The post Custodial vs Non-Custodial: Which Crypto Wallet Is Right for You? appeared on BitcoinEthereumNews.com.

It’s a question that’s almost as old as crypto: should you self-custody your digital assets or should you entrust them to a specialist custodian such as an exchange? And while you might think the answer to the question can be distilled into a single sentence – “Use a non-custodial wallet if you understand the technology and keep your seed phrase safe, but opt for custodial if you’re unwilling to be solely responsible for your assets” – it’s not that simple.For one thing, non-custodial wallets have been getting a lot better and are no longer as complex to use as they once were; a number don’t even require seed phrase storage anymore, relying on traditional authentication methods such as email and password. But at the same time, custodial solutions have also gotten way better, with robust security and full insurance now routine. The question might be old, then, but it requires a fresh review to get to the bottom of the matter. Custodial or non-custodial, what’s it gonna be? The Pros of Going Non-Custodial Yes, you know that non-custodial means your keys, your coins. Yes, it means “true” crypto, the way Satoshi always intended it. Let’s skip past the platitudes and get to some of the more compelling but less obvious reasons why storing your assets in a non-custodial – also known as self-hosted – wallet can be a smart choice.For one thing, doing so provides certainty of access. Not only can you restore access to your wallet if you accidentally delete it or lose the device it’s stored on, but if you’re using it as a hot wallet for trading, you can install the same wallet on multiple open-source wallet instances. For example, you can import the private key into a Telegram trading bot, a web extension, and a mobile…

---

Filed under: News - @ October 16, 2024 5:23 pm