đš Why leaving your cryptos on a platform is dangerous:
When you buy crypto on a platform, your cryptos are stored in a wallet controlled by that platform, not by you.
âĄïž *Without your private keys, without your cryptos* :
As long as you do not have *your own private keys*, the platform can technically *freeze, block, or lose your funds*.
Here are the *main risks* :
- *Hacking* đ„· :
Even the largest platforms can be hacked, and funds stolen.
- *Bankruptcy* đ :
If the platform goes bankrupt, it may use your funds to save itself, and you lose everything.
- *Withdrawal blocking* đ :
In case of a crisis, some platforms block withdrawals (which has already happened several times).
- *Human error* â :
A bug, a maintenance error, or a wrong click can make you lose access to your funds.
- *Government regulations* âïž :
A government can force a platform to block or freeze user accounts.
đĄïž How to avoid this risk ?
- *Use a personal wallet*
- *Transfer your cryptos off the platforms* after purchase.
- *Carefully store your private key* and your recovery phrase.
đŻ Summary :
*Buying your crypto on a platform is OK. Leaving it there = GREAT RISK.*
*Be the master of your funds. Control your private keys.*
