What’s the safest option to hold BTC ?

[JISAN]

If the amount of Bitcoin is not very large, then if someone holds their Bitcoin in a CEX wallet, then there is no problem. But if the amount of Bitcoin is large and there is a plan to hold it for a long time, then it is better to take maximum security measures. It is not that an investor's money will be stolen by keeping money in CEX wallets, but in the long run, it is recommended to use a non-custodial wallet to avoid any accidents. Although it is relatively easy to deposit Bitcoin in CEX wallets, anyone who has the opportunity to easily deposit and withdraw money should definitely avoid them when considering security issues.

Everyone invest there money according to there financial ability. so, large or small amount both are very valuable for investors according to there financial status. so i think everyone should use decentralized wallet to holding there bitcoin. a non-custodial wallet always give full control of assets to the wallet owner. so no one othere then owner can control fund by any way without get the private key. so i will not prefer someone to use any CEX or Centralized wallet for holding there crypto

[Faisal2202]

Well said, mate. I was holding my funds in a tier one exchange from a very long time, but now there has been an issue that occurred in my account, so I have to move my funds to another exchange. The funny thing is that I am still holding my long-term funds on the exchange, haha.

I have enabled that Exchange 2FA, but there can be some other probabilities, like the exchange scamming the users or putting restrictions on user accounts. So, I also think the thing is here is that we should go for non-custodial wallets for long-term holdings.

I am also holding my funds on exchanges but the best practice is to not hold all of our funds on just single centralized exchange because if one goes down then you won't be fully rekt and you will have some funds left with to start again but if you stored all of your funds in one exchange and it goes down then you won't be left with anything to start again.

Its been a very long time since some centralized exchange which is famous and scammed people, as nowadays the rules and regulations are too strict that even Binance or some tier 3 exchange (centralized) can not scam people.

[Mr. Magkaisa]

You are right, as this can happen as already happened with Kucoin as I remember when the SEC opened some lawsuit against them they delayed the withdrawals, and people were panicking over it, which was natural though but still it can shoot your BP very risky hehe.

Therefore we should save ourselves from the trouble and avoid holding coins on these exchanges and if we see some warnings, then we should move our funds ASAP.

Yeah, that's right even I have kept my finds on CEXs because I have to trade them hehe.

This is one of our concerns if we hold a lot of assets on an exchange, compared to a personal non-custodial wallet. Indeed, one option is when we start hearing bad news about the exchange, we can immediately move our assets as soon as possible. But unfortunately, sometimes it is too late and it becomes impossible to withdraw due to certain reasons. This is why some problems when FTX and other platforms occur and investors are no longer able to move their assets because the option to withdraw directly is disabled.

        -      You know, honestly speaking, mate, I've been wanting to buy a hardware wallet for a long time, but I don't have the budget for this HD yet because it's a bit expensive for our money here. So I have no other choice but to put my assets in centralized exchanges, although it's okay for now on various platforms.

I know there's a risk, but I hope there won't be any problems like what happened with Ftx, and I also pray that if it ever comes to the point where I make a profit on the assets that are stored on cex, there won't be any problems when I release them on their platform in the future.

[ZAINmalik75]

I agree with you non-custodial wallets are safer to store our crypto assets if we want to hold them for the long term, I do that too.
and for the short and medium term when I trade I trust binance more, because so far binance wallets are quite safe.
Maybe I haven't tried other exchange wallets because I focus more on trading on binance and local exchanges.

We all do that because we at least have the keys to our wallet and we own our funds while placing them on exchanges we don't own the keys and which is very risky too.

I also trust Binance more and some other exchanges when I have to use them otherwise Binance is my first choice and yeah their wallet is really safe. We don't have to use other exchanges wallets to get an idea of how they are we can simply study them for example we can study the Bybit wallet hack and how it happened.

[kulkhan]

The safest place is to hold them in wallets to which you also own the keys, as if you don't own the keys the funds are not in your custody anymore, its like you are giving the ownership to someone else who own the keys (like exchanges) therefore we should hold our funds in exchange only when we want to trade them or sell them, but if we want to hold it for longer period of time then we should prefer non custodial wallets.

Speaking of exchanges, we can still prefer tier 1 good exchanges for long term holdings but taxation can be a big hurdle there too so non custodial wallets should be our first choice.

Well said, mate. I was holding my funds in a tier one exchange from a very long time, but now there has been an issue that occurred in my account, so I have to move my funds to another exchange. The funny thing is that I am still holding my long-term funds on the exchange, haha.

I have enabled that Exchange 2FA, but there can be some other probabilities, like the exchange scamming the users or putting restrictions on user accounts. So, I also think the thing is here is that we should go for non-custodial wallets for long-term holdings.

We know centralized exchanger is not safe fulfil. We saw from renowned exchanger many people lost his valuable fund. I am also holding Bitcoin in centralized exchanger. But i think hold my all fund in one Exchanger is risky. So i am holding my Bitcoin in three exchanger and one decentralised wallet. Although i also did 2fa for all excjanger and wallet. But hackers are more talented they always trying to break our security.

[Bobcrypto]

The safest place is to hold them in wallets to which you also own the keys, as if you don't own the keys the funds are not in your custody anymore, its like you are giving the ownership to someone else who own the keys (like exchanges) therefore we should hold our funds in exchange only when we want to trade them or sell them, but if we want to hold it for longer period of time then we should prefer non custodial wallets.

Speaking of exchanges, we can still prefer tier 1 good exchanges for long term holdings but taxation can be a big hurdle there too so non custodial wallets should be our first choice.

Well said, mate. I was holding my funds in a tier one exchange from a very long time, but now there has been an issue that occurred in my account, so I have to move my funds to another exchange. The funny thing is that I am still holding my long-term funds on the exchange, haha.

I have enabled that Exchange 2FA, but there can be some other probabilities, like the exchange scamming the users or putting restrictions on user accounts. So, I also think the thing is here is that we should go for non-custodial wallets for long-term holdings.

Well, if there a restrictions on users account on CEX exchanges, there should be some reasons and not because  users are holding crypto assets on the exchange. Tie one CEX exchanges cannot restrict any user except there are violations of certain rules, and think there are still some Tie one CEX exchange that had built strong reputation amount it users and the crypto community and will not will temper with users account unnecessary or scam their users. This just my opinion.

[omori]

The safest place is to hold them in wallets to which you also own the keys, as if you don't own the keys the funds are not in your custody anymore, its like you are giving the ownership to someone else who own the keys (like exchanges) therefore we should hold our funds in exchange only when we want to trade them or sell them, but if we want to hold it for longer period of time then we should prefer non custodial wallets.

Speaking of exchanges, we can still prefer tier 1 good exchanges for long term holdings but taxation can be a big hurdle there too so non custodial wallets should be our first choice.

Well said, mate. I was holding my funds in a tier one exchange from a very long time, but now there has been an issue that occurred in my account, so I have to move my funds to another exchange. The funny thing is that I am still holding my long-term funds on the exchange, haha.

I have enabled that Exchange 2FA, but there can be some other probabilities, like the exchange scamming the users or putting restrictions on user accounts. So, I also think the thing is here is that we should go for non-custodial wallets for long-term holdings.

Well, if there a restrictions on users account on CEX exchanges, there should be some reasons and not because  users are holding crypto assets on the exchange. Tie one CEX exchanges cannot restrict any user except there are violations of certain rules, and think there are still some Tie one CEX exchange that had built strong reputation amount it users and the crypto community and will not will temper with users account unnecessary or scam their users. This just my opinion.

Or they just think you got the funds from the wallet / address with suspicious activity, and you may be part of said activity.

Many possibilities for such a thing to happen.

[Stuart]

If the amount of Bitcoin is not very large, then if someone holds their Bitcoin in a CEX wallet, then there is no problem. But if the amount of Bitcoin is large and there is a plan to hold it for a long time, then it is better to take maximum security measures. It is not that an investor's money will be stolen by keeping money in CEX wallets, but in the long run, it is recommended to use a non-custodial wallet to avoid any accidents. Although it is relatively easy to deposit Bitcoin in CEX wallets, anyone who has the opportunity to easily deposit and withdraw money should definitely avoid them when considering security issues.

When the money or asset is on a large scale, like a whole Bitcoin, leaving it in an exchange is not the best action to take, except it is for trading and other stuff carried out on exchanges like staking and participating in some exchange contest/competition, if otherwise, for long run holding, it should be stored in a wallet, where the safe keeping of everything related to that wallet is controlled and managed by the owner.

[pieppiep]

If the amount of Bitcoin is not very large, then if someone holds their Bitcoin in a CEX wallet, then there is no problem. But if the amount of Bitcoin is large and there is a plan to hold it for a long time, then it is better to take maximum security measures. It is not that an investor's money will be stolen by keeping money in CEX wallets, but in the long run, it is recommended to use a non-custodial wallet to avoid any accidents. Although it is relatively easy to deposit Bitcoin in CEX wallets, anyone who has the opportunity to easily deposit and withdraw money should definitely avoid them when considering security issues.

When the money or asset is on a large scale, like a whole Bitcoin, leaving it in an exchange is not the best action to take, except it is for trading and other stuff carried out on exchanges like staking and participating in some exchange contest/competition, if otherwise, for long run holding, it should be stored in a wallet, where the safe keeping of everything related to that wallet is controlled and managed by the owner.

It is very important t okeep one’s assets safe particularly if the amount in value is large enough. Though exchanges provide some advantage in trading and other activities, keeping the assets in exchanges for an extended period is not ideal. There are many things beyond the end user’s control they include hacking, policy changes to name but just a few which could lead to the confinement of access to the assets owned. Storing them in a personal wallet is more reliable as all the decisions lie in the hands of the owner of the wallet. As such, the assets are protected as well as preserved fully without outside control and interference in the process. These assets should be properly managed to reduce many risks that may emerge in the future that may pose a threat on these assets.

[omori]

When the money or asset is on a large scale, like a whole Bitcoin, leaving it in an exchange is not the best action to take, except it is for trading and other stuff carried out on exchanges like staking and participating in some exchange contest/competition, if otherwise, for long run holding, it should be stored in a wallet, where the safe keeping of everything related to that wallet is controlled and managed by the owner.

If you don't have a big bag of it, I don't think anything bad will happen to your holdings, however, surely, the exchange may be robbed or hacked or anything else, in reality, so the safest option would be to get your hard earned BTC somewhere, where the custody would be in your hands.

[Jating]

When the money or asset is on a large scale, like a whole Bitcoin, leaving it in an exchange is not the best action to take, except it is for trading and other stuff carried out on exchanges like staking and participating in some exchange contest/competition, if otherwise, for long run holding, it should be stored in a wallet, where the safe keeping of everything related to that wallet is controlled and managed by the owner.

If you don't have a big bag of it, I don't think anything bad will happen to your holdings, however, surely, the exchange may be robbed or hacked or anything else, in reality, so the safest option would be to get your hard earned BTC somewhere, where the custody would be in your hands.

If you have a big bag of BTC, it's obvious that you will need to protect it, and what better way to do it buy buying a open source hardware wallet. Then back up everything, keep it away from the internet unless it is necessary to plug them for updates and others. A good wallet as well is Electrum. As what we have been doing in this community and or the other, signature payments can be deposit to Electrum wallet and then we will do what's necessary. Maybe we exchange it to fiat or deposit to an exchange to do some trades.

[DaNNy001]

If the amount of Bitcoin is not very large, then if someone holds their Bitcoin in a CEX wallet, then there is no problem. But if the amount of Bitcoin is large and there is a plan to hold it for a long time, then it is better to take maximum security measures. It is not that an investor's money will be stolen by keeping money in CEX wallets, but in the long run, it is recommended to use a non-custodial wallet to avoid any accidents. Although it is relatively easy to deposit Bitcoin in CEX wallets, anyone who has the opportunity to easily deposit and withdraw money should definitely avoid them when considering security issues.

When the money or asset is on a large scale, like a whole Bitcoin, leaving it in an exchange is not the best action to take, except it is for trading and other stuff carried out on exchanges like staking and participating in some exchange contest/competition, if otherwise, for long run holding, it should be stored in a wallet, where the safe keeping of everything related to that wallet is controlled and managed by the owner.

Saving your coins on exchange is never actually a good way to go about this and believe me even if it's a small amount of Bitcoin it's somehow risky although most person used CEX to actually steadily buy and gather their Bitcoin till it gets to some certain amount and then they send it out of the exchange when the value is quite big which is also a good way to gather up but the big question is actually where are you sending those coins to for safety? Some would say a non custodial wallet of which you have full control over your keys while other might even prefer hardware storage like wallet inclined.

[dave_strider]

If you have a big bag of BTC, it's obvious that you will need to protect it, and what better way to do it buy buying a open source hardware wallet. Then back up everything, keep it away from the internet unless it is necessary to plug them for updates and others. A good wallet as well is Electrum. As what we have been doing in this community and or the other, signature payments can be deposit to Electrum wallet and then we will do what's necessary. Maybe we exchange it to fiat or deposit to an exchange to do some trades.

Only a tiny portion of the whole bag should be exchanged to fiat if needed, yeah, surely, that's the way to go.

As it was said, once you give your custody to somebody else, you risk losing everything, even if the chance is very small.

[Faisal2202]

Well, if there a restrictions on users account on CEX exchanges, there should be some reasons ..

Many possibilities for such a thing to happen.

You are right tier 1 exchanges just don't restrict accounts out of the blue, there must be some illicit activity or bad transaction (means a transaction with bad AML) that has been made to your account, which tier 1 exchanges prohibit, and you (snowpega) should talk to their support and ask for help or at least some guidance on what is ongoing.

If you made a transaction or received a bad transaction, then record it to the exchange and tell them the reality otherwise as Omori said there are many possibilities for this.

[0t3p0t]

Many possibilities for such a thing to happen.

Yeah like your funds came from gambling, mixer or something suspicious that could trigger the regulation that's the reason why some may experience freezing of their accounts and here in my country I hear that a lot before where users are complaining for such thing.