Can you explain the concept of 'not your keys, not your coins' and its implications for cryptocurrency users?

7 answers

• Dec 16, 2021 · 3 years ago
  The phrase 'not your keys, not your coins' refers to the importance of controlling the private keys to your cryptocurrency. In cryptocurrency, the private keys are used to access and transfer your digital assets. If you don't have control over your private keys, such as when you store your cryptocurrency on an exchange, you don't have full ownership and control over your coins. This means that if the exchange gets hacked or goes bankrupt, you could lose your coins. It's always recommended to store your cryptocurrency in a secure wallet where you control the private keys.
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• Dec 16, 2021 · 3 years ago
  Alright, so here's the deal. 'Not your keys, not your coins' basically means that if you don't have control over the private keys of your cryptocurrency, you don't really own it. It's like keeping your money in someone else's pocket. When you store your coins on an exchange or any other third-party platform, you're essentially trusting them to keep your assets safe. But guess what? They can get hacked, they can shut down, or they can just run away with your money. So, if you want to truly be in control of your digital assets, you gotta keep those private keys to yourself. Get yourself a secure wallet and be the master of your own coins!
  644215
• Dec 16, 2021 · 3 years ago
  As an expert at BYDFi, I can tell you that 'not your keys, not your coins' is a fundamental principle in the world of cryptocurrency. It means that if you don't have control over the private keys to your coins, you don't really own them. At BYDFi, we strongly believe in empowering users to have full control over their digital assets. That's why we provide a secure wallet where users can store their coins and have complete ownership and control over their private keys. With BYDFi, you can rest assured that your coins are truly yours.
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• Dec 16, 2021 · 3 years ago
  The concept of 'not your keys, not your coins' is a reminder for cryptocurrency users to take responsibility for the security of their digital assets. When you store your coins on an exchange or any other custodial platform, you're essentially trusting them to keep your assets safe. However, history has shown us that exchanges can get hacked or go bankrupt, resulting in the loss of users' funds. By controlling your private keys and storing your coins in a secure wallet, you eliminate the risk of losing your assets due to the actions or failures of third-party platforms. It's all about being in control and protecting your investment.
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• Dec 16, 2021 · 3 years ago
  Not your keys, not your coins. It's a simple yet powerful concept in the world of cryptocurrency. When you entrust your coins to a third-party platform, you're essentially giving up control over your assets. Sure, they might promise you security and convenience, but at the end of the day, you're at their mercy. If something goes wrong, you could lose everything. That's why it's always recommended to store your coins in a wallet where you control the private keys. Take control, be responsible, and truly own your coins.
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• Dec 16, 2021 · 3 years ago
  The phrase 'not your keys, not your coins' highlights the importance of self-custody in the world of cryptocurrency. By storing your coins on an exchange or any other custodial platform, you're essentially relying on a third party to keep your assets safe. However, this introduces a level of risk, as the platform could get hacked or go bankrupt. To mitigate this risk, it's recommended to store your coins in a wallet where you control the private keys. This way, you have full ownership and control over your digital assets, and you don't have to rely on anyone else to keep them safe.
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• Dec 16, 2021 · 3 years ago
  When it comes to cryptocurrency, 'not your keys, not your coins' is a mantra that emphasizes the importance of self-custody. By storing your coins on an exchange, you're essentially trusting them to keep your assets safe. However, this trust can be misplaced, as exchanges can get hacked or go bankrupt. To truly own your coins, you need to control the private keys. This means storing your coins in a wallet where you have full control over the keys. By doing so, you eliminate the risk of losing your coins due to the actions or failures of third-party platforms.
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