Sales of reputable wallets like Ledger and Trezor surged as holders sought to secure their fortunes against industry turmoil.
The Threats Centralized Platforms Pose to Your Crypto
Leaving cryptocurrency on exchanges seems convenient, but users surrender control of their private keys. Even well-funded giants like Coinbase can unexpectedly crash, freezing customer assets. Smaller platforms also fall victim to hacking, bankruptcy or mismanagement.
While hacks were more common in crypto's early days, the recent FTX debacle showed even billion-dollar exchanges can collapse overnight. No company is "too big to fail." When oversight fails or leaders make poor decisions, account holders suffer the consequences.
Even if your chosen exchange seems secure, self-custody reduces risk exposure to:
- Leadership incompetence
- Hackers stealing reserves
- Platform bankruptcies
- Regulatory crackdowns
- Financial conditions tightening
By controlling your private keys via a hardware wallet, you minimize reliance on any third party.
Top Hardware Wallets for Secure Crypto Storage
Trezor Model T
Regarded as the most secure hardware wallet, the Trezor T offers:
- Support for 1,000+ crypto assets
- Third-party security audits confirming safety
- Seamless integration with Trezor's software and web wallets
- Partnership with popular wallet Exodus for convenience
- Affordable pricing at $280
Ledger Nano X
The Ledger Nano X packs impressive features but has attracted controversy recently over privacy concerns and deviations from self-custody principles. Proceed carefully when evaluating this option.
Conclusion
Given crypto's volatility, self-custody via reputable hardware wallets helps investors protect and control their fortunes. As the maxim goes: "not your keys, not your coins."