When holding money on Binance, it is important to decide what you want to use that money for:

1. Spot Wallet

Usage: For regular buying/selling (BTC, ETH, etc.)

Recommendation: If you want to trade or hold coins.

Security: Fairly decent, but not safe for the long term.

2. Funding Wallet

Usage: P2P trading, Binance Pay, etc.

Recommendation: If you need to borrow/lend money (using P2P).

Security: Normal level, for specific purposes.

3. Earn Wallet

Usage: To invest money (staking, savings, etc.)

Recommendation: If you want your coins to earn interest.

Security: Depends on Binance, but usually better for the long term.

4. Margin / Futures Wallet

Usage: Advanced trading with leverage.

Recommendation: Only for professional traders. Can be risky for newcomers.

Security: High risk, high reward. Can lose money quickly.

5. Trust Wallet / Cold Wallet (Outside of Binance)

Usage: Long-term storage (hodling).

Recommendation: If you do not plan to sell coins soon.

Security: The safest (you control it).