Why Self-Custody Is Critical for Crypto Security

The article emphasizes the importance of self-custody for securing crypto assets, meaning individuals should manage their own private keys instead of relying on third-party services like exchanges. Keeping crypto on exchanges carries risks, as demonstrated by past exchange failures where users lost access to their funds. The article highlights the distinction between hot wallets (online) and cold wallets (offline) for storing crypto. Hot wallets are convenient for small transactions but vulnerable to hacking, while cold wallets, like hardware wallets (e.g., Trezor), offer greater security for long-term storage, especially open-source options that allow for code transparency and community audits. Ultimately, self-custody is presented as a means of maintaining control over one's crypto, regardless of market conditions or potential failures of centralized platforms, with various tools and resources available to facilitate this approach.