Topic: Treat exchanges the way you treat your casino accounts. - page 2. (Read 226 times)
The holding of the fund in different accounts often result in forgetting these accounts and their passwords. Also if we hold some coins in the account and that may be for the more time then there must be more risks for the users . May be that exchange got hacked and may be that coins would fallen greatly. All these things should be keep in mind only then the way we trade can be profitable. On the other hand the exchanges are I think for trade would be taken note of but not storing more funds in these different exchanges would be a wise thinking at all.
Those of us who gamble might get this better.
When dealing with your online casino accounts, you usually just fund them with the amount you want to use in gambling. It's usually funded from your bet accounts or wallet. You don't leave your winnings in that account. You withdraw them to your bank account or crypto wallet.
The same logic should be applied to your exchange account. Fund it with just the amount you want to trade or exchange. For traders, you can withdraw your profit into your wallet and leave only the amount you want to trade with.
Gamblers don’t usually trust online casinos, which is why they always withdraw their earnings immediately. Some people are leaving some in there for the purpose of playing additional games but not for the purpose of saving them in their The same ideas should be applied to centralized exchanges because leaving your coins in their custody is the same as gambling with your money because you can lose them anytime. Take CEXs as a market place where you will buy and sell your crypto coins, and move your coins out of the market when you are done trading them. When dealing with your online casino accounts, you usually just fund them with the amount you want to use in gambling. It's usually funded from your bet accounts or wallet. You don't leave your winnings in that account. You withdraw them to your bank account or crypto wallet.
The same logic should be applied to your exchange account. Fund it with just the amount you want to trade or exchange. For traders, you can withdraw your profit into your wallet and leave only the amount you want to trade with.
Whatever the service is, as long as their wallet is fully custodial, then you're not supposed to treat it as a storage. We've seen enough hacks, scams, funds management problems, etc. to know how fragile it is.
Best to go with non-custodial and non-hot wallet for storage
Best to go with non-custodial and non-hot wallet for storage
The same logic should be applied to your exchange account. Fund it with just the amount you want to trade or exchange. For traders, you can withdraw your profit into your wallet and leave only the amount you want to trade
It is obvious and the gambling example is just a waste here (in my opinion don't mind please) because if you would not have used it, the meaning would be crystal clear still. But hey maybe those who have not get the meaning of why people are saying not to hold coins on CEXs. TBH I am one of those who hold on CEXs but planning to move to non custodial wallet.Actually I have to do p2p or sometime trading that's why I was keeping funds on CEXs otherwise I value your suggestion and we all should adopt it. Because if you don't own the keys then you don't own shit. Yeah I replaced the word coin with shit. hehe
Well, we should use CEXs for trading or relevant activity purposes, besides this holding is not one of the great uses we should chose CEXs for, and that has been proved in history so many times.
I highly agree with @OP, there is no difference in leaving our fund in a casino and leaving our fund in a centralized exchange. Both are not created for stashing our coins. They are created for a certain purposes, casino for gambling and exchanges for converting and trading our coins. Any usage our side that services may put risk into our funds. Since they are not use for stashing our cryptocurrency, if we leave our fund idle on their platform, there maybe a huge possibility of losing our funds, either by inside jobs or hacks.
It should be common knowledge by now that we're not supposed to leave our coins in an exchange, sadly it's not.
Most people who are opposed to storing their funds in Centralized Exchange are talking about their investment funds which they are hodl, not about their trading fund which they use to speculate on the market. And most of the time investment funds that they hodls is in huge amount, much more than trading fund, which will be extremely risky to be stored on a Centralized Exchange that can instantly without any reason freeze your account and just your money.
It should be common knowledge by now that we're not supposed to leave our coins in an exchange, sadly it's not.
It is very common, it's the people who are not having the required knowledge that could lead to their realization of this, it's just as if you're having a package but doesn't know what's in the package for you, if you're using an exchange, you're the same as someone using a bank.
We have an opportunity to have full control of our money. A system different from the traditional banking system, so what purpose is moving from the traditional banking system if you'll just end up keeping your money in a centralized exchange?
The bitcoin network is always available for the sake of those who wish to have their bitcoin on their non custodial wallet, noody is stopping others, but they were not aware of the
Holding your coins on a centralized exchange is an individual decision and hopefully, they already know what the risks are.
We always recommend not holding the coins for a long time because we don't know how long the exchange will be operational. Moreover, there have been several centralized exchanges that have ended up experiencing problems, making us have to be careful.
If we want to keep the coins for a while, that's fine. The important thing is that we always remember what we have to do and don't keep the coins for too long.
It's better if we move it to another wallet that we can control fully. And if you still want to keep those coins on a centralized exchange, only keep what you can afford. It would be the same as what we do in a casino, use the money we can afford.
We always recommend not holding the coins for a long time because we don't know how long the exchange will be operational. Moreover, there have been several centralized exchanges that have ended up experiencing problems, making us have to be careful.
If we want to keep the coins for a while, that's fine. The important thing is that we always remember what we have to do and don't keep the coins for too long.
It's better if we move it to another wallet that we can control fully. And if you still want to keep those coins on a centralized exchange, only keep what you can afford. It would be the same as what we do in a casino, use the money we can afford.
I get where you come from but the main idea you present is not the best advice. Many gamblers do not treat their Casino accounts properly or in a healthy way. They often deposit more than what they are willing to risk and they end up losing it all.
If you are a gambler. Do not treat Centralized Exchanges the same way you treat your Casino accounts. Practice more self control and precaution instead.
If you are a gambler. Do not treat Centralized Exchanges the same way you treat your Casino accounts. Practice more self control and precaution instead.
It is common advice to treat an exchange account as a trading account and not a holding account. Holding crypto in an exchange account has a lot of benefits for example on Binance you get a good APR for holding USDT (my personal experience). Whereas holding your USDT in your personal wallet would not fetch you anything. Again they have airdrops that are quite lucrative wherein you get a good amount of new tokens that are supposed to be listed if you hold BNB. What I am telling you is that based on my personal experience that does not mean I am using the exchange wallet for holding all of my coins.
Having said that what will you get if you hold your cryptos in a Gambling platform? Nothing! Sadly that is the truth and you cannot force anyone to follow the rules. We are here because we do not accept the rules and yet your advice can be considered unless you can provide a way to generate passive income with your crypto assets in your personal wallet. I feel if you have Bitcoin or Ethereum in your portfolio then regardless of the offers provided by any centralized exchange it is better to keep them in your personal wallet.
Having said that what will you get if you hold your cryptos in a Gambling platform? Nothing! Sadly that is the truth and you cannot force anyone to follow the rules. We are here because we do not accept the rules and yet your advice can be considered unless you can provide a way to generate passive income with your crypto assets in your personal wallet. I feel if you have Bitcoin or Ethereum in your portfolio then regardless of the offers provided by any centralized exchange it is better to keep them in your personal wallet.
We have an opportunity to have full control of our money. A system different from the traditional banking system, so what purpose is moving from the traditional banking system if you'll just end up keeping your money in a centralized exchange?
Centralized exchanges have their sweet attraction that can not be denied by many cryptocurrency enthusiasts. They and you can use centralized exchanges, it's not like a dead pill that will kill us immediately when we touch and use it.It's just we must be careful when using centralized exchanges and how we assign our money for our accounts on centralized exchanges. It should be a very small part of our money. If we lose it, we will be still good enough with rest money that is not stored on centralized exchanges.
Reminder: do not keep your money in online accounts
Secure your wallets
Security checklist
Not your keys, Not your coins
Though people has now started becoming weary of CEX after all the issues from it even before the last year FTX crisis and this year binance money charges from SEC, if all investors starts practicing this, it will minimises the amount lost by them if any exchanges being use suddenly crashed or hack.
But aside the warning of storing coins on exchanges the other reason why some people warn against exchanges especially centralized exchanges that request KYC is the fact that one’s you get your coins from them even if the coins are move to self custody wallets there is still chance of your losing your privacy ones the government comes asking for it. So aside having full control of your funds, bitcoin also has given the opportunity of going anonymous.
And this include having more than one wallet at least two, your public wallet and private wallet, while transfering your coin non-KYC mixer before moving to your private wallet to avoid being trace from the public wallet.
It’s a common advice to always treat your exchange just as a market place. Although we can’t get everyone to listen but I read a report that bitcoin supply on exchanges has reduce to around 5.4% in as much as we can’t be sure of the reports I think many people have basically taken self custody of their holdings probably because of the recent uprise of issues either regulatory or hack cases faced by exchanges most importantly top exchanges.
But aside the warning of storing coins on exchanges the other reason why some people warn against exchanges especially centralized exchanges that request KYC is the fact that one’s you get your coins from them even if the coins are move to self custody wallets there is still chance of your losing your privacy ones the government comes asking for it. So aside having full control of your funds, bitcoin also has given the opportunity of going anonymous.
But aside the warning of storing coins on exchanges the other reason why some people warn against exchanges especially centralized exchanges that request KYC is the fact that one’s you get your coins from them even if the coins are move to self custody wallets there is still chance of your losing your privacy ones the government comes asking for it. So aside having full control of your funds, bitcoin also has given the opportunity of going anonymous.
It should be common knowledge by now that we're not supposed to leave our coins in an exchange, sadly it's not.
Some people feel we should ditch centralized exchanges altogether. I buy into that idea even though I've not fully stopped using them.
I don't quarrel with using centralized exchanges, my quarrel is with leaving your coins in them.
Those of us who gamble might get this better.
When dealing with your online casino accounts, you usually just fund them with the amount you want to use in gambling. It's usually funded from your bet accounts or wallet. You don't leave your winnings in that account. You withdraw them to your bank account or crypto wallet.
The same logic should be applied to your exchange account. Fund it with just the amount you want to trade or exchange. For traders, you can withdraw your profit into your wallet and leave only the amount you want to trade with.
We have an opportunity to have full control of our money. A system different from the traditional banking system, so what purpose is moving from the traditional banking system if you'll just end up keeping your money in a centralized exchange?
Some people feel we should ditch centralized exchanges altogether. I buy into that idea even though I've not fully stopped using them.
I don't quarrel with using centralized exchanges, my quarrel is with leaving your coins in them.
Those of us who gamble might get this better.
When dealing with your online casino accounts, you usually just fund them with the amount you want to use in gambling. It's usually funded from your bet accounts or wallet. You don't leave your winnings in that account. You withdraw them to your bank account or crypto wallet.
The same logic should be applied to your exchange account. Fund it with just the amount you want to trade or exchange. For traders, you can withdraw your profit into your wallet and leave only the amount you want to trade with.
We have an opportunity to have full control of our money. A system different from the traditional banking system, so what purpose is moving from the traditional banking system if you'll just end up keeping your money in a centralized exchange?
Jump to: