Your favourite exchange can be nowhere to be found

DubemIfedigbo001

sr. member

Activity: 490

Merit: 346

Let love lead

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

mempool should not be a reason to choose exchange to keep bitcoin over good non custodialwallet

Exactly, your coins should be in your noncustodial wallets if you intend keeping it for a longer time for safety. The come that goes into your exchange should be those that you intend trading with. The mempool shouldn't be an excuse at all because you pay a greater price when you lose all your coins to CEX bankruptcy.

Some people give the lame excuse of accumulating their coins in the exchange to send it as one piece to their non custodial wallets, but its still possible to do same with two accounts in the same noncustodial wallets at a cheaper rate because sending to and fro exchanges costs more transaction fees. Safety of your coins is very important abs a serious issue because once its gone, its gone forever.

tranthidung

legendary

Activity: 2310

Merit: 4085

Farewell o_e_l_e_o

Quote from: Rikafip on April 30, 2024, 08:27:42 AM

Laziness and ignorance, as simple as that. Luckily for CEXes, theere is a constant influx of new users that no very little about all the dangers of using centralized exchanges to store their crypto.

They prioritize convenience than safety of their fund and it's easily to ignore risk even they are already informed about risk.

Like in Bitcoin forum, there is a pinned topic about that but I doubt that most of members, newbies read that thread and if they already read, they actually apply it for their fund storage.

Reminder: do not keep your money in online accounts

Information, warning are good only for people who are open-minded and ready to change from thinking to practice.

Rikafip

legendary

Activity: 1722

Merit: 5937

Quote from: Issa56 on April 26, 2024, 03:21:31 PM

I don’t just know why some people do take the risk of leaving their coin on exchange, we all have seen different exchanges that failed previously, lots of exchanges have been hacked before, I just dont know why some people are not learning from things that happened previously

Laziness and ignorance, as simple as that. Luckily for CEXes, theere is a constant influx of new users that no very little about all the dangers of using centralized exchanges to store their crypto.

Quote from: Adbitco on April 30, 2024, 06:21:42 AM

Those who keep funds on exchange are those who is trading on a regular basis

That would be great if those were the only one who are keeping their crypto on exchanges. In reality, biggest "problem" are those who are using centralized exchanges for a long term hodl, as they mistakenly see exchanages as a sort of bank while in fact they are much worse than them and offer bascially no protection at all.

Adbitco

hero member

Activity: 1428

Merit: 653

Leading Crypto Sports Betting & Casino Platform

Those who keep funds on exchange are those who is trading on a regular basis and it's very hard to keep moving fund in and out when they want to carry out some trades as the case may be, you know as a trader there should be some funds on reserve in the exchange, what I will like people to do is to always move out their fund when they have made enough profits in their trading than keep accumulating the whole fund inside exchange when collapse come they lose everything. For investors, it's advisable to use a noncustodial wallet where they can have access to their private key and seed phrase.

Cryptoprincess101

full member

Activity: 434

Merit: 216

The reason why most people prefer to store their coins on exchanges is due to the difficulty they face why withdrawing their coins from non custodial wallets to exchanges because of high transactions fees and congestion in mempool that basically takes more time even days before transactions are confirmed and is not everyone that is hodling Bitcoin as majority of people are just interested in swapping their Bitcoins to fiat especially when they have recorded a little profit.
The percentage of hodlers is very low because most of the people that uses non custodial wallets are long term investors so they prefer to store there coins for a long interval knowing too well that they can have access to their coins anytime with the use of their seed phrases.
But for short term hodlers, they mostly use exchanges for easier transactions.

BABY SHOES

sr. member

Activity: 294

Merit: 433

HODL - BTC

Quote from: qwertyup23 on April 27, 2024, 09:47:53 AM

QUESTION:
Given that we know custodial wallets hold the safest way for security, do you guys have any recommendations on how to start? I have been a forum user since 2017 but I still hold my BTCs inside exchanges. Are there any guides in order to transfer my BTCs in exchanges to non-custodial wallets?

Custodial wallets are not secure because it is a third party like an exchange that manages your assets. So this is not recommended by many people, you can start by creating a non-custody wallet or called hotwallet as a free wallet where you can have your own control will be better or have hardware much more secure, I save here.

It's simpler that all you have to do is withdraw BTC from the exchange to a custody wallet even that's simple right? But I realize the withdrawal fee will be quite high.

Miles2006

sr. member

Activity: 182

Merit: 120

I'm not familiar with the exchanges listed but I made a little research about FTX, this is another means whereby owners misuse people funds and from my understanding this is common among exchange. But at first I don't think the idea of storing coins in an exchange is right besides I believe exchange are meant for buying and selling as the name imply. I read similar story few days ago concerning exchange and should be avoided cause the person giving this testimony has experienced such situation before (victim). This issue have been discussed several times here so it's enough reason we stay out from exchange in terms of storing our coins but still it's best forum members throw more light on this in order to enlighten newly investors

Wapfika

hero member

Activity: 1484

Merit: 597

Bitcoin makes the world go 🔃

Quote from: Alphakilo on April 28, 2024, 11:30:39 AM

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

list of failed exchanges & companies well known due to bankruptcy

FTX
FTX's implosion was the biggest and most spectacular crypto downfall in 2022.

They would have dragged Binance down with them too. Luckily, Binance knew what it was doing. They offered help then withdrew their help a couple days later. Why? Because by doing so the demise of FTX would be guaranteed in a matter of just days instead of weeks or perhaps even months. You try to save then back off at the last second, very well executed. For sure and without a doubt CZ was applying a secret technique from The Art of War. If Binance had not backed out, it would have been the one that faces bankruptcy because they will suddenly have to hold a worthless asset and huge obligation to FTX debtors.

There’s no way they can dragged Binance down because CZ itself orchestrated everything before he cut ties with them. He is one of the co-conspirators of SBF on doing shady things on their exchange

SBF pull out his investment on Binance while CZ do a rhetorical action but with greater intensity that cause a downfall to FTX. Right now CZ is also on the road for jail time same with SBF. I believe he already accept the penalties just to avoid more auditing on his exchange that might cause same scenario to FTX.

Alphakilo

sr. member

Activity: 560

Merit: 265

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

list of failed exchanges & companies well known due to bankruptcy

FTX
FTX's implosion was the biggest and most spectacular crypto downfall in 2022.

They would have dragged Binance down with them too. Luckily, Binance knew what it was doing. They offered help then withdrew their help a couple days later. Why? Because by doing so the demise of FTX would be guaranteed in a matter of just days instead of weeks or perhaps even months. You try to save then back off at the last second, very well executed. For sure and without a doubt CZ was applying a secret technique from The Art of War. If Binance had not backed out, it would have been the one that faces bankruptcy because they will suddenly have to hold a worthless asset and huge obligation to FTX debtors.

tabas

hero member

Activity: 3024

Merit: 745

🌀 Cosmic Casino

Just don't keep your funds on any exchanges, whether they are centralized or decentralized or you truly trust, it's best to have your funds on your hand where you hold the key. You'll never be sure whom to trust with your funds but no other than yourself and a non custodial wallet.
We have to learn to the past incidents that exchanges that have been known became an issue of the era where they've became popular.
@OP, don't forget about mt.gox.

avp2306

sr. member

Activity: 1022

Merit: 363

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

Before you feel so comfortable and relaxed with your favourite exchange wallet know their were some people's favorites exchange like that of yours that is nowhere to be found.

As for those that are new with no idea about exchanges that went bankrupt in the past. Don't be so comfortable with the exchange you are dealing with to keep your digital assets. Exchange being popular and big is not assurance that it is safe and last forever. Crypto exchanges are unpredictable and anything can happen.

This is a friendly reminder to those that may have forgotten or not aware of crypto exchanges that went bankrupt or crashed down and nowhere to be found.

list of failed exchanges & companies well known due to bankruptcy

FTX
FTX's implosion was the biggest and most spectacular crypto downfall in 2022.

BLOCKFI
Crypto lender BlockFi was the first crypto company to follow FTX into bankruptcy. BlockFi had several ties to FTX, BlockFi has previously said it had 450,000 users and intends to ask a bankruptcy judge to allow some of them to withdraw funds.

THREE ARROWS CAPITAL
The crypto hedge fund Three Arrows Capital (3AC) was a major crypto firm to go bankrupt in 2022, brought down by the collapse of cryptocurrencies Luna and TerraUSD in May 2022.

VOYAGER DIGITAL

CELSIUS NETWORK
Another crypto lender brought down by the Terra and Luna collapse, Celsius Network began its U.S. bankruptcy case in July on rockier footing than Voyager.

mempool should not be a reason to choose exchange to keep bitcoin over good non custodialwallet

Not your keys Not your coin this should be put in the mind of people since if they always feel comfortable storing their funds on exchange and don't check any updates then provably with this they might lose their money if the exchange scam them or suddenly collapsed just like what happen on those exchange.

Maybe its really so hassle to withdraw our funds then exchange it but we should be more mindful that even if the exchange is high reputable one they still have a chance to scam we prove it so many times. Non costudial wallets is always advisable so that we can avoid any possible danger brought up by any exchange scamming or any unwanted scenarios that we don't want to happen.

Kelward

sr. member

Activity: 588

Merit: 338

There are more crypto exchange service companies that have gone bankrupt or have been hacked that didn't make the OP list, example is Patricia, an exchange service in my country, they built a reputation and gained investors trust, eventually they were hacked, and their investors funds are gone. One of the best lessons that I've learned on this forum is that I shouldn't leave my coins in an exchange, no matter how reputable that they are, because they can go down anyday, "not your keys, not your coins". None custodial wallet is the best option to hold your coins, because you're the sole custodian of the private keys.

cryptoaddictchie

legendary

Activity: 2268

Merit: 1379

Fully Regulated Crypto Casino

Quote from: Dunamisx on April 27, 2024, 11:54:16 AM

a good example with how finance has been suffering a lot of threats upon attacks from US, Nigeria, India, Philippines and some other, we only know how it begins and we are not sure of where it may landed, you can just wake up a day to discover that the exchange have been banned from your country or it's under attack, what will be your fate at that moment being it's user.

Yeah as a forum user I am also that believer, I am just keen on those particular cex cause I can use them which noncustodial cant give me some needed features especially in p2p. Like in our country, The Sec pushing it ban here immediately without court order, I can see why our political aspect is indeed bound by crocodiles. Anyway thanks for that input.

Dunamisx

hero member

Activity: 952

Merit: 555

20BET - Premium Casino & Sportsbook

Quote from: cryptoaddictchie on April 27, 2024, 11:39:06 AM

Quote from: qwertyup23 on April 27, 2024, 09:47:53 AM

Unfortunately, Binance has been negatively tagged by our SEC since the company failed to comply with the requirements provided under the laws of the Philippines. Though this may be the case, Binance has released a statement saying that they will fulfil such responsibility in order to provide exchange and trading services in the country.

Yeah a very bad news but still accesible on the app. I can still use it. I believe they will not succeed on banning the Binance app on those platforms as they dont have enough reason to do so. Its like a force act on the part of SEC to fully implement the ban, but clearly they dont have the rights. People of the Philippines which uses crypto suffered form their insisting approach on Banning they arent protecting the people at all.

Exchanges are having a rough time with some of the governments already and it is better that if we have our digital assets with them, we should move them to a non custodial wallet, a good example with how finance has been suffering a lot of threats upon attacks from US, Nigeria, India, Philippines and some other, we only know how it begins and we are not sure of where it may landed, you can just wake up a day to discover that the exchange have been banned from your country or it's under attack, what will be your fate at that moment being it's user.

cryptoaddictchie

legendary

Activity: 2268

Merit: 1379

Fully Regulated Crypto Casino

Quote from: qwertyup23 on April 27, 2024, 09:47:53 AM

Unfortunately, Binance has been negatively tagged by our SEC since the company failed to comply with the requirements provided under the laws of the Philippines. Though this may be the case, Binance has released a statement saying that they will fulfil such responsibility in order to provide exchange and trading services in the country.

Yeah a very bad news but still accesible on the app. I can still use it. I believe they will not succeed on banning the Binance app on those platforms as they dont have enough reason to do so. Its like a force act on the part of SEC to fully implement the ban, but clearly they dont have the rights. People of the Philippines which uses crypto suffered form their insisting approach on Banning they arent protecting the people at all.

Spaceman1000$

sr. member

Activity: 700

Merit: 270

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

Before you feel so comfortable and relaxed with your favourite exchange wallet know their were some people's favorites exchange like that of yours that is nowhere to be found.

As for those that are new with no idea about exchanges that went bankrupt in the past. Don't be so comfortable with the exchange you are dealing with to keep your digital assets. Exchange being popular and big is not assurance that it is safe and last forever. Crypto exchanges are unpredictable and anything can happen.

This is a friendly reminder to those that may have forgotten or not aware of crypto exchanges that went bankrupt or crashed down and nowhere to be found.

list of failed exchanges & companies well known due to bankruptcy

FTX
FTX's implosion was the biggest and most spectacular crypto downfall in 2022.

BLOCKFI
Crypto lender BlockFi was the first crypto company to follow FTX into bankruptcy. BlockFi had several ties to FTX, BlockFi has previously said it had 450,000 users and intends to ask a bankruptcy judge to allow some of them to withdraw funds.

THREE ARROWS CAPITAL
The crypto hedge fund Three Arrows Capital (3AC) was a major crypto firm to go bankrupt in 2022, brought down by the collapse of cryptocurrencies Luna and TerraUSD in May 2022.

VOYAGER DIGITAL

CELSIUS NETWORK
Another crypto lender brought down by the Terra and Luna collapse, Celsius Network began its U.S. bankruptcy case in July on rockier footing than Voyager.

mempool should not be a reason to choose exchange to keep bitcoin over good non custodialwallet

It has been said repeatedly even here on the forum, that it is not advisable to keep most of your digital assets on centralized exchange, especially because of the uncertainty that is attached with them. I believe most crypto enthusias that leave their assets on most of the centralized exchange are basically traders, but for the long time holders, they mostly make use of non custodian wallet, as your keys is the gateway to access your assets.
I don't even want to believe that a holder will keep his assets in centralized exchange because of the fear of mempool congestion, because that will be ridiculous.

qwertyup23

hero member

Activity: 2282

Merit: 795

Quote from: cryptoaddictchie on April 26, 2024, 07:59:29 AM

Since its advisable to keep funds on our own noncustodial wallet then leaving on exchange is solely based on someones preference. You got it mate, some of these are high tier exchange before like FTX but experience a disaster trimming of funds. Only trust few with reliable and trusted one backed up funds like Binance or maybe OKX.

Unfortunately, Binance has been negatively tagged by our SEC since the company failed to comply with the requirements provided under the laws of the Philippines. Though this may be the case, Binance has released a statement saying that they will fulfil such responsibility in order to provide exchange and trading services in the country.

I do agree with everyone here that leaving your BTCs/cryptocurrencies in exchanges are risky given that you have no right with your private keys. Having a custodial wallet is still the best way for security in order to guarantee full custody over your coins. This will not only benefit you in the long-run, but it will also give you the highest form of security that many still fails to take advantage.

QUESTION:
Given that we know custodial wallets hold the safest way for security, do you guys have any recommendations on how to start? I have been a forum user since 2017 but I still hold my BTCs inside exchanges. Are there any guides in order to transfer my BTCs in exchanges to non-custodial wallets?

Mpamaegbu

legendary

Activity: 2716

Merit: 1225

Once a man, twice a child!

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

mempool should not be a reason to choose exchange to keep bitcoin over good non custodialwallet

Except one isn't a trader and is going to hodl for a long time, leaving coins in exchanges will enable one speed up trading of coins. The process of waiting for coins to confirm before placing trades isn't an experience one wants to witness. It's a frustrating one, especially when entry positions are clear. I believe that's why those who do it, do so. For instance, I've a few coins in exchanges I use for viable project staking. I don't have to keep transferring in and out whenever I want to stake or use them. No matter what we do, we can't completely eradicate risk in this industry. We can only minimize it.

Talking about exchanges disappearing or being no more, that's a part of the risk in this industry. We can only do our due diligence (Research) before patronizing any exchange but whatever happens later isn't what we can decide. Part of my research mechanism is to check the trust rating of any exchange before opening an account. I try to stay with those from 8/10 to 10/10.

Wakate

hero member

Activity: 1190

Merit: 543

fillippone - Winner contest Pizza 2022

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

Before you feel so comfortable and relaxed with your favourite exchange wallet know their were some people's favorites exchange like that of yours that is nowhere to be found.

As for those that are new with no idea about exchanges that went bankrupt in the past. Don't be so comfortable with the exchange you are dealing with to keep your digital assets. Exchange being popular and big is not assurance that it is safe and last forever. Crypto exchanges are unpredictable and anything can happen.

This is a friendly reminder to those that may have forgotten or not aware of crypto exchanges that went bankrupt or crashed down and nowhere to be found.

list of failed exchanges & companies well known due to bankruptcy

FTX
FTX's implosion was the biggest and most spectacular crypto downfall in 2022.

BLOCKFI
Crypto lender BlockFi was the first crypto company to follow FTX into bankruptcy. BlockFi had several ties to FTX, BlockFi has previously said it had 450,000 users and intends to ask a bankruptcy judge to allow some of them to withdraw funds.

THREE ARROWS CAPITAL
The crypto hedge fund Three Arrows Capital (3AC) was a major crypto firm to go bankrupt in 2022, brought down by the collapse of cryptocurrencies Luna and TerraUSD in May 2022.

VOYAGER DIGITAL

CELSIUS NETWORK
Another crypto lender brought down by the Terra and Luna collapse, Celsius Network began its U.S. bankruptcy case in July on rockier footing than Voyager.

mempool should not be a reason to choose exchange to keep bitcoin over good non custodialwallet

FTX was quite a good exchange that many people had funds on but it was quite surprising to see that the exchange suddenly crashes to zero with users losing their funds. This was a big misery to many investors especially for people that has huge amount on the exchange using it to trade and hold for a better future. It is very important for us to know what we are doing so that we are not going to end up creating account on similar platform putting all our eggs in it with trying to calm down. It is important we calm down and put small amounts of money in an exchange so that if any wrong thing happens, it is not going to affect us.

SatoPrincess

hero member

Activity: 1204

Merit: 802

Leading Crypto Sports Betting & Casino Platform

Quote from: Y3shot on April 26, 2024, 10:02:10 AM

Quote from: Plaguedeath on April 26, 2024, 09:24:28 AM

@OP you're correct non custodial wallet is the best place and it's bad to hold our coins in centralized exchanges even though the fee spikes in few days ago. But, how can the user who suggesting to use non custodial wallet choose to use centralized exchange?

Quote from: ?? on ??

Username: Y3shot
btc addy: bc1qe80grekeexp2qsv5du7lnn3398gj4vj28trchm

Your address is a part of Kucoin. https://platform.arkhamintelligence.com/explorer/address/bc1qe80grekeexp2qsv5du7lnn3398gj4vj28trchm

Let's repeat what you said above.

Quote from: Y3shot on April 26, 2024, 07:56:41 AM

MeMPOOL shOuLD noT be A REasON tO chooSE EXchaNGE tO KEeP BITcoIn oVer gOoD noN cuStodiAlWAllet

I'm not against people trading with exchange. Normally the fastest means to sell and buy is from exchange. But it is not good when bitcoin or other digital assets are kept in exchange for hodling. It is possible I make use of crypto exchange but I don't make use of it for hodling because it is not sage.

OP you listed fine examples of exchanges that have failed yet your actions speak louder than your words. Plaguedeath already pointed out that you use an exchange wallet for signature campaigns, you can’t tell me you spend all your signature earnings immediately. From what I can see on blockstream, you have a decent amount of hodlings in that wallet. Maybe you should take your own advice.

Topic: Your favourite exchange can be nowhere to be found (Read 373 times)