantees that.
I also somewhat agree with what he said, the newbies will be the ones who are very likely to lose their assets when stored on non-custodial wallets because they do not know how to secure them and lack knowledge about it. But I would choose to keep it in my personal wallet rather than hand it over to CZ or any third party. I trust no one but myself.
No need to agree with what he said, he said this in his position as CEO of Binance not as a crypto-enthusiast. His statement was the same as a doctor saying that traditional medicine was ineffective - they would discredit traditional medicine because if they agreed to traditional medicine, they would lose customers - and it seemed that CZ was that person. I'm not one to oppose centralized exchange platforms like Binance, I use them too, but for only a small portion of my assets, I feel safer using a non custodial wallet than having to hand over all my assets to someone I don't know.
I wonder if CZ's statement was just to scare investors who moved their assets to non-custodial wallets or if it really happened to most investors. However, investors who intend to move their assets to non-custodial wallets should learn how to protect their wallets from being targeted by hackers.
And if, after this, many people lose their assets because their wallets were hacked, it means that what CZ said is right and makes those investors huge losses.
I don't think like that maybe CZ is speaking as it is because some investors really don't know how to store assets in non-custodial and with private keys, the most important thing is where to store private keys is something to pay attention to and don't let us forget or even gone.And if, after this, many people lose their assets because their wallets were hacked, it means that what CZ said is right and makes those investors huge losses.
As others have said as long as the non-custodial wallet is not connected to unknown sites as long as we don't do that it will still be safe no one can hack it.
This is partly due to being affected by FUD so many are withdrawing their money from the exchange to non-custodial even if investors can use it.
When we want to store those coins in a non-custodial wallet, it means we have to be responsible with security and take good care of them.
- Holding bitcoin or any cryptocurrency in any of the non-custodial wallets is not a bad thing especially if we know it is safe. Whatever Cz said, he has a point, it seems that what he wants to convey to long-term investors is that no matter how much time is spent waiting, there is no certainty as to when it will happen.
Yeah he has a point of doing and releasing that statement. Not that he is accurate of what he stated but being an owner of centralized exchange, he will lost lots ang possibly goes bankrupt if all Binance users pull out their fund. So he has a point to convince people so that he can save his business but I disagree that 99% of users are idiots.
I also noticed that what he wanted to convey in that article is that it is still good to put the community's crypto assets in the custodial wallet, but the only ones who will benefit greatly from what he says are the centralized-based platforms, that is the truth.
Well it is his business so anything he stated has ulterior motive and of course he wanted people to redeposit in his exchange so that his business will continue.
And only a fool could lose the private key in their wallet containing their own funds
lol *raises hand*
its easier than you think
Unfortunately, it's not hard to lose one. You may think that you're keeping perfect track of where you're keeping your private keys or seed phrases, only to realize that you may have actually deleted your backups or thrown them away. I've lost access to wallets when I was younger because I was dumb enough to save the private keys on txt files, many of which were lost during Windows reinstallations or corrupted hard drives. While it belongs in the past and I've actually managed to recover some of these wallets, I still suspect that I may have another out there, lost forever.
It's sometimes easy to let go and not sophisticate the whole idea of backups until it happens to you. About a year ago, my laptop started acting up for no apparent reason; it wasn't detecting the HDD after a long trip. I thought that the HDD got damaged in transit and gave me a huge scare, but it ended up booting after several tries. I didn't have a backup.
Recently, when people are withdrawing their money to personalized wallets, CZ says that out of these people 99% of them will lose money, as only 1% of the people are capable of handling the non-custodial wallets.
‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
CZ might have limit his opinion on those uneducated and illiterate people who are currently hodling their own coins, and expect that in the months or years to come, all those coins will be lose or easily gone. And it’s really true knowing they are incapable to manage the security of their own wallet. But for those who are well knowledge and are very careful with their own investments, non-custodial wallets are the best wallets to go.‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
accidents involved mental condition or something like that which would really be causing up that kind of scenario which is really that something needs to be avoided at all cost.
we've been always suggesting about using non-custodial ones which it is really that preferable.It is really just CZ trying out to say things which are possibly could happen
but to mind off that those words are hiding off some intent that tells us that we should at least consider on storing on exchange platforms.
Recently, when people are withdrawing their money to personalized wallets, CZ says that out of these people 99% of them will lose money, as only 1% of the people are capable of handling the non-custodial wallets.
‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
I can't blame CZ because some people are really incapable in the sense that they are not 100% responsible in managing their own investments. That is why if its the case, we should just rely from the security offered by centralized exchanges and hoping that our coins will not be gone eventually. While this is true for others, but I believe some also have certainly build the knowledge and skills that are basically needed to run successfully a self-custody wallet. As long as people are literate enough, i guess everyone deserves to learn on securing their own non-custodial wallet. ‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
Even though up to the estimated 99% of people which likely will lose their cryptos in self custody, So is he trying to let us know that storing in a centralized exchange is more safer ?,
Since we can't trust Cex anymore.
In other hands there's still 99% chance too that people will lose their money storing cryptos in Centralized exchange.
Therefore is better for me to bear responsibility of whatsoever that may happens to my funds in self custody, than to lose it in Cex.
Centralized exchange is still not a safe heaven.
Since we can't trust Cex anymore.
In other hands there's still 99% chance too that people will lose their money storing cryptos in Centralized exchange.
Therefore is better for me to bear responsibility of whatsoever that may happens to my funds in self custody, than to lose it in Cex.
Centralized exchange is still not a safe heaven.
Recently, when people are withdrawing their money to personalized wallets, CZ says that out of these people 99% of them will lose money, as only 1% of the people are capable of handling the non-custodial wallets.
‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
CZ might have limit his opinion on those uneducated and illiterate people who are currently hodling their own coins, and expect that in the months or years to come, all those coins will be lose or easily gone. And it’s really true knowing they are incapable to manage the security of their own wallet. But for those who are well knowledge and are very careful with their own investments, non-custodial wallets are the best wallets to go. ‘99% of People' Will Lose Crypto Storing in Self-Custody: Binance CEO Changpeng Zhao
He may be right because most people do not understand the risk, if they are not careful they could lose all their crypto. Some may lose their private keys and others may connect their wallet at scam sites and they will be deprived of their funds.
Education and understanding of non-custodial wallets is necessary. A lot of people have move funds out of binance recently, lets see if they know how to safeguard their bitcoin/ altcoins in these wallets.
I won't say I disagree with his point because he makes an important point in this case. What is the point of storing your funds in a self-custody wallet when the coin is vulnerable to attack and lost by the owner? People have lost their savings in their personal wallet due to illiteracy and lack of sufficient knowledge about self-custodian wallets. A campaign for it is necessary which in my opinion will reduce the effect of it happening. Also, me seeing this as a favorable speech for people to save their money in his Binance exchange wallet.
There’s no use actually having a self-custody wallet when the owner itself is illiterate and still has no knowledge how to safeguard his own coins. And if he’s not ready to entrust his coins to a centralized exchange, it’s better to keep him gain knowledge and develop learnings so he can be aware on how to make his coins not accessible for hackers. Although for some reasons like senior citizens hodlers, better to adopt a custodial wallet and entrust them with his hodlings. 
I've never had a problem using a non-custodial wallet and actually feel more anxious using a centralized platform like an exchange because they have way more features than a wallet, as well as can have requirements like KYC, hidden fees, etc.. And I really don't think I'm unique enough to belong in the 1% who can figure things out and not lose access to my money. I have more faith in humanity. Is it just Binance CEO's opinion or is there any research to support the idea that, statistically, the chance of losing access to one's coins is this high and over which period of time?
While he has a slight point, I'm really not a fan of the 99% number, knowing how frequently attacked centralized exchanges are.
I think the only case where I'll justify leaving funds on a centralized exchange, is when the holder is a totally technologically-illiterate senior citizen. On the other hand, if the holder is capable of using a smartphone, chances are — he/she is capable of using a Ledger hardware wallet.
But yea, you shouldn't lose your funds in self-custody if you aren't utterly careless.
That’s the reality when it comes to those irresponsible owners, chances are they lose more because they can’t safeguard their hodlings. However, if some have been careless, others have been very careful too and cautious of their investments that is why they always prefer a non-custodial wallet as they can take full responsibility on safeguarding their coins in their wallet. I think the only case where I'll justify leaving funds on a centralized exchange, is when the holder is a totally technologically-illiterate senior citizen. On the other hand, if the holder is capable of using a smartphone, chances are — he/she is capable of using a Ledger hardware wallet.
But yea, you shouldn't lose your funds in self-custody if you aren't utterly careless.
cz shouldn't talk much on social media because if he unknowingly says ridiculous things it will have a big impact on his company because the current situation is the bankruptcy of exchanges which is hype on social media twitter and if cz can't control his words then binance customers will exit significantly from that exchange.
Stop that bullshit, you can trust him but you can't be 100% sure your assets will be safe on the exchange. After all what would stop him from saying whatever he pleased, that was his right.I use binance only for deposits, not for storage. I trust them to some extent, not all of them because I care about the risks. Whatever he says may not be entirely true, but a few things can be considered as a guide.
I think, what CZ is doing is countering to the "not your key not your coin" slogan circulating among small and big investors, because it will indeed be detrimental to centralized exchange Binance, from a business point of view the less people use the exchange, the less profit that will be obtained from transaction fees on the platform, of course a businessman will not allow that.
The argument he presented was deliberately made to scare investors regarding security in their own hands so that investors would think twice about leaving the platform.
But from another point of view, I think what he's doing will be in vain, because I think what was conveyed in the space he created reminds investors to back up personal wallet passwords properly and securely.
cz shouldn't talk much on social media because if he unknowingly says ridiculous things it will have a big impact on his company because the current situation is the bankruptcy of exchanges which is hype on social media twitter and if cz can't control his words then binance customers will exit significantly from that exchange.The argument he presented was deliberately made to scare investors regarding security in their own hands so that investors would think twice about leaving the platform.
But from another point of view, I think what he's doing will be in vain, because I think what was conveyed in the space he created reminds investors to back up personal wallet passwords properly and securely.
binance has had a pretty strong fud up to this point, therefore he has to be keen to see opportunities to be able to turn things around from negative to positive. if he does something and not everything has to be published on social media.
the market situation continues to experience quite spicy frying at the end of this year.
I can not agree with CZ completely. I have no problem keeping my funds in any centralized exchanges only if they can guarantee the safety of my funds. Which they are not capable of doing.
Rather I will keep my funds in my private wallet. And people are most concerned about money nowadays. So I don't think they will lose the only thing which is most important to them.
Not if they have only one backup. I keep multiple backups for situations like this.
Well, you probably do have a problem with centralised exchanges then. Since, they can never guarantee the safety of your coins, and I imagine in their legal terms they go into this in some depth. Rather I will keep my funds in my private wallet. And people are most concerned about money nowadays. So I don't think they will lose the only thing which is most important to them.
Not if they have only one backup. I keep multiple backups for situations like this.
Plus, you'd be surprised how many people lose important things, whether it's from neglect or making their passphrases too difficult. It's a slippery slope, and the majority of people have awful security practices.
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