Topic: Stay away from centralized wallets (Read 3937 times)

Yes, I have enough knowledge of the difference between Centralized wallets and Decentralized wallets. Because I am a victim like you. I have been used coin base wallet, suddenly, my account was blocked without any reason. I have submitted everything to unblocked my account but they didn't support me. Anyway, I promised that I will not use any centralized wallet again.

As far as I know it calls custodian and non-custodian wallets. I always definitely choose those wallets which give me private key or pass phrase, because I always can get access to the wallet even if I lose my smartphone or solid drive.

I can't even remember when last I used a centralized wallet to store my crypto.
Storing your funds/crypto in a centralized wallet is like the same as storing or leaving your money on a centralized exchange, anything can happen or go wrong and your money can voom!, disappear.
Everyone in crypto should learn how to keep their seed phrases/private keys safe and use decentralized wallets like trust wallet to store their funds
.

Things will take a different turn for centralized wallet once regulations is a must for all centralized projects and platforms in crypto space, to keep coins on coinbase requires no KYC yet but as time goes on non verified users won't be able to use such wallets, maybe that's when some people will understand the difference

Exactly. Choosing one type of wallet from the other will greatly depend on a person's specific needs. For newbies, a centralized wallet proves to be an extremely convenient tool to gain access to the world of crypto without technical knowledge whatsoever. But experienced crypto users will find decentralized wallets an indispensable tool because of their focus on security, reliability, and censorship resistance. It's important to know that both centralized and decentralized wallets have their respective advantages/disadvantages. Just to be safe, only leave a small portion of crypto in a centralized wallet. For large crypto holdings, decentralized wallets (either software or hardware related) prove to be a no-brainer for achieving rock-solid security against malicious actors. The only downside is that the responsibility of securing your funds will solely lie in yourself.

Nonetheless, it seems to me that centralized wallets won't be going anywhere. They will co-exist with existing decentralized solutions in the crypto/Blockchain space. Whichever type of wallet you choose, always remember to act responsibly in order to avoid facing many undesired situations in the long run. Following the necessary security precautions will allow you to stay safe in this wild and crazy world of crypto. Just my opinion

This is actually true, most of the time the hacker just gonna stop their hacking activities right away when they notice that the user enables 2fa unless the hacker somehow got an access to the victim's personal information regarding phone number to somehow social engineer it's just near impossible to go through this security system.

But, centralized wallet still vulnerable against any potential threat that occurs from inside the platform for example when the centralized wallet decides to just steal away all the users asset. Though, I'd still prefer open source crypto wallet

It would be very necessary when we restrict to use the centralize exchanges and hold money on it as less as possible. There were many attacts of hacker that aim to the centralize exchanges like Okex recently and there will be more especially when the cryptocurrency market is getting hot again as now.

A lots of wallets are available in the market at this point of time. Many of them centralized and some of them fully decentralized. I always prefer wallets which are fully decentralized. And normally i go for those wallets which are suggested by the coin or the official wallet. The main basic of the whole blockchain is we have the full ownership of our asset. And centralized wallets are fully opposite of it. Bbut there are many 3rd party centralized software or tools which are very popular in the community. So it's fine in some ways.

Centralized wallets or decentralized - the choice is only on the user's side! Each solution has its advantages and disadvantages, each has acceptable and unacceptable risks. Someone does not worry that he does not fully manage his wallet, for another it is important that no one except him can manage his assets. Someone believes in "a worldwide conspiracy of the holders of the private keys of our wallets", and some laugh at it. At the same time, everyone evaluates the situation subjectively, since there can be no real objective assessment of risks due to the huge number of nuances

That's not always valid, there might be some wallets who are not 100% centralized and they might ask for your email and for a password. In this case i will mention Blockchain.com wallet. It's true that these centralized wallets might even have the private key to your wallet and they might even scam like SpectroCoin. Be safe and use MyEtherWallet as your main wallet.

I am starting to stay away from centralised wallets in terms of storing our coins or tokens. Not our keys  not oue coins. When the funds usually arrive to my centralised wallet, I immediately withdraw it to bank, mobile wallet or remittance. These centralised wallets have the power to freeze and limit your transactions. Decentralized wallets are the future.

Lack of private keys and recovery seed can't be called secured in crypto space, coinbase is a perfect example of a Centralized wallet, any wallet that requires gmail account and password to log in is not secured, your email can be compromise, funds can get stolen, remember not your keys not your fund.

I think all wallets use tight security especially for wallets like Coinbase, how can your account be stolen, maybe you don't have security features like gauth or email verification. As long as I use my coinbase account there are no problems especially when it gets stolen and if that happens you might be mistakenly logging into the fake coinbase web

If a Centralized wallet goes down it goes down with your funds, if a decentralized wallet goes down you can still import your recovery seed into another decentralized wallet to recover your funds, it's that simple as ABC, Centralized wallets isn't safe for keeping valuable assets

Depend on the person they will choose a centralized and decentralized wallet, based on the user requirements he will choose to store in the decentralized wallet for controlling his own transferred, in centralized, there is risk involved to hold our asset in the exchanges. So better store them in our own wallet in order to control our assets.

Coinbase happens to be one of the most trusted centralised wallet if not the top in most of the European countries and the US. May be the support couldn't respond to your request because the piles of works or pile of support tickets available before yours came in. I use Luno and I've never had an issue unsolved with them. It is nothing but great experiences at all time.

So far all the wallet i have used are wallets that i have my private keys, it is never a good idea to trust centralized wallet because anything can happen and you will be left with nothing,
there are many wallets out there which you can hold your private keys and have control of your funds. trust wallet is a good one.

That is where the challenge lies, the storing of the keys is in itself a worrisome ask for most of the people new to cryptocurrency. A spreadsheet there, a notebook here, a password system here and there. Many tend to lose that information either to hackers or to computer persons able to get their data when they try to repair their devices. Many of the computer persons are aware of cryptocurrency and will do everything to get their hands to private keys and passwords.

I think this is pretty special and valuable for low asset moving on different records. Be that as it may, I really like Trust wallet as a decentralized wallet. There are heaps of unified wallet accessible and behind them they got some enormous name. That is the reason numerous new individuals go there . In any case, on the off chance that you definitely know this space or even began to find out about crypto space I would suggest you generally go for a decentralized wallet.

I agree with your statement. Centralised wallet has a big risk. Why would you put your moneynon centralised wallet while you can used your own wallet.and again we never know is their server secure enough or no. Many decentralised wallet like trust and exodus which self custody.