In recent time, there have been news regarding the security breach of cryptocurrency exchanges. The recent attack is the hacking of KuCoin exchange, where about $200 million was stolen.
This could have prompted the user identified on Reddit as Skaeven, to opine that exchanges are not the right place to Keep ADA or any other cryptocurrency if such a user wants to have total control over his/her assets.
The crypto enthusiast shared this opinion on Cardano subreddit a few hours ago. He said his message is specifically meant for newbies in the cryptocurrency ecosystem.
According to his assertion, buying coins on exchanges does not mean they belong to the buyer, but the action that follows will determine whether the holder is ready to fully possess them. He said exchanges have direct access to ADA tokens in their custody through the private keys.
In his recommendation, basically for newbies in the Cardano community who want to have absolute control over their ADA tokens, he said users should rather store their hard-earned coins in the wallets such as Daedalus, Yoroi, Ledger, among others.
Skaeven wrote:
Just a reminder that you dont own the ADA you keep on any exchange. This should be common knowledge, but for everyone whos new in crypto:
Just because you bought the coins, does not mean you own them.The exchanges have the private keys to the wallet where you may store your ADA. Only by transferring (and keeping) them in your own wallet (Daedalus, Yoroi, Ledger…) you are in control of them.
Do not give companys the ability to own your ADA, do not give them the ability to own the network. Please – Stop being lazy – Thanks.
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