Topic: Self custody will always win (Read 447 times)

Quote from: minairia3 on June 08, 2023, 10:00:30 AM

As a matter of fact, decentralized exchanges should be as good as centralized exchanges, and many people will start using them. One of my friends told me that he thinks that centralized exchanges are better for trading, so he will never abandon a Dex to deal with it.

No one is saying that decentralized exchanges are bad, we have to admit that they still cannot compare to the utilities and variety of services centralized exchanges provide. We enter the market not only to invest and hold, but there are many other ways for us to make profits, and most of those services and methods are provided by CEXs. For trading alone, DEXs cannot offer many trading pairs, and high transaction fees are a big obstacle for traders. While CEXs are providing these features very well, it is very difficult to discontinue or remove CEXs.

Exactly! Investors and holders will not be holding their coins into CEXs if there is no need for them to retain their coins in that particular platform as I don't think that people especially big hodlers don't know the risks of holding various coins in CEXs. We should understand that there are always an advantages and disadvantages about CEXs and DEXs, moreover, people have their own reasons why they prefer DEXs over CEXs or vice versa.

I have a question, if DEX is really as good as many people are saying, why do most people still use CEX, even big whales, if they want to sell their bitcoins, they also move bitcoins to the CEXs and no DEX use? I'm not saying DEXs are bad, but Cex is clearly dominating and I think there's a reason for everything. Even investors are using CExs, it's confusing.

You should not be confused mate. You using any of the exchange depends on your comfort and satisfaction derive from the exchange. You should know that CEX and DEX have different features although some would say DEX is ok to go with but also remember that there are some good at CEX.
DEX as I know mostly is for fast swapping of Crypto assets without much wasting of time. Using Dex, your assets and funds are still under your custody and there are no third party to take charge of it but a self custodial wallet access to transact compared to CEX where you would need to transfer your assets to their custody and do your transaction being monitored and charged high for withdrawal fee two ways. CEX platform could allow you trade and monitor trends and charts as the trading goes on
In all, self custodial wallet is absolutely the best form of Crypto storage. There are no third parties here but only you is the sole custodian of your assets which makes it more safe and secured.
Remember; " not your keys,not your coin"

bayu7adi

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dont be greedy

Taking responsibility for ourselves is a valid statement. Even the government will never be responsible for our lives and deaths, so risking a large portion of our wealth with others is still a wrong decision to this day.

To secure our own assets, it is important to know some ways to protect them from hacking. There are numerous cases of personal computers being hacked. If someone suspects their computer has security issues, a hardware wallet can be the solution.

Tony116

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Quote from: Maslate on June 08, 2023, 09:52:18 AM

As a matter of fact, decentralized exchanges should be as good as centralized exchanges, and many people will start using them. One of my friends told me that he thinks that centralized exchanges are better for trading, so he will never abandon a Dex to deal with it.

No one is saying that decentralized exchanges are bad, we have to admit that they still cannot compare to the utilities and variety of services centralized exchanges provide. We enter the market not only to invest and hold, but there are many other ways for us to make profits, and most of those services and methods are provided by CEXs. For trading alone, DEXs cannot offer many trading pairs, and high transaction fees are a big obstacle for traders. While CEXs are providing these features very well, it is very difficult to discontinue or remove CEXs.

Exactly! Investors and holders will not be holding their coins into CEXs if there is no need for them to retain their coins in that particular platform as I don't think that people especially big hodlers don't know the risks of holding various coins in CEXs. We should understand that there are always an advantages and disadvantages about CEXs and DEXs, moreover, people have their own reasons why they prefer DEXs over CEXs or vice versa.

I have a question, if DEX is really as good as many people are saying, why do most people still use CEX, even big whales, if they want to sell their bitcoins, they also move bitcoins to the CEXs and no DEX use? I'm not saying DEXs are bad, but Cex is clearly dominating and I think there's a reason for everything. Even investors are using CExs, it's confusing.

I think it's part of the routine, I mean, we used banks, stock traders, forex...All have used centralized exchanges for the past hundred years, and people are used to depending on those exchanges. While the concept of decentralization has only been of interest since the birth of bitcoin, and it is only 14 years old and cannot be compared with hundreds of years of centralized platforms and services. Moreover, as I also mentioned above, the decentralized exchange still has many shortcomings and cannot provide as many services and full features as CEX, so many people still prefer to use CEX.

mvdheuvel1983

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With self custody, the only thing you are afraid of is losing your keys to a scammer and nothing else. You are relaxed knowing that even if 10 crypto exchanges should declare bankruptcy today your bitcoins is safe. Because you have both your keys and your coins untouched. So self- custody wins. Even if you decide to use any exchange, Keep only amounts that you can afford to lose there.

Cookdata

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Not Your Keys, Not Your Bitcoin

Quote from: DeathAngel on June 08, 2023, 11:32:10 AM

He can one day decide to go greedy, Bitcoin was created to be under no man's control or power, we should start using Bitcoin the right way.

I pity users that support and like CZ tweets anytime that nigga makes a tweet but I understand that it is not their fault, most of them had a poor orientation of crypto. If you profile most of them, they either get to know Bitcoin through a friend that is not well educated about Bitcoin or know Bitcoin through Binance since the Binance trading platform dominates everywhere, they don't have a basic orientation about privacy and security, they don't know when and how to used custodian wallet and decentralized exchanges and the worse of this is that when you try to engage them about their flaws, they will come for your head, they are too deep to be corrected but maybe with time, some of them will learn it the hard way or the soft way.

tjtonmoy

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I have no interest in CZ. I will only use Binance exchange when it's necessary. When I am done with it, I will always keep my assets in a private wallet. As mentioned in OP, it is true that as humans, we are bound to do emotional things. From the beginning of the time, we all loved to do forbidden things. This is human nature. CZ could also feel the same and do the unthinkable.

As always, it is the best option to keep your assets in a private wallet. CEX are just shit, but because we are helpless in certain situations without it, we will use it for that. But what I do is, I always withdraw my funds once I have completed my business in there. Mostly I use it to convert crypto to fiat in emergency situations. I don't trade much. If I do trade, I will withdraw them to my personal wallet afterward. People are using decentralized exchanges nowadays. They are good too, but I am a bit concern about their security. So I try to do my business with centralized one and when the job is done, I will exit from there. It is a necessary evil, so we should treat it as such.

Odusko

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The first rule is, to keep custody of your coins because not your keys, not your coins, this is the only language we understand in this industry, and that will help some of us a lot in making the best choices for where to hold our coins and to keep our coins out of the exchange wallet because the exchange is a third party agent that either the government can seize and control at any time.
I saw in a tweet that CZ is denying being sued and the thing is all about regulatory compliance.

Jating

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Self custody is always the way, it always has been. People like to trade with a small % of their stash though. Also if you have limit sell orders you have to leave your coins on an exchange. There is no other option there unfortunately. Obviously you mitigate risk but all of us at some point have some exposure to the potential of getting scammed by leaving money on exchanges.

Yeah, that's always been the case for us, specially those who have been in the market for so long, who has the experienced already on why self-custody is the best because putting thousands of dollars in exchanges are not the best options. We have seen and hear bad stories, the most notable is the Mt. Gox hacks.

Although maybe some of us have coins is some exchange because after all we are active traders. But I do believed that wise traders and speculators are not putting huge money in their account. Just a small % to continue with their daily trade and at least make some money out of it. And if they have profits already, then withdraw it right away.

Rruchi man

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Quote from: minairia3 on June 08, 2023, 10:00:30 AM

While I continue with my reading, I notice few people hailing CZ that he is cool and that they will always trust him no matter what, some are asking if they should remove their funds from the exchange.

As you can see, too many people still entrust their Bitcoin with a guy like CZ, don't get me wrong, I am also a fan of CZ, but I will never entrust my Bitcoin or even my money in the hands on any CEX, sorry CZ if you are reading this.

Like I always say for us to be careful with trusting people and services just because of the title they answer and the position they hold, trusting that binance because of its position in the exchange industry can be a big mistake. Practice self custody, although it also has it's dangers.

Self custody can be as dangerous as entrusting your bitcoins in the hands of an exchange. It is not advisable to keep your bitcoins in an exchange and also not advisable to rush into practicing self custody without any knowledge as a newbie to cryptocurrency.

Understand how to keep your bitcoins safe with self custody before practicing it.

DeathAngel

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Self custody is always the way, it always has been. People like to trade with a small % of their stash though. Also if you have limit sell orders you have to leave your coins on an exchange. There is no other option there unfortunately. Obviously you mitigate risk but all of us at some point have some exposure to the potential of getting scammed by leaving money on exchanges.

Z-tight

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I have a question, if DEX is really as good as many people are saying, why do most people still use CEX, even big whales, if they want to sell their bitcoins, they also move bitcoins to the CEXs and no DEX use? I'm not saying DEXs are bad, but Cex is clearly dominating and I think there's a reason for everything. Even investors are using CExs, it's confusing.

Centralized exchanges have more trading volume because it is what most people are introduced to when they start their crypto journey, there are many people who use crypto but don't know that there are true p2p exchanges, they were only introduced to centralized exchanges, so whenever they discover decentralized exchanges, they find it to be complicated and choose centralized exchanges for 'convenience'.

Good p2p exchanges like bisq offer more privacy and security, if you don't want to give your personal info to data farms, use an exchange like bisq; but if you use an exchange like Binance, you have no privacy and Binance controls your money, so the best thing you can do is to move your funds into your self custody wallet after trading, leaving it in their platform increases the risk you are exposed to.

minairia3

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Quote from: Maslate on June 08, 2023, 09:52:18 AM

Quote from: Awaklara on June 08, 2023, 09:44:19 AM

As a matter of fact, decentralized exchanges should be as good as centralized exchanges, and many people will start using them. One of my friends told me that he thinks that centralized exchanges are better for trading, so he will never abandon a Dex to deal with it.

No one is saying that decentralized exchanges are bad, we have to admit that they still cannot compare to the utilities and variety of services centralized exchanges provide. We enter the market not only to invest and hold, but there are many other ways for us to make profits, and most of those services and methods are provided by CEXs. For trading alone, DEXs cannot offer many trading pairs, and high transaction fees are a big obstacle for traders. While CEXs are providing these features very well, it is very difficult to discontinue or remove CEXs.

Exactly! Investors and holders will not be holding their coins into CEXs if there is no need for them to retain their coins in that particular platform as I don't think that people especially big hodlers don't know the risks of holding various coins in CEXs. We should understand that there are always an advantages and disadvantages about CEXs and DEXs, moreover, people have their own reasons why they prefer DEXs over CEXs or vice versa.

I have a question, if DEX is really as good as many people are saying, why do most people still use CEX, even big whales, if they want to sell their bitcoins, they also move bitcoins to the CEXs and no DEX use? I'm not saying DEXs are bad, but Cex is clearly dominating and I think there's a reason for everything. Even investors are using CExs, it's confusing.

CryptSafe

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He can one day decide to go greedy, Bitcoin was created to be under no man's control or power, we should start using Bitcoin the right way.

I think the incident that happened to FTX has taught us an important lesson. the few who still keep their Bitcoins on exchanges are most likely those who trade. and so do novice investors who think an exchange like Binance is a haven for their Bitcoins.
long term investors will hold their assets in personal wallets. and I think traders should also start following it to withdraw their money once the trade is over. leaving it on the exchange becomes risky, and the trader does not need to take any greater risk.
we still have to be careful, Binance can also experience events that occur on FTX.

Most traders I believe still leave their funds in exchanges all in the name of comfort and avoiding stress in moving funds to and fro. I have had that experience too but not this time anymore. I can not in my right senses make such a mistake anymore as it is very risky to even dare such.
As a long term investor, one should be enlightened as to know the reasons behind such action as it is for their own good. Some investors are just newbies as you have said and they are mostly ignorant at times and have no clues how the system works for crypto owners hence their actions of leaving crypto on exchanges and not their custodial wallet.

Maslate

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As a matter of fact, decentralized exchanges should be as good as centralized exchanges, and many people will start using them. One of my friends told me that he thinks that centralized exchanges are better for trading, so he will never abandon a Dex to deal with it.

No one is saying that decentralized exchanges are bad, we have to admit that they still cannot compare to the utilities and variety of services centralized exchanges provide. We enter the market not only to invest and hold, but there are many other ways for us to make profits, and most of those services and methods are provided by CEXs. For trading alone, DEXs cannot offer many trading pairs, and high transaction fees are a big obstacle for traders. While CEXs are providing these features very well, it is very difficult to discontinue or remove CEXs.

Exactly! Investors and holders will not be holding their coins into CEXs if there is no need for them to retain their coins in that particular platform as I don't think that people especially big hodlers don't know the risks of holding various coins in CEXs. We should understand that there are always an advantages and disadvantages about CEXs and DEXs, moreover, people have their own reasons why they prefer DEXs over CEXs or vice versa.

bayudndy

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While CZ has played an important role in the crypto industry and built a successful trading portal, it must be recognized that exchanges, including Binance, are profit-driven businesses. As with any centralized exchange, there can be concerns about transparency, regulatory compliance, and the potential for manipulation such as wash trading. So in terms of self-management, this is actually considered a safer way to manage cryptocurrencies, as it gives you complete control over your assets. While convincing all cryptocurrency holders to adopt self-management can be challenging, educating and raising awareness about the benefits and risks of different custody options can help you make informed decisions.

Awaklara

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He can one day decide to go greedy, Bitcoin was created to be under no man's control or power, we should start using Bitcoin the right way.

I think the incident that happened to FTX has taught us an important lesson. the few who still keep their Bitcoins on exchanges are most likely those who trade. and so do novice investors who think an exchange like Binance is a haven for their Bitcoins.
long term investors will hold their assets in personal wallets. and I think traders should also start following it to withdraw their money once the trade is over. leaving it on the exchange becomes risky, and the trader does not need to take any greater risk.
we still have to be careful, Binance can also experience events that occur on FTX.

Tony116

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As a matter of fact, decentralized exchanges should be as good as centralized exchanges, and many people will start using them. One of my friends told me that he thinks that centralized exchanges are better for trading, so he will never abandon a Dex to deal with it.

No one is saying that decentralized exchanges are bad, we have to admit that they still cannot compare to the utilities and variety of services centralized exchanges provide. We enter the market not only to invest and hold, but there are many other ways for us to make profits, and most of those services and methods are provided by CEXs. For trading alone, DEXs cannot offer many trading pairs, and high transaction fees are a big obstacle for traders. While CEXs are providing these features very well, it is very difficult to discontinue or remove CEXs.

CryptSafe

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