Topic: Does anyone still stores their crypto in any exchange - page 3. (Read 740 times)

Unfortunately, many people are too lazy to take control of their coins and "trust" in these centralised services. For a person who likes to trade a couple times a month, for example, it could seem too hard an effort for him to withdraw and deposit every time he wants to trade. Additionally, fees linked to withdrawals are also typical of these sites, and can discourage even more the user from taking his money out from there.

Add that most users are uneducated and don't know about Mt.Gox and even more recent debacles, and that they are used to traditional banking and trust on third parties holding their savings, and there we have them, unknowingly reckless.

Investors need to know a safe place to store crypto assets as a precautionary measure to secure their assets. The value of each individual's assets certainly varies, but the assets owned require a truly safe place to store them. If you store crypto assets on an exchange, your private key assets are fully controlled by a second party, your assets are very at risk of being hacked or your assets may be lost.
Any assets that are not planned to be traded in the near future should not be stored on exchanges, it is highly recommended to use Crypto asset exchanges for trading not to store your assets.

Not too bad, yeah, but that was a wrong decision for me. Why? Not your keys, not your coins - that certainly will tell us that anytime the site will take our money without turning it back to us. Why we should do that since we know that is possible in the first place which is why it was not encouraged, instead use Electrum wallet, in fact, it was free.
That's the point there. We already know the possible risk because even if it was the most trusted exchange in the crypto space, that still remains a BAD decision.

There's a difference between putting your Bitcoin to work and storing your Bitcoin on exchanges. If you're trading I believe you don't use all you Bitcoin to trade so it's better you transfer those Bitcoin that aren't been used to trade to a Non-custodial wallets while you use those left in the exchange for trading. Funds in exchange should be funds that are affordable for you to lose and since those are trading coins then they fit that narrative as you should only use coins that are affordable to you to lose for trading as well. You can always transfer your coins form your non-custodial wallets to an exchange for investment purpose but don't store your coins on exchanges.

No centralized exchange is too big to fail, Binance exchange can fail tomorrow irrespective of how big they're so we have to be cautious with decisions we take concerning our finances. Many people have lost all their savings to hacks of exchanges in the past, you shouldn't make yourself a victim when you have the chance to take precautions now. Transferring your coin would only cost you few cents or dollars for transaction fees and that shouldn't bother you. It should be an expenses you can risk instead of losing all your investment to a mistakes that's not from you. You'll blame yourself for life when that happens as you lose your coin due to an exchange getting hacked.

Yeah, I keep my shitcoins there although they're worth a hundred bucks in total.

Storing assets on the exchange is not too bad, but it's just that you should keep the quantity of assets you save, because even though it is an old exchange whose existence is very safe even we don't think it's very good to store in large quantities, and yes we are right preferring to move it to a hardware wallet, although we still store a small amount on exchanges, the main anticipation is having a wallet where we get full access to the private keys.

Although the exchange promises we won't know when it could crash or give disappointing news, and we don't do work that we feel is too risky, crypto traders and investors use this in their own way, but they know where the safest place is. they have.

I mean it's not a good idea, I don't store any amount on my exchange platforms since they are really risky and can easily freeze all of my cryptocurrency as stored on a secured wallet just to be sure. Exchanges are actually useful for buying, selling, P2P, etc., and less hassle on converting different networks if you're in the cryptocurrency space you definitely need exchanges on your transactions. Its already a good starting point for newbies since they can easily trade cryptocurrency on an exchanger, someone planning to daily trade can easily use exchanges.

It's not an issue I guess you could pick a trusted exchange like Binance it doesn't mean what happened to FTX is going to happen on Binance as well, Sure you could probably store a small percentage of your portfolio on exchanges just for the interest rates since exchanges have great interest rates. But either way, just use other wallets for your main investment since the fee doesnt cost a lot you could easily transact from your wallet to exchange easily.

No doubt exchanges are quite risky to leave our coins dormant in there but these exchanges are playing an ultimate role that shouldn't be underestimated because of a risk that could be avoided by the users. We are all aware of the various features embedded in these platforms and their functional usages that makes each uniquely important. With a non-custodial wallet it's obvious you can't trade but it's less risky and put you totally in control of your asset through your seed phrase, while in exchanges you're not totally in charge of your wallet as your seed phrase are under the exchanges care but you can make trades  be it spot or features trading with it.

It's beckon on the user/trader to understand and know  how to make good use of these different platforms to keep his assets safe and secure while you make profit at same time.

Cryptocurrency exchanges are quite helpful for carrying out our daily transactions, especially for traders who engage in sporadic trading. For convenience and to avoid incurring transaction costs whenever they try to transmit assets from wallets to exchange for trading, they always hold the assets intended for trading in exchange. Despite their unreliability, we are unable to live without exchanges despite your advice that we not hold any cryptocurrency we wish to hodl for an extended period of time in an exchange. Only the ones we intend on using later should be kept.



It is now common knowledge that cryptocurrency exchanges disappoint. There have been numerous catastrophes affecting these exchanges that require our attention. It is not recommended to store your assets in exchanges because you run the risk of losing your money. Some exchanges have collapsed due to hacks where assets were stolen by hackers, while other exchange owners conned their customers and fled with all of their assets.

Always keep your private keys in a wallet where you have complete control so that no one else can access them. Also, always keep in mind Not your keys not your coin.

I have roughly 20% of my Crypto on an exchange account because it provides me to do some trades here and there instantly. Rest 80%, I am still holding it in my hardware wallet.
It's not bad to have some amount of crypto on exchanges. Mainly because of the fee, it takes huge fees when I try to buy and sell asset on a Dapp like Uniswap instead it's free in many exchanges.

I use Convert option in Binance to sell lmao, it's free of cost.

I think that it is the newcomers who keep their coins on the exchange, since they are still little aware of all the problems associated with such storage. Other traders, as a rule, keep as much money on the stock exchange as they need for daily trading.

Definitely people will still be storing their crypto on exchange, so we have to keep on enlightening people about the risk associated with leaving your coin on exchange. I don't know what you mean by we should move higher amounts of money to hardware wallet and leave lower amount on exchange, the amount you call a small amount might be a very big amount at my place, what I do recommend is that, any crypto you are trying to hold for a long term should be withdraw from the exchange, either big amount or small amount.

The only people that should leave money on exchange are traders, if you are a trader, you can't be withdrawing your coin everyday, so the best place to leave it is exchange. But as a trader, if their is any amount you won't be using for long term, then withdraw it to your hardware wallet.

Since crypto have been in existence, their are lot's of exchanges that have been compromised, that's why we shouldn't just leave our coin on exchange, no exchange is too big to be hacked, so don't think any exchange is having high security and your fund is safe their, if your coin is not in your non custodial wallet, then it's not safe.

Most people store their crypto on exchange because they believe it's very accessible, they can easily login and sell their crypto any moment they want without paying any transaction fee. Some of them believe if they keep their coin on exchange, and the exchange get hacked, the exchange will be held responsible and they will refund their customers money, I believe this are some reasons why people leave their coin on exhange.

Many users continue to store their currencies on exchanges because they find exchanges to be user-friendly and for other reasons that I believe they may have. Since exchanges are unreliable, it might not be a good idea to store our coins there for an extended period of time. Although I have only had a limited amount of experience in the cryptocurrency sector about the exchanges, but the few collapses I have seen have led me to feel that exchanges are not trustworthy despite any goodwill they may acquire. When you have the chance to be your own bank and retain your money in your own hands, why would you even keep your funds under exchange care?you can keep small amount of money in exchanges for some reasons but huge amount of fund should be avoided because your account under exchange can easy even get tracked and get hack easily under exchanges.

For trading purposes, I did but if considering it as a storage destination, no I don't. Just having $100-$200 kept on the exchanges seems to be acceptable and  I know some have it more for trading only. It was not suggested because of the risk involve and we know that exchanges won't be as responsible as they are for turning back your funds if there is something will happen to them that causes all of their funds lose which includes all deposits. That is why we should have to avoid it and anticipate such scenario before we regret it.

I don't store my crypto in exchanges but I know there are still many people who uses centralized exchanges as stash.


One reason is that they trust the exachange.  Another is that they are lazy setting up a personal wallet, or they are afraid that they will mess up the transfers and lose their crypto.  Or it is possible that they are trading and they use all their exchange crypto balance to trade.

Has there ever been a time you stored crypto in Centralized exchanges?? I'm asking cus I feel you should know that these has been said a countless times already,..and that anyone that makes such an attempt will always have himself to blame for it.
You seeee,..reading enhances and creates an opportunity NOT to be misinformed... If anyone is pronned to it, then there's every tendency that they won't make unnecessary mistakes. I won't advice anyone to plung 'em bucks in hot wallets.. non-custodial, cold wallets are the best... _{You loose your keys, that's the end of the story} lol...

Sandra 🧑‍🦰

As we told here every time we recommend the use of hot wallets or cold wallets why? because once you make a deposit to their platform its already their money not yours because exchange does not gives any private keys on your side that's why they can easily make turn around with your money.

I recommend to make some to read this content of GazetaBitcoin so you get an idea perhaps 12 years later and people still don't know to use Bitcoin nor what it's good for


People doing this for convenience of course they don't need to transfer into the wallet to exchange and change into other cryptocurrency and brings back again to the wallet, and if you are an active trader why need to get back so you can use your exchange assets to make immediately positions for the possible trend of the market.

Well, traders know what will be the consequences of storing a huge sum of money there but yes, they preferred to do that as it was necessary. But if the purpose is to just hold there, that was not a good idea and it was not recommended to all of us. "Not Your Keys, Not Your Coin" and we don't have to miss this thing otherwise, we let things get compromised. Because whatever happens to the exchanges, we can't assure to get back our money from them and what we just heard from them is a sort of promise yet they will never do it.

We are in a world based on centralization and in which banks monopolize decision-making power, and this is what pushes towards spreading the culture of banks in people's minds and that they are unable to protect their money by themselves and that they have to pay fees in exchange for securing it.
This explains the regulators' policy of cracking down on decentralized platforms and privacy-friendly service platforms. This is simply because it does not serve the interests of those parties that monopolize the financial sector in its traditional form.

Considering that alts are usually capable of shorter gains, I can see why people just usually hold them in exchange. The risk and cost isn't worth it though in the end. The exchange gave you a wallet...well to exchange in their site. These days I am now just seeing these exchange sites as a service and not that kind of service where I hundred percent entrust my money.

In the long term hodlings like Bitcoin, that's like screwing myself up for an upcoming vulnerability issues with the site, lol.

I guess some people just can't help doing that unless they really encountered the "unexpected losses".