Topic: Stay away from centralized wallets - page 11. (Read 3970 times)

I don't think it's proper to use email and password to access a wallet where funds are kept. They usually say they don't store your details but how true is that ? Moreso this is decentralized world where we preach freedom to everyone. It's better for people to handle the details of their funds themselves. The bads are more than good for centralized wallet.

I remebered xapo wallet before I was tried and I recommend also to this wallet to my friend I have a vibe that it is not secure my funds so I withdrawa my coin and I literally found another wallet such as blockchain and coinbase but in the list coinbase is still there but I lile when I tried but now I use one wallet only.

Keep in mind that some centralized wallet are independet of exchange though most of them are "built-in" to the exchange platform. But, yes you are right that centralized wallet has the advantages in term of speed but sometimes if you are unlucky you will face the struggle of getting demanded verification or even your account being frozen. just beware of that.

you are right that the speed of centralized wallets is very high, but I think that if you have a lot of money on your wallet, for example, 10 bitcoins, then you will think more about their safety and not about the speed of their movement

Nothing wrong with centralized wallet because we often use it, for example the exchange wallet.
Using centralized wallet is not the best option for security indeed, but for trading you will need centralized wallet for speed.

Do not say blockchain wallet is not the best crypto most secured wallet. Users have complained of may hacks who had use SMS option for 2FA, more so experts have always reported bug on the wallet. More so, this supports only the legacy wallet which could lead to more transaction fee and longer time to confirm as compared to segwit.

Hmm rightly so!Centralize wallet is like centralize exchange. Anytime without a notice you can lose your funds so easily. Even though everyone knows coinbase is one of the most popular cryptocurrency wallet but their support don't even work.So what point is make if you want to store your fund don't choose any centralize exchange or wallet. You must choose an offline wallet to store your funds safely.

DEX's does not have much coins to trade on unlike CEX, low liquidity and somewhat complex to use for new traders, I could remember when etherdelta firstly came out then,  lots of traders lost their funds due to the complexity of the exchange. the best thing to do is for one to not use CEX in storing coin,  it should be basically meant for trading,  or better still look for the wallet of the coin you wanna hold and download it for storing your coins rather than holding it on CEX.  You cannot stop using CEX, you just have to be careful about the amount you put in it

Same can be said about exchanges.

Stop using them, and try DEX's like Blocknet if you want to feel the experience of being in full control of your funds at all times.

A friend of mine lost $3500 on Cryptopia when it was hacked, and I'm sure there are PLENTY of others out there who's lost thousands due to storing cryptocurrecies on exchanges.

That's indeed the problem that we are facing, something forcing ourselves to adopt the decentralization kind self harming but centralized wallet also come with biggest disadvantages to the people who are using it though they might be ignorant about it simply because it's not happening immediately. For example when the wallet of an exchange got hacked and the client got no reimbursement and many more. Pick what suit you best I guess.

I wouldn't use any wallet that can't have the basic recovery option like private keys and recovery seed. Sad to hear your loss but this is usually a must when using any wallet service. Definitely put all the wallets you mentioned about to blacklist.

It only depends on the user's needs.
Some traders don't like to save a lot of PK because of their active transactions with various types of coins so they prefer multi-crypto wallets to save assets because it is more efficient. Despite losing access due to a password or e-mail, they still have the chance to recover many times with the help of support.

Decentralized wallet has many advantages in terms of security, yep we know that. It's just that, if the PK leak once, then forever the wallet is not ours.

I don't use any  of those wallets. I always use blockchain wallet from the first time i join in crypto trade. Blockchain is the best and secured wallet. So why will i use third party wallets. Coinbase did many problems from me and they didn't helped when i did kyc but their behave kicked me back to blockchain.

If you want to save and secure your crypto then I suggest never hold your crypto on centralized wallet because they have access to your assets. In this way they can do anything with your crypto / assets. Therefore I always recommend my friends for decentralized wallet specially hardware wallet is the best or where you can get your wallet key or seeds phrase those wallet are save.

Good luck

Thanks for this vital information, I have to agree with you on this, I could remember vividly when a friend of mine luno account was hacked,  despite having 2fa activated,  the name centralized says it all,  anything can happen to funds at anytime,  because there is no control over your wallet personally

Centralized wallets are traps set and waiting for whom it will catch but its always easier to understand and manoeuvre through, hence the reason why most people use it

Centralized wallets prove to be an easier way to manage crypto assets than decentralized ones, especially for newcomers in the crypto space. The responsibility of securing crypto funds against hacks/theft, and maintaining custody of private keys, lies on the service provider itself instead of the end user. It's easy enough for anyone to create an account in the aforementioned sites without a deep understanding of crypto whatsoever. Since service providers are the custodian of your crypto funds, they can do whatever they want with them (freezing, confiscating assets) just as Banks do with Fiat today. With decentralized wallets, you and only you have control of your crypto funds.

As long as you "own" the private key that unlocks your crypto balance, your funds will be as safe as you want them to be. You don't have to worry about getting your account frozen, funds confiscated, or experiencing undesired hacks (depends on how well you secure your crypto assets). Of course, it's less convenient to use a decentralized wallet since the responsibility of securing crypto funds lies in the person himself. But I'd say that this is so much better than using a third-party service (centralized) that truly defeats the purpose crypto was created for.

Nonetheless, I believe that most people are aware about the risks involved when using centralized wallets. But they'd prefer convenience over security because it's the easiest route to take. As long as people continue to use and patronize centralized wallet providers, the risks of hacks/theft will always be there. Smart crypto users will use decentralized wallets to grasp the full benefits of crypto. Just my thoughts

Just as it goes, centralized wallets, it is good enough for people to be cautious and preferably stay away as the owners or creators of the wallet can still manipulate to get what they want. In terms of ERC tokens, using trusted wallets like Trust wallet, Enjin etc is good and in case of a new project with a different wallet, asking the team directly for the recommended wallet is the best idea and if possible link to get the wallet. Carefulness is very important when dealing with wallets since we store our assets on them.

People who invested and store their wallet for the long term should know various kind of wallets and they should learn to read the TOS of every wallet that they are going to use, you must be able to transfer your wallet with your private key and they must not have access to your seed or private key, if they have, then don't use their wallet.

if you want to secure your assets or store them in a centralized wallet I recommend with Trust Wallet. Why? because this centralized wallet is safe and if something bad happens to the wallet, there is a possibility that the developer will return the lost assets, if you can provide proof that you are a true wallet user.