The Daily 2 - Why You Should Move Your Bitcoin From Exchanges, Offline

Hey, what’s up Crypto Daily fans, I’m Brian Wilson and this is The Daily 2.

So, you may have heard about the “proof of keys” event that took place

On January 3rd, on Bitcoins 10th anniversary. It was an event spearheaded by well-known Bitcoin and cryptocurrency investor, Trace Mayer in the midst of the freezing of accounts by the exchange known as HitBTC.

The idea is that exchanges might not have the liquidity that they claim, meaning they don’t have all the assets they claim to have and, it’s possible, that they take customers funds for use in the exchange’s own expenses, such as payroll, etc. Whether or not this is true is uncertain, however, this idea is backed-up by the likes of John Macafee’s, wallet manufacturer Bitfi and many others.

An event like this would stand as sort of a run-on-the-banks, where customers of exchanges would simply withdraw all their crypto assets from those exchanges and store them in their own wallets that they control the private keys to. Essentially taking ownership of their own crypto. By the way, I personally highly recommend this, as this is the only true way to own and control your own crypto assets. You should only have your assets on an exchange when you need to sell or trade them, and once your transactions are completed, you should move them back to your own wallet that you control.

Trace Mayer calls it... Quote... “monetary sovereignty” and he’s right. As the famous and amazing Andreas Antonopolous has said: “not your keys, not your Bitcoin” this goes for all cryptocurrencies. The overall idea from critics is that the cryptocurrency space is becoming far too centralized, and I agree. With these exchanges controlling so much of the crypto assets in the world, and so few people actually controlling their own crypto... How is that different from the current failing fractional reserve banking system? Definitely, something to think about.

I personally have my crypto assists in hardware wallets which are under my own control. I am particularly a fan of the Trezor hardware wallet... But in any case, just make sure you control your own cryptocurrency private keys. It’s too important not to pay attention to this aspect of cryptocurrency and I’ll continue to harp on it from time to time in these videos as it is one the most, if not the most, important aspect of cryptocurrencies.

So, will you be withdrawing your cryptocurrency from exchanges and putting them into wallets that you control, or will you allow your assets to be controlled by these 3rd party exchanges? Let me know in the comments below.

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