Bitcoin Forum

Do you even know the difference between Centralized wallets and Dec wallets? Days back I lost my coinbase account and the team aren't helping, I'm glad I only have little Bitcoin on the account, would have been a different story if I use coinomi or atomic wallet because they give users 💯 control over their funds, private keys and recovery seed are important, always remember that

Example of Centralized wallets
1. Coinbase
2. Nexo
3. Luno
4. Xapo
5. Freewallet

Any wallets that ask you create an account with mail and password is centralized, they monitor your private keys for you, be smart

There are different kind of bitcoin wallets are available for us. [General] Bitcoin Wallets - Which, what, why? (https://bitcointalk.org/index.php?topic=1631151.0) this can be useful for anyone to pick their kind of wallet.

Recently I am also facing issues with my coinbase vault withdrawal and I never got any response from the coinbase support for my multiple support tickets.I just left trying because the amount is not that much higher to fight for.

You should add Xapo to the list, I lost some Bitcoin to Xapo wallet simply because my password isn't recognized anymore but I'm pretty sure it's the right password, I guess it's not working on purpose

Those who have been in this forum for more than a year now should know by now to avoid exchange wallets and those that don't give access to the Private key. Still you will find one individual creating a topic and explaining the same as he or she did not listen to anyone here in the forum.

Store your crypto in your wallet for which you have access to the private key.

There is nothing much to discuss here. It's almost known to all that "Not your keys, not your coins". So it's always advisable to use a noncustodial wallet for holding your funds even if they are relatively small. And even while choosing noncustodial wallets, it's always better to choose open source wallets.

Any other exchange wallet is the same as centralised even the top 1 exchange.
There are too many of them but the best thing you do is always use the wallet that you have full control only use centralised wallet if you think you really needed it. I am not against centralised wallet i most use it, but if hou have large funds to store then create your own wallet this much more secured than using centralised or 3rd party wallet.

But if you are not careful in using a non-centralized wallet and does not take safety precaution, it could be much riskier than a centralized wallet.
The reason why I use Coinbase or NEXO is they send me a confirmation OTP to my mobile and I can have a 2FA enabled for every transfers.
With no such security, you could easily fall for a phishing site or website that would access your wallet and control your coins.

People are so obsessed with coinbase in crypto space maybe because of their simplicity in 'buying crypto make easier' or just because it supports some part of the country like USA, not everyone still knows how important private keys are, I still have two to three friends who use coinbase wallet, warned them they never quit

I think centralized or decentralized wallets are the same, depending on how we secure it. Centalized wallets do sometimes have support services that don't help, but not all centralized wallets are like that.
It's the same as a decentralized wallet, even though everything is under our own control, if we neglect to protect our private key / seed pharse, our assets can be lost.

Wherever we store assets, we must be careful to secure it, including a centralized wallet as you say, but many prefer a wallet with a private key so that they are safer compared to a centralized wallet, even though there is support, it is still difficult to find it back if you constraints what happens.

There are still many safe wallets as long as you are careful when storing them.

Sorry, I don't agree with you, because Coinbase is the best wallet I have ever used in my life since 2015! I haven't used the Luno, Nexo or Xapo but Blockchain and Coinbase app as a wallet are the best picks for me. You should try to recover your account through forget password option and answers those questions, or create a support ticket to the Coinbase team, I hope they will help you to fix the issue! They take time to reply, but they will surely!

What are you saying? Would you rather put your private keys in others care just because they can give you your money at any time you need them than keeping your keys yourself? There is a big difference here, don't compare Cex with Dex

I think as follows:

1 - if the person knows he has bitcoin to hold for a long time, then the best option is to use a wallet where he has control of his private keys

2 - if the person knows that he has many bitcoins then the best option will be for the person to have a wallet where he has private key control

3 - if the person does day trade then he can keep a fund in the trustworthy exchange, but avoid keeping a lot of money in the exchange and constantly withdraw the profits to the wallet where he has control of the private keys

The truth is that in this crypto world the websites that provide services are not reliable, so having a wallet where the person has control of private keys is the most recommended

Not just the three but many more. Actually these wallet are good the only thing you need to worry about is the funds that you put there when the wallet got compromised. Many complains has been noticed in the past due to lost funds and they cant recover it.

Even exchange wallets are too risky so better not to store huge coins there when you used it. Always safe to download own wallet which you hold the private key. I have funds on exchange but I never put everything there for safety or even I have huge one, I am not holding it there for a very long time.

Stay away from centralized soultions. Dex is our future

I have little knowledge about Nexo platform. But in my own opinion i would not term coinbase or luno as crypto currency wallet.
They are all centralized exchanges where you can exchange your bitcoin to fiats or from fiats to bitcoin and so on and so forth.
And another one you missed to mention is the Blockchain APP.

I can only advise that you move out your assets to paper wallet once you have completed your conversion on these platforms.

Bottomline, store your coins where you can have full control of what to do with your coins. Hardware wallets are the best option for me. It is you alone, who is responsible for what will happen to your coins. If you can't avoid using centralized wallets for some reason, make sure that you are not storing your bulk of portfolio. For example, make it as a trading wallet and transfer it once you're done.

fortunately you provide this important information as soon as possible otherwise I will lose my assets, and I will be more careful in choosing a wallet.

In my opinion, storing your cryptocurrency in centralized wallets like those in Binance is not bad at all, if it is your purpose and also doing some trading sessions in there because I'm using a centralized wallet for exact in the Binance exchange since 2017 but I never encountered any problem so far, we as the owner of any centralized wallet like we use in the crypto exchange has also a responsibility for our funds, if we are away for a couple of days, it should be wise to withdraw our funds and stored it in our wallet with a (Private Key) in just case if something wrong is going to happen in the centralized exchange that we use our funds still safe even we are away.

I use coinbase only for their internal fun transfer system without any charge. I think this is pretty unique and useful for low fund transferring on multiple accounts. However, I actually like Trustwallet as a decentralized wallet. So I think in some way wallet like coinbase is good and their support not help their user that accusation is not fully true. My friend got his coinbase account back after his account was locked for someday though exceptional case can be found.

There are plenty of centralized exchanges that also provide access to your private keys, and there are custodian solutions like BitGo and Ledger Vault that also do the same.

Therefore your suggestion that all centralized wallets are dangerous is incorrect, since centralized wallets sometimes allow you to access your own funds even if the platform goes down

No. Every single centralized platform and wallet is dangerous.

Centralized wallets. Centralized. They hold your keys. In other words, they hold your money. If the platform goes down without any notice, chances are your wallet doesn't have a single satoshi in it anymore because they've probably exit-scammed you. If I know your private key, I basically have ownership of your money. That means I can run away with your funds at any given point.

So yes, they are very dangerous. Don't trust a third party. I cannot trust someone who has ownership over the wallet of a currency that is supposed to be trustless and decentralized.

rexxarofmoknathal, can you share an example of centralized exchanges that allows you to access private keys? You sound confused to me. Centralized exchanges keep user funds in hot wallets and cold wallets that exchange owners completely control. They will never allow any exchange user have access to these wallets.

Wallets like trust wallet, coinomi wallet, atomic wallet, etc are reliable than using coinbase to store your fund, you are at risk if you are doing so, you can use the platform for trading but do not store your fund on there

to save assets in the long run it is not advisable to use exchanges. because many risks can make our money disappear. I only save or leave the money in exchange for my daily trading. while for long-term investment assets, of course, I would prefer a personal wallet.

That's why everyone says, "Not your keys, not your coins." There is no point of using centralized exchange while we have the option to uae decentralized. I would prefer using centralized exchange for a very lower amount. Otherwise, always use decentralized or your personal wallet.

It seems to me that it is better to use Blockchain or MyEtherWallet for this.

I remember when binance was hacked years back I had little fund on there but luckily they pay all of us back, that happens once in a blue moon in crypto space and I thank binance for that but still since then I don't leave coins on exchanges anymore, they are safer in your wallet that you owned the private keys

if you still use an online wallet like that then it is very high risk there is no guarantee of security is better you use a hardware wallet which in my opinion is safer because you keep it in your own hands and maybe the purpose of the OP is to recommend using a hardware wallet.

Have seen a lot of these advocate against centralized exchanges lately and the complaints are not new. Interestingly centralized exchanges had developed so much in the few month to provide better platform for cryptocurrency traders. There could be challenges of security both of exchanges and personal information but they have not convinced enough traders to win higher volume trade than centralized exchanges. More so, the limitation of trading bitcoin and other blockchain will remain a challenge until new projects on DEX provide that.

So you will learn only after you lose your money? COibase and blockchain are good to store small amount of bitcoins but definitely not best and secured kind of wallets.If you have time then take a look at web wallet child board where you can see blockchain and coinbase wallet issues more than anything.

And as I said coinbase never replied to my support ticket after months,so don't trust them blindly.

No, it’s a bad Idea when you decide to store your crypto in a exchange. Exchange is only for exchanging your crypto jot for storing your crypto there. Better to only put the amount which you want to trade in exchange and after complete the trade you should transfer the fund to your wallet which has a private key.

Yes, it is right that binance is a very trusted exchange and I have not also faced any problem there since 2 years. But the idea of storing fund there is not a good IMO.

The bet decentralized wallet to me right now is trust wallet but others are fine as long as they give you your recovery seed or private key, with these even if you lost your phone you can recover your coins, using coinbase and others aren't safe, they are online wallet

Thank you for this post you put up here. The sense behind cryptocurrency is decentralization. So any settings that is outside that, is just disturbing. This is why I agree with this your post.

You are wrong with this. the popular blockchain wallet requires mail and password for registration and this is not a custodian wallet but non-custodian wallet, and they don't monitor your private keys for you, you own your recovery phrase, and you can import to any non-custodian wallet. Custodian wallets don't give you access to your private keys, they manage it. If anything goes wrong with the wallet, it will be the end of the road. Binance .com is a custodian wallet and a centralized exchange too.

There are usually the mistakes of newbies. Cryotocurrency offers freedom and allows you to take control of your finances without any third party interfering or knowing what you have and how you send it. Any one that doesn't go in lime with this should be avoided.

Centralized in crypto is always not safe for long term purpose. You can use Centralized exchange, Centralized wallet for regular use, but if you want to keep your asset safe and hold for a long time, caution, don't use Centralized wallet or exchange, they can be hacked or compromised anytime!

I got your point and yes centralized wallets can be risky, your password can easily be guessed, leacked or hacked and all your assets can be stolen while decentralized wallets provide you with the private key where you are in control.

You are right! Most of the wallet hack and compromised happen because of ignorance of newbie! Coinbase is the most trusted platform for wallet and exchange in the crypto industry! So, if any suspicious thing happen in Coinbase, then the fault is its users!

Why lost coinbase account you can share then we have chances to learn from your mistake. This is centralized but a lot of ways to recover which wallet, When forgotten password you will get a message to recover. I have been using so many years. I think you violated the rules no way to locked but can be lost. I am familiar in the centralized wallets even these are trustworthy wallet. Absolutely right your long term saving assets will be vulnerable in any exchanges.              

Not your keys, not your coins.
The principle is clear, so be more selective in choosing a wallet or exchange that you will use to move with the crypto world. Everyone has their own tendencies, there are those who like centralized wallet and those who like a decentralized wallet. What's important is where you choose your service provider. Some of the members above also like Coinbase wallet, contrary to you, we do not force it. Your experience can be a lesson for everyone to not experience the same loss.

The concept of decentralization is unbeaten in the whole crypto space. When it comes to choosing a wallet for keeping crypto assets, i agree with your choice of a decentralized wallet as they give complete and absolute control to users over their desired assets and luckily, there quite a number of trusted decentralized wallets that can be used to stored crypto holdings

I'd like to remind everyone in this thread that you lose control of your crypto every time you send it to an exchange.
This problem has persisted for a decade and people still keep getting their money stolen after hacks or exit scams.

well indeed there are many places that have the potential to scam even some time ago I used a decentralized wallet I was hacked there is access to my wallet and all of my assets in the wallet were drained, the amount is very much frustrating because of loss, but at least I have experience and can be more careful.

You should be able to trade out of the a private wallet directly from your desktop.
Any steps between (sending bitcoin out of the private wallet to an exchange where you lose custody of it and then back again) are just unneeded and bad security.
They're also splinter points to jam more KYC in.

I think that everyone is well aware that crypto is dominated by decentralization and it is very important that only you should have access to the private key.

Personally, I always make use of the two categories of wallets available. All wallets whether centralized or decentralized wallets comes with their issues, I believe there are still safety measures that users can easily  make use of in either ways to protect their funds.

These wallets enables some transactions which Dex wallets cannot offer. There's a direct transaction of fiat to cryptocurrency and cryptocurrency to fiat on these wallets which gives users direct access to fiat and cryptocurrency. Keeping your login details should be your top priority not to lose them.

This is my first time know about this or maybe I'm just little care ? Thank for inform us. Btw I never save my balance at those wallets, little risky. As i know Coinbase and Luno look good but after know this maybe i will more be careful.

Yes, that's right, because if the private key is known by others, the same as the security of our wallet is gone, so the private key is for us, not for the public or others, because from the name alone it's very clearly written.

you advice everyone to use decentralized wallets but you only point out some centralized wallets. it's much help if you recommend some good and trust decentralized wallets for us.

Everyone obviously uses several wallets according to their needs, if you want good and safe wallet suggestions, then you can see them here
https://www.buybitcoinworldwide.com/wallets/ or here
https://www.thebalance.com/best-bitcoin-wallets-4160642 ,hopefully the two sites can provide good instructions for you and don't be lazy in reading everything.

This is quite true. The whole idea of the crypto space is decentralization, that is users assuming total control of their private keys, and private information but centralization in the crypto space tends to change everything. Private keys denotes that a user is in charge of his account and absence of that means the platform in question is in charge. Therefore when it comes to being totally secure, decentralized wallets should be used through this way removing prying eyes while being sure our assets are safe.

I'm using Electrum wallet. I just want him to put some good decentralized wallets at #1, someone will need.

I know this topics have been create many times before but since we keep having newbies on here from time to time it's better to keep spreading the news about wallets, when newbies lose their coins they like blaming the technology so let it always be ' Your wallet Your private keys' stay away if it isn't so

People never learn. There's still a number of users that are storing their bitcoins and altcoins to the known decentralized exchanges such as:

• Binance
• Bittrex
• Bitfinex

and many more.

That's their problem, a word is enough for the wise, all we can keep doing is making same posts about online wallet and decentralized wallet for the sake of new comers, only those who don't like learning will miss this warnings

This is the plain truth, either coinbase, or nexo, or blockchain, or luno or any application / website that lets you store bitcoin with just username and password is not safe for your funds.

This is why the introduction and basic knowledge about crypto currency is how to store our assets.
Likewise in addition, we should learn to move our large funds away from exchanges too, either dex or cex. Once you trade and get your profit, move to your paper wallet or cold storage

In my opinion, the issue is not coinbase or something else, but don't keep coins in the exchanger wallet unless we are daily traders. If we store coins for the long term, save coins in a wallet that has a private key or seed words that we control, then we will be more comfortable

Maybe it doesn't work even how hard we're trying to warn them.
That's their choice and money but we have warned them how important it is to keep their assets to the wallets they have the private keys.

Cannot be said often enough, and we have all to do as much as we can to remind our friends and families of this. Of course, in the end, many will decide they still want to trust a site to take care of their money and that is their requisite also,,, but we must keep them aware of what they are doing and inform them of the risks and share the stories of those who trusted and lost.

I don't use wallets from such platforms though. I am using ImToken, Trust Wallet, MyEtherwallet and Coinomi. With these wallets, i am in charge completely of my funds and it's very difficult for hackers to have access to it because it's decentralized.

Indeed, a good wallet is the wallet that can give the private key or seed to the owners.
Not owning private key or seed means not owning the wallet as well.
How about the exchange wallet ? I suggest we better not using exchange wallet to store our coins, use for trading only.

These are more convincing wallets. Ive uswd imtoken and trust wallet too and these wallet we can get the private key for our holdings. I like it but they say, its still unsafe to use but for me its okay since I didnt get any trouble or breached while using these wallets.

i also disappointed with some airdrop program from centralized wallet.
but yeah, it depends on the people if they use centralized exchange for trading no reason for scare put their money on big exchange like binance and coinbase.

Absolutely an effective point you mentioned here. There is no doubt that decentralize wallets are the only reliable and satisfied option to store cryptocurrency without any kind of problem that's why mostly people prefers decentralize wallets which is definitely a smart and much necessary step.

Does who refuse to learn will always be a victim to stupid mistakes, the first time I entered this crypto world the first thing I learned about is how to keep my fund safe, using Google I was able to understand how wallets works and I end up choosing trust wallet, newbies don't always want to learn

Beginners who don't want to learn about crypto will always be victims of fraud from scammers, because now scammers are still rampant in finding victims and they are also smarter at providing bait to investors, so there is no good choice but to always learn to avoid falling into the steps we made our own mistakes.

That is why upon choosing a crypto wallet, it is best to seek and choose a crypto wallet that enables you take care of your own account in which you will be the one to manage your wallet wherein you have the private key or seed to have access in your account and no one should have access on it without your permission. A crypto wallet that is decentralized since cryptocurrencies are made to be decentralized which enables only users to have the primary control on his funds and his account. So choosing a crypto wallet wherein you can entrust your assets is the first thing you must do so that earning cryptocurrency will be just your main focus and the securing and safety of your account including your private key. It is still best to use decentralized wallets so that you have the full control and access on it.

how can I tell if a wallet is centralized for sure?
Don't get me wrong, I do use hd and cold wallets, but I don't know how to tell for sure if one online wallet is truly decentralized

Decentralized is a wallet that you can control in its entirety and the private key is held by yourself, whereas a Centralized wallet is a wallet that you cannot control in its entirety

Yes, because if a decentralized wallet is the only reliable choice, there is no reason for anyone not to use it, because things have truly proven safe, so there is no need to look for another wallet, where security is not guaranteed.

I am also concerned to friends who lost funds in the wallet, yesterday I saw someone on Twitter and Facebook about this, he said that this year no one should store assets in the centralized wallet because there will be a lot of drama, who knows what it looks like, but I saw this thread and think it seems like that person is right

Centralized wallets or exchanges are not always the best.  Why not go for a Decentralized exchanges and wallets? Non-custodial is the way! I have a few wallets in this category. 1. AtomicWallet
2. Coinomi

Although I use AtomicWallet. I can simply vouch for its credibility and security. I recommend you uo also try AtomicWallet. It is a non-custodial wallet for managing multiple coins.

Centralized wallets, custody wallets, cloud wallets, all of them are dangerous for the same reason as keeping crypto on exchanges - you don´t own a private key so you have to trust the third party that they will manage the funds responsibly, but with the upcoming crysis, also big companies like Coinbase and Binance could have a problem with liquidity, be careful  :).

People should know and be made aware of this exact thing. Just because you want things to be simple (set an email and password to open a wallet), you are putting your whole financial aspects on the risk. Remember, it is your coins as long as only you hold the private key. If the private key is shared with someone else, you can't be called the sole owner. On other hand, if you don't even have access to the keys, then you have no right over the coins stored in that wallet.
Those wallets where you don't have access to your private keys are extremely risky to use!

Keeping the backup codes for restoring the exchange account will save the user from the all necessary steps like passing KYC again and proving the identity. Better to use decentralized wallets instead of keeping the centralized wallets, IMHO. Coinbase is not a good idea if these guys ask a fee for recovering the wrong sent funds and the first disadvantage of centralization starts from here.

Why would anyone neglect their private keys when that private key is the only way to get full access to their funds? It's simply stupidity, decentralized wallet don't always need the team simply because you have full control, not same with centralized, this two are far different from each other

It's a very bad move to leave your coins on any exchanges, either top or small exchanges, they aren't safe, anything can happen to them at any time, binance is well organized but doesn't mean it can't be jailbreak, it already happened once

Online wallets are even worse. Just use wallets without registrations. I dont now why people like custody solutions so much

Before I don't know what is the difference of the centralized to dec before, I used now centralized wallet that is still good to me.
I don't care what kinds of wallet that I use because my priority is the safety of my bitcoin and my other altcoins that I have..
If other people think having centralized wallet is not good so stay away because we have freedom to choode what we use.

Maybe because it's plain and simple, some even use exchange wallet as they can easily trade it.
In my case, I use electrum wallet, I was hack once but I still feel confident using it.

Make sure you care, it's your money that is in the wallet, if that wallet provider is not reputable, please avoid using it, that's the way to protect your coins.

Lol people like been slave to others, freedom can be a threat to people sometimes, decentralized is freedom right but not centralized, I expect people to get closer to decentralized more but some like centralized taking control

The good thing with Binance is they will not let their clients empty handed if in case they will be hacked again. Hopefully not. They will return what is owed to its clients. However, it should not be the reason to store your coin in exchanges like BNB. It is still better to have full control of your funds, your own wallet or private keys. On my end, I will store my coins in my hardware wallet rather than centralized wallets. You have no peace of mind if your portfolio is with them. Because one day, a very smart hacker may break in their security walls and your coins are gone forever.

That is the problem with centralized exchange as we will not know whether our money is still safe if we are going to store it for months or years as we will not know the action behind the team of the exchange because they can just easily close your account if they like to and your money will be lost. But as of this moment, I am using a centralized exchange but I am not that worried because it is a local exchange where we can easily reach the customer service if we have problem with our wallets.

But if you have huge amount of money it will be best if you will just put it in a safe way and centralized exchange is not one of them. 

Because it's simple and fast. That is why people like to use online wallets. As long as you store your private key carefully, I believe your property will always be safe and no one will be able to steal it from you.

Using centralized wallet has risk so make sure to understand everything before you create an account and store your hard-earned coins.

Im using xapo before then I switched to blockchain, now im using our local centralized wallet for the purpose of cashing out but I dont store my coins there for long period because its quite risky. They can deactivate your account if they see something unusual that might against to their rules.

Its still best to use a decentralized wallet, its much safer since you hold your private keys and no one can access it.

Your funds can get locked up for reasons best known to them and there will be nothing you can do about it. This applies to centralized exchanges as well where your funds are stored by the exchange anything can happen to the funds at any point in time.

Thus being said I hope there will be more ease in learning new about crypto.
It still is a hard concept to understand (and to explain) for most of the people.
If more people would understand what crypto really is - there will be less users of centralized /online hot wallets for sure.

There is a reason why decentralisation has gone so far and offered us so many wonderful and innovative ways to take care of our investments and capital in general. Having said this, going for centralised wallets on your decentralised investment does not makes much sense right? By doing so there is unnecessary exposure and increased risk of losing all that money - so be cautious when choosing to join the crypto industry there're many ways to get ripped off.

Online wallets doesn't give you private key, they manage it by themselves so you have no control over your funds, even the authority of that wallet can take all the money and run away still you can't do anything.Wallets with private keys are decentralized but some of them are not really decentralized so choose your wallet wisely.

same thing happened with my xapo wallet....i lost my account and they were not even replying to my mails...very unprofessional behaviour from them and and i lost my savings of bitcoin there....so i would also recommend the same

The first and main idea of blockchain is decentralization, that is, users are in charge of their details and so forth, centralization on the other hand goes against this idea, hence users are still at the mercy of these platforms, if their funds isn't stolen by the platform (in some cases though), it gets hacked etc. Hence, i agree with you totally, these centralized wallets should be avoided at all cost because it reduces security of assets which is also the same reason it is not safe to save assets on centralized exchanges. As for me, there is a greater feeling that comes with being in charge of your assets and knowing that no one monitors it apart from you.

In short, you're pointing in online wallets.
Yes and newbies should know that their private key should be upon their responsibility and not by someone else, because it is their loss in the end as they are the one putting their moneys in those wallets not the devs behind the wallet, well maybe minor losses from service charges but the users have it the worse damage.
Consider also OP the exchange wallets as it has become a habit for some people to just be lazy and leave their funds beside an exchange.
I remembered the hack in Binance during August 2019, and people should learn from that.

I still make use of Coinbase but I don’t use it as a storage, it’s mainly when I want to trade and I don’t even use it regularly, and I also use it for monitoring the prices of cryptocurrency and getting notifications whenever there are changes.

I also use Blockchain, it might be a Centralized cryptocurrency wallet, but I like their wallet and simple interface that’s very user-friendly. I once lost access to my wallet but then I was still a newbie, and was able to recover that wallet when I knew that every wallet is attached to your email, so I was able to log back into that old wallet with its ID and recovered everything. I make use of Trust wallet as well, it’s a decentralized wallet.

Very ironic. Hopefully, your experience can be a lesson for us all. Well, the safest wallet is to use a hardware wallet, especially if we store cryptocurrency in large quantities. However, if you want to use an online wallet, both for PCs and smartphones, you should use a truly secure wallet with good reviews. For BTC, use a wallet that has been verified by Bitcoin.org (https://bitcoin.org/en/choose-your-wallet?step=5&platform=android). The wallet in the list has been analyzed based on specified criteria (https://github.com/bitcoin-dot-org/bitcoin.org/blob/master/docs/managing-wallets.md).

Exactly! I have been using Coinbase wallet for more than five years, haven't faced any problem there, but I know whenever you face problems, you have the option to recover through your email! Therefore Coinbase has a support desk too, sadly that is very slow! But still, Centralized wallets are not be suggested to store assets for a long time, as like the centralized exchanges!

Describe your case with Coinbase better and how you lost your account there. As I know their support is quite friendly and helping when they can. I know 1 guy who got hacked his coinbase account and only fast reaction of the  coinbase support saved his money

It is not about being hacked or losing funds. In centralize wallet, you have no access over your fund directly. That's why sometimes you have face a lot of hassle. Coinbase is a good one no doubt but can you believe I had stucked with around 0.10 BTC for couple of hours because they did not let me send BTC. There was no reason, nothing doubting. But if it was no centralize wallet and I had all access, I did not need to wait such long time for sending BTC.

Exactly what I was about to ask now. Centralised wallets aren't secured, yeah, but they can be easily recovered if you forget your details like password. You can also enable 2fa on your wallet but decentralized wallet on the other hand, if you lose your details like private key or phrase, there can't be any support to help you. That's what makes you have control over your wallet.

in fact it only happens to some of the wallets that do not have credibility. Coinbase is a big exchange for Americans and they only support them, in addition to foreign users will be easy to lose money and not supported. This is one of Coinbase's weaknesses and that's why it doesn't make a lot of impact. Right now, we have a better centralized wallet, Blockchain. I have tried it for the last 7 months and did not have any inconvenience and it is very safe.

To be honest, i have used coinbase to store some of my bitcoins, but i have never face any problems like that because Coinbase is one of the biggest exchange that was already used by most crypto users. I know that centralized wallets aren't really that safe for hackers, but maybe the reason why the team members aren't responding because they assume that you are just bluffing pretending that you are just someone else.

Coinbase is a big company in crypto space, that's undeniable but the fact is they stay centralized, no one can change that fact, decentralized wallets are safer, whether coinbase team are fast in response or not, Centralized will always remain centralized

obviously i prefer the decentralized wallets of which the developers do not hold the private keys which are generated directly within the app itself and which do not require sensitive user data

Cryptocurrency wallets are made to store advanced resources, oversee security issues like sparing mystery keys and personality checks. To tell you the best  Multi-crypto wallet (https://aladdinmc.com) is significantly more secure than the trading stages as a long string, which is alluded to as the key speaks to the location of your portfolio and produced through refined cryptography strategies.

Security on the web is akin to game of whack-a-mole and your level of security will likely scale accordingly with the amount of sensitive data (or crypto assets) that you are protecting.

While there is no such thing as an ‘unhackable’ system, there are valuable steps that you can take to drastically reduce your likelihood of compromise.

Always remember to:

Use complex and unique passwords
Create a separate/dedicated email account for crypto services
Use two-factor authentication
Store most (if not all) of your funds on wallets
Be wary of phishing emails
Good luck and stay safe!

This guide will help you to find the best Bitcoin wallet or cryptocurrency wallet for YOU!
https://medium.com/ramcrypto-publication/top-5-best-cryptocurrency-wallets-in-2020-649a4bf29c94

Its always been said for how many times already that we shouldnt store up our coins on custodial wallets or we dont have the possession of its private keys
because we know that it is way more riskier if we dont have access to those keys because anytime those wallets will surely stole our coins unlike on
using wallets that are open-source or you do have the access to its private keys which we do have the full control of it.

Hi, What would I say for the Custodial and Non-Custodial both wallets are safe but it's based on their security system. The security system must have certain rules like specialized security layer, Multiple authentication methods, Voice recognition, transaction password, mobile device identification, and biometric systems. These security features must be noted by users.

For 1 year, I'm using Aladdin wallet 1st they launched a non-custodial wallet only for ABBC Coin that time I have ABBC Coin that's what I have used the Aladdin wallet to store my assets. after that, they launched their Custodial wallet and multi-asset storage wallet. I started to continue using their wallet. Still, now I didn't lose my asset from the beginning. And I have used both custodial and non-custodial wallets it's really amazing and I feel my assets have been safe haven.

So from my side, I would suggest  Aladdin Custodial and Non-custodial wallet when you compare these five centralized wallets. And no one is monitoring my assets.  :)

Am very careful about my custodial of fund in the world of cryptocurrency and with others experienced which they have shared on the platform made me to be more cautious about the wallet I used. Currently, I have been using some bitcoin wallets which where actually centralized and latter realized they are the ones that pose dangers to bitcoin investors, as the says goes: "when you're not in charge of your private keys, then be rest assured that the funds are not yours". Stay away from what can cause your funds stolen.

Does your case have anything special, as far as I know coinbase is a wallet that is appreciated by a lot of people, there are many people recommending it for me to use.

When you say "they monitor your private keys for you," does this mean that you don't have access to your private keys (or they don't give it to you)?

Also, can they easily hack (or get your crypto) if they wanted to?

That is true, decentralized exchange is really safe for our personality but you have to aware we use a wallet is not to keep/hold our asset only. But we will make our asset for trading and short term investment which I think we have to get the highest profit from it. Which I think decentralized exchange is still lack of user there and it is mean the volume at the exchange will be less. Different with centralized exchange which have a lot of user and you will have a high chance to gain high profit at there.

This is the problem with centralized wallets, I remember that at the beginning when I just found out about bitcoin I used a centralized wallet and there were times in which I could not access my coins, at first I did not mind it but as I began learning more about bitcoin I decided to send my coins to a wallet completely under my control, obviously for newbies this can be troublesome because now they need to install a wallet in their computers and they also need to keep their computer free of viruses, but over the long run it is way better than to have your coins in a centralized wallet.

In as much as we try to criticise centralized wallets let us not forget that most exchanges with liquidity are also centralized. These wallets are not as bad as they're been portrayed aside cex wallets holding your funds, they seem t OK be easy to use as well for fiat transactions which no Dex wallet has offered so far.

In as much as we try to criticise centralized wallets let us not forget that most exchanges with liquidity are also centralized. These wallets are not as bad as they're been portrayed aside cex wallets holding your funds, they seem t OK be easy to use as well for fiat transactions which no Dex wallet has offered so far.

Yes I am also think the same way. There are lots of centralised wallet available and behind them they got some big name. That's why many new people go there . But if you already know this space or even started to learn about crypto space I would recommend you always go for an decentralised wallet. Better if you use official or official suggested wallet. I always prefer decentralised things cause it's give your power to your hand, you have full control of your asset. And that wahts this crypto spaces' basic idea.

This is your personal opinions coinbase wallet. I'm not sure others wallet but coinbase is the best wallet for store your money. You lost something your of your coinbase wallet so you lose your money. What will you do if you lost your private key or recovery seeds. Don't find the answer between centralized and decentralized, just be smart to store your information about wallet.

Just need to add my voice and re-echo it once more as it can never be overemphasised, "Not your keys, not your coins." These centralized wallets might come with additional advantage in terms of wallet setup and user friendliness, however, the user control which is the key of a true cryptowallet is lacking. Anything can happen to users crypto assets and no one would be held responsible. While we stay safe at this period, keep your wallet under your control and your keys in a secure place.

When you put all your coins in a centralized exchange, you should be ready to lose everything as any exchanges now are vulnerable from hacking.
Also, if ever you got a chance to recover what you loss because they have insurance or something or the government supervise them, it will still cause trouble on you as it will take time to get you refund, so it's better to keep your coins in your own wallet, and just put a certain amount in exchange in case you like to trade.

The teal case should he was losing his password to sign in into his account and remember some centralized wallets are truly centralized by never try to give the ability to its users to control their funds. The support service of coinbase wallet is also very bad. I say this based on my experience with it.

It is our responsibility to make sure that our money and coins are safely stored at any kinds of wallets decentralized or not. Let's educate ourselves and familiarized on how the crypto works so all of our holdings would be safely stored in any wallets.

Not your keys, not your coins.
The principle is simple, so be more selective in choosing a wallet or exchange that you will use to store crypto. Everyone has their own tendenciel. Whats important is where you choose your service provider. Some of the members above also like Xapo wallet, contrary to you, we do not force it. Your experience can be a lesson for everyone to not experience the same loss.

That you had such experience doesn't automatically make centralized wallets/exchanges bad. There are lots of good centralized wallets that are even better than Dex, and the Coinbase you have mentioned is one of the best, if not the number one. And moreover I don't believe the story you have told here lol; how did you lose your account, you woke up and it automatically disappeared? Or that you forgot or lost access to your email that you used to create the account on Coinbase?

As far as I know, Coinbase account can only be created using an email and password and there is no way you will lose access to that account as long as you still have your email. It's also very secure and when you want to login they have a verification mode where you will have to verify the login using your email. So, I don't see what's wrong with Coinbase, they even store coins in cold storage, so I don't see what problem you have with them.

Absolutely right. When we don't own our key, then we cannot ensure the coin is always in our control.
I prefer to use web wallet or desktop wallet for storing coins in long term, using centralized wallet is not recommended for holding coins.

I'm using Aladdin Wallet for a more secure wallet and it has unique features. Aladdin wallet is a non-custodial and multi-account wallet that can allow users to send, receive, and stake digital assets safely and conveniently.   8)

Exchange wallet should always be use only just for exchanging it for other currency and not for storing it for long time. You may not be experiencing any bad things using that exchange  today but who knows if that exchange you will have a problem someday.

Only use a wallet that you have control for storing large amount of money/crypto.

if you want to secure your assets or store them in a centralized wallet I recommend with Trust Wallet. Why? because this centralized wallet is safe and if something bad happens to the wallet, there is a possibility that the developer will return the lost assets, if you can provide proof that you are a true wallet user.

People who invested and store their wallet for the long term should know various kind of wallets and they should learn to read the TOS of every wallet that they are going to use, you must be able to transfer your wallet with your private key and they must not have access to your seed or private key, if they have, then don't use their wallet.

Just as it goes, centralized wallets, it is good enough for people to be cautious and preferably stay away as the owners or creators of the wallet can still manipulate to get what they want. In terms of ERC tokens, using trusted wallets like Trust wallet, Enjin etc is good and in case of a new project with a different wallet, asking the team directly for the recommended wallet is the best idea and if possible link to get the wallet. Carefulness is very important when dealing with wallets since we store our assets on them.

Centralized wallets prove to be an easier way to manage crypto assets than decentralized ones, especially for newcomers in the crypto space. The responsibility of securing crypto funds against hacks/theft, and maintaining custody of private keys, lies on the service provider itself instead of the end user. It's easy enough for anyone to create an account in the aforementioned sites without a deep understanding of crypto whatsoever. Since service providers are the custodian of your crypto funds, they can do whatever they want with them (freezing, confiscating assets) just as Banks do with Fiat today. With decentralized wallets, you and only you have control of your crypto funds.

As long as you "own" the private key that unlocks your crypto balance, your funds will be as safe as you want them to be. You don't have to worry about getting your account frozen, funds confiscated, or experiencing undesired hacks (depends on how well you secure your crypto assets). Of course, it's less convenient to use a decentralized wallet since the responsibility of securing crypto funds lies in the person himself. But I'd say that this is so much better than using a third-party service (centralized) that truly defeats the purpose crypto was created for.

Nonetheless, I believe that most people are aware about the risks involved when using centralized wallets. But they'd prefer convenience over security because it's the easiest route to take. As long as people continue to use and patronize centralized wallet providers, the risks of hacks/theft will always be there. Smart crypto users will use decentralized wallets to grasp the full benefits of crypto. Just my thoughts ;D

Centralized wallets are traps set and waiting for whom it will catch but its always easier to understand and manoeuvre through, hence the reason why most people use it

Thanks for this vital information, I have to agree with you on this, I could remember vividly when a friend of mine luno account was hacked,  despite having 2fa activated,  the name centralized says it all,  anything can happen to funds at anytime,  because there is no control over your wallet personally

If you want to save and secure your crypto then I suggest never hold your crypto on centralized wallet because they have access to your assets. In this way they can do anything with your crypto / assets. Therefore I always recommend my friends for decentralized wallet specially hardware wallet is the best or where you can get your wallet key or seeds phrase those wallet are save.

Good luck

I don't use any  of those wallets. I always use blockchain wallet from the first time i join in crypto trade. Blockchain is the best and secured wallet. So why will i use third party wallets. Coinbase did many problems from me and they didn't helped when i did kyc but their behave kicked me back to blockchain.

It only depends on the user's needs.
Some traders don't like to save a lot of PK because of their active transactions with various types of coins so they prefer multi-crypto wallets to save assets because it is more efficient. Despite losing access due to a password or e-mail, they still have the chance to recover many times with the help of support.

Decentralized wallet has many advantages in terms of security, yep we know that. It's just that, if the PK leak once, then forever the wallet is not ours.

I wouldn't use any wallet that can't have the basic recovery option like private keys and recovery seed. Sad to hear your loss but this is usually a must when using any wallet service. Definitely put all the wallets you mentioned about to blacklist.

That's indeed the problem that we are facing, something forcing ourselves to adopt the decentralization kind self harming but centralized wallet also come with biggest disadvantages to the people who are using it though they might be ignorant about it simply because it's not happening immediately. For example when the wallet of an exchange got hacked and the client got no reimbursement and many more. Pick what suit you best I guess.

Same can be said about exchanges.

Stop using them, and try DEX's like Blocknet if you want to feel the experience of being in full control of your funds at all times.

A friend of mine lost $3500 on Cryptopia when it was hacked, and I'm sure there are PLENTY of others out there who's lost thousands due to storing cryptocurrecies on exchanges.

DEX's does not have much coins to trade on unlike CEX, low liquidity and somewhat complex to use for new traders, I could remember when etherdelta firstly came out then,  lots of traders lost their funds due to the complexity of the exchange. the best thing to do is for one to not use CEX in storing coin,  it should be basically meant for trading,  or better still look for the wallet of the coin you wanna hold and download it for storing your coins rather than holding it on CEX.  You cannot stop using CEX, you just have to be careful about the amount you put in it

Hmm rightly so!Centralize wallet is like centralize exchange. Anytime without a notice you can lose your funds so easily. Even though everyone knows coinbase is one of the most popular cryptocurrency wallet but their support don't even work.So what point is make if you want to store your fund don't choose any centralize exchange or wallet. You must choose an offline wallet to store your funds safely.

Do not say blockchain wallet is not the best crypto most secured wallet. Users have complained of may hacks who had use SMS option for 2FA, more so experts have always reported bug on the wallet. More so, this supports only the legacy wallet which could lead to more transaction fee and longer time to confirm as compared to segwit.

Nothing wrong with centralized wallet because we often use it, for example the exchange wallet.
Using centralized wallet is not the best option for security indeed, but for trading you will need centralized wallet for speed.

you are right that the speed of centralized wallets is very high, but I think that if you have a lot of money on your wallet, for example, 10 bitcoins, then you will think more about their safety and not about the speed of their movement

Keep in mind that some centralized wallet are independet of exchange though most of them are "built-in" to the exchange platform. But, yes you are right that centralized wallet has the advantages in term of speed but sometimes if you are unlucky you will face the struggle of getting demanded verification or even your account being frozen. just beware of that.

I remebered xapo wallet before I was tried and I recommend also to this wallet to my friend I have a vibe that it is not secure my funds so I withdrawa my coin and I literally found another wallet such as blockchain and coinbase but in the list coinbase is still there but I lile when I tried but now I use one wallet only.

I don't think it's proper to use email and password to access a wallet where funds are kept. They usually say they don't store your details but how true is that ? Moreso this is decentralized world where we preach freedom to everyone. It's better for people to handle the details of their funds themselves. The bads are more than good for centralized wallet.

And stay away from cnetralized exchange. They can block everything without real reason

Never store any coins on centralized wallets and centralized exchanges.

Your keys, your coins...

It is not all of them that are really bad, there are still the good ones I guess. You should have explained the problem you had with Coinbase in details ,that way we can all be able to tell if the fault was from you or they were just being very stupid and not helping you recover the account. But, I have been making use of a Coinbase wallet since 2015 and I have never had a single issue with them. I have changed phones several times from then till now and still never had any problem.

Xapo is one of the wallets I use too, I also have not had any problem except that the price they show on their wallet is always wrong, or maybe they are doing it on purpose ; their price is always a bit higher than the market price.

My own concept is simple and that is, no private key means not saving my funds on that wallet. Private keys gives the owner of the wallet the right to control it without anyone monitoring it etc and on the other hand, lack of private keys which is evident in online wallets and/or centralized wallets means the user is under the control of the team who built the wallet. Even centralized exchanges aren't safe what more about centralized wallets, I just hope people will learn the right thing and start doing it as well.

I had similar experience with coinbase. I could scan the QR code on the web Wallet in order to retrieve my wallet on my new phone. Since the I had to switch to Atomic Wallet when I heard they my private keys are encrypted and never leaves my device.

So we get a number of things to consider based on these risks.
For decentralized wallets:
- Use a decentralized wallet only if you believe you are able to protect it yourself (privkey)
- Find the safest place to save PrivKey

For centralized wallet:
- Use the safest, trusted and guaranteed platform.

I will not overemphasize the advice here to choose from both types of wallets because I personally use them now. But what is on my mind, that the centralized wallet still has the possibility (even though it is small) to recover losts.

Best option for me will be to user paper wallet. No electronic system or hackers who can steal it. But when you print the key is recommended to generate the keys offline and change some digits in it. You can even bury it in your garden, or anywhere you want. Every electronic system has his risks, but remains easier to access.

Blockchain is not so good to be considered as the best wallet caused by it was an online wallet. You should try to use the desktop wallet to get the best experience to store your money or you can try to use a paper wallet to get the best wallet in term of security. So many people have complained for coinbase wallet too.

You may also try Aladdin Wallet (https://aladdinmc.com/). It is convenient and has unique features.

 8) 8) 8)

I got your point here for me should really do stay away from this wallet because they are centralized but we cannot really judge from that I've been using coinbase and until today I have no issues when it comes to funds.

But you must stay away from the centralized wallet and be careful in where you can store your coins. It is more preferable to keep your wallet in some wallets that are already trusted by many people and are legit.  There are wallets downloadable in AppStore that are scam. In able to be successful in the world of cryptocurrency you must have contacts in where you can be connected and updated.

It would be better if your going to use desktop wallet or hardware wallet.

These wallets are good, they serve their own purpose and they're the only way we can easily transact between fiat and cryptocurrency despite being centralized.

I had a bitter experience with coinbase, I lost my phone and later replaced it, tried to login my coinbase it was to no avail, tried all self help options it did not work, In using Centralised wallet, Luno is the best for me coz they are not going to stress you like Coinbase.
But it is still important to use decentralized wallets more because you are the controller of your funds and the security of your funds lie in your hands. People should be careful how they store their cryptocurrency to avoid much losses, if possible don't save in Centralized wallets.

seriously coinbase does that ? i think coinbase was a reputable wallet company but i wont wonder too much because i also heard bad feedbacks from other coinbase users  .  anyway i am also using a centralized wallet but i havent experience bad with them  . they have active support that always assist thier users if ever problems were detected  . not all centralized wallet are bad but it only depend on what type of wallet company your using and also on your problem because they wont also help you if they found out that you violated something 

How long has this Aladdin wallet been in the system? This is my first time seeing something like this.



There is definitely no security when it come s to custodial wallets. Coinomi is one, although they have been operating for long and not once have they been reported of any scam, but I think it is high time we started being careful because there might soon be a story that touches the heart about the wallet.
Only use what you are in control of.

Yes for services its good but what OP is trying to prevent here are those cases that accounts of users got compromised on the exchange and some cant refund them if the exchange has totally devastated by the hackers. There are no insurance when it comes to this and luckily if those big wallets have contigency funds for this but what if they dont have? So users are doomed. So he suggest to have own wallet where PK or keys are hold by us.

I don't like centralized wallet either, I only use it for converting my crypto into cash, My crypto only stays there for a minutes or hours. It is said that "Not your keys not your coins" and it is true, If we decide to hold for long term it is better to have a wallet that you own the private keys Like Electrum it is both available on Desktop and mobile it is for BTC. On altcoins make sure you own the private keys and don't just import it anywhere and store it on a safe place. Trustwallet has supported various blockchain like ethereum, tron, stellar, etc.

You are right, if you are not in full control of your PV keys you are not in full control of your coins, I do prefer using Coinomi, trust and electron wallet, because I Just need to have my private keys safe and no one will have access to my coins.

I do not have too much time with the personal computer. So I use the mobile wallet to store all my assets, so far I am safe with centralized wallets and there has been no problem with it. But I also agree with you, should not store too much money on centralized wallets

You see, you cannot say centralized wallets are good because they support fiat, because coinbase, blockchain are usa based projects.
And on the other way around, if you say they are good for their purpose i agree.

Do not forget that you do not have access over your funds on centralized wallets; so always ensure to withdraw your funds to your paper or trezor wallets for safety

You had a problem with Coinbase, good. But that is not a reason enough for you to drag other platforms into it. And moreover you didn’t even detail the problem you had with Coinbase so that we will understand, you just said they didn’t help you gain access back to your wallet. And I don’t even see how that’s possible. A centralized wallet makes use of your email and you can recover that wallet anytime by using the wallet you used to create the account on that platform. So, I am not understanding.

I have also seen people that have said that decentralized wallet like Coinomi are not good, and those people stated reasons why. Every wallet had their cons, you just have to be careful with any wallet you’re using.

This is a known rule - if you don't control the private key, then you don't control your coins. But for some it's more convenient to use centralized wallets, I do not understand them, but I don't condemn them. It is a personal decision and a personal responsibility.

You forgot to mention that there are dozens of scam wallets that have no reputation and security what so ever, so they can be hacked or the owner may turn greedy anytime, in both the cases you will loose your funds and coins so stay with top reputed wallets preferably decentralized.

There are issues with most of the centralized wallets. Coinbase restricts your account if they found you to be using gambling sites. Xapo excessively increased it's withdrawal fees and I left using them. Freewallet is a scam, they'll scam any large amount. For Nexo, I'm using it as a bank account and I have no personal problems from the site itself.

We have seen many drama in thus regard and have warned many newbies about hosting your bitcoin funds into a centralized wallet because many of these wallets will always request you to give them the access to your private keys which suppose not to be. Though, during my early days, I was caught up with some centralized wallet and was messed up as the funds disappeared from my wallet. When I laid a complaints against the company, I never retrieved my funds back again. Centralized wallets, never again.

The centralized wallet is certainly not safe to hold crypto. Many times there are different problems. But this does not mean that the top wallets are not good. Many users are using these wallets. Even sometimes I use the coinbase wallet (small amount) myself no problem found. But I have control of the rest of my fund. Because I use hardware wallet.

Those are good wallets mentioned there but I will rather stick to my personal free mobile wallets. At least I won't wake up to stories of hack one day coupled with inability to even access exchange or withdraw from the exchange at such difficult time. Moreover, what ever centralised wallets can offer, sex wallets can too.

Are you sure? I'm holding there on Freewallet quite a large amount and everything is OK. I've just provided them all the required info and keep holding my crypto there.

I'm using Blockchain wallet for more than 6 years and I haven't faced any issues with the wallet. But recently I've became a fan of Trust Multichain Wallet. It is fully decentralized and I have full control over the wallet.

It doesn't mean they will seize your money. You are good to go with freewallet. But it's a reminder that if you somehow lost you passphrase, you might have lose your assets as they are not decentralized. Rather I will suggest you to choose any decentralized wallet. You will be free from headache, just keep your all type of private keys safe.

Centralized services do not only store our personal information such as private key but also our personal information. Although this is against the vision of cryptocurrencies, unfortunately, all the leading services of this sector are connected to a center and these services have a great knowledge. If you ask my personal opinion, I think that stealing this information will cause great difficulties. In fact, data theft will be much more dangerous and potentially more difficult than a possible material theft. For this reason, I think it is necessary to stay away from decentralized services as much as possible. Of course, it has to store some data in decentralized services, but we know that they are safer compared to other decentralized competitors. Unfortunately, it is not possible to stay private in the digital world or keep your private information private, no matter what.

Exactly. It's all about convenience rather than security/reliability. At least, that's the mentality of most people nowadays. As long as a centralized wallet is easy to use, nothing else matters. Wallets of this type are much easier to handle for the average person than decentralized ones since there's no need to maintain custody of private keys. All the hard work is done by a third-party. Of course, this brings many security risks to user's funds. Knowledgeable people in the crypto space will definitely use decentralized wallets and services because of this. But the average Joe doesn't have time to study how to properly secure crypto funds, leading it to use a centralized wallet instead.

I guess that for each situation in life will be the wallet to use for crypto transactions. I'd suggest anyone to only store minuscule amounts of crypto on a centralized wallet, just to be safe. A decentralized wallet is a must for large crypto balances. Here, it's best to use a hardware wallet for maximum security against the latest threats in cyberspace. In a world where malicious hackers come up with schemes to steal your hard-earned money, it's best to rely on maximum security in order to reduce risks as much as possible. Even so, we cannot force everyone to rely on decentralized wallets and services in the crypto space. The best thing we could do is give our advice to everyday people in the mainstream world. But the ultimate decision would lie on them, whenever they'd want to continue supporting centralized wallets and exchanges or all the other way around. Just my thoughts ;D

To make sure that your hodls are safely stored on any wallets whether it is decentralized or not, that is still our responsibility. We can educate ourselves online on crypto really work so we are sure that everything is secured.

Thanks very much for the reminder. I have also had similar problem with Coinbase. Recovering your wallet is very challenging which is different with non-custodial wallets.I use Atomic Wallet as well and I recover my wallet more often. Sometime I clear it's app data and once I open I'm being required to restore and the process is smooth and fast. This is what's nice and critical about non-custodial wallets.

Exchange wallets & online wallets are not safe. There is always a risk when you keep your funds at there.You should use a hardware wallet. It's the best way to keep your funds safe.

Centralized wallets are same thing with centralized exchanges wallets, they give you no private key for your wallet on any exchange that's why it's bad to leave your coins and tokens on any exchanges even if it's a big or popular exchange

You have not given the disadvantage of decentralized wallet that people are compelling to use. For a newbie, it is generally advisable to use a centralized wallet because it is generally easy to use and you can easily recover your wallet back in case you don't know the password. This is entirely different for DEX wallet because it is more complex to use

There are positive points in a centralized wallet because we are practically in control of our privacy and we are certain of the transactions carried out. However, any error in transactions is practically irreversible and this also occurs in a DEX. This comment that I'm making is for personalized/personal wallets and in particular the wallets centralized on websites or cloud should be studied personally with great caution.

indeed, only the money that you use for trading you can keep on the exchange. I have already lost some money on the exchange several times due to hacker attacks and now I do not keep money on the exchange

if trading is not a problem, but for investment you have to keep it in a decentralized wallet, of course for the long term it will be safe,
like Myetherwallet, Ledger, Blockhchain.com

Centralised exchange can actually help one recover their lost fund in case you lose their login details.  However, some of the do lock one out. Decentralised wallet advantage is huge because one can easily plug to exchanges and trade from his/her wallet. Like INJECTIVE PROTOCOL  exchange is designed to be a second layer exchanges that is border less on other DEX. It will be easy for one to have access to different exchanges to trade.

OP this is an awesome tip, and thanks for pointing out some of these centralized wallets. I think blockchain wallet is missing out. I wonder why a wallet will require KYC, this sucks. I mainly use trustwallet, there is no need for email or KYC. I tried swapping ETH / xlm on blockchain wallet and KYC was a requisite. Decentralization is far fetched in the real sense.

Exchange wallets or online wallets are too risky to use. People should use that wallet which are protected by seeds, personal keys or key store file. Centralized wallet is not trust able for hold any asset cause authority always can spy on your asset. That why people want decentralization system. The bottom line is store your asset in that wallet which you have fully controlled.

Exactly. Unfortunately, newcomers into cryptocurrency believe that as long as they can access their funds from centralized wallets, everything is safe. But if you don't own the private keys, you don't own the coins. Centralized wallets introduce the risks of a single point of failure. Imagine if one day the company hosting the wallet becomes hacked or ceases operations. You'll lose your entire crypto funds with no turning back. It's best to use non-custodial wallets, even if they have a steep learning curve. Sometimes it's best to take the hard route, in order to prevent many undesired losses in the future. Crypto and Blockchain tech is all about eliminating the middleman from the system. That's what makes them different from traditional banking and Fiat currencies we know and love today. Using centralized wallets will make matters worse as you're giving power to big corporations and governments. By using a non-custodial wallet that gives you access to private keys, you'll gain complete control over your hard-earned crypto funds. Not only that, but you'll also be contributing towards the decentralization of the entire crypto/Blockchain space.

Therefore, the golden rule is to stay away from centralized wallets as much as possible and protect your private keys from prying eyes. Once you do that, you'll be confident that your funds will last for as long as crypto exists in cyberspace. Just my opinion :)

That depends on what kind of party who have been running such service. When they rarely updating their security and software, there was a very big possibilities for their service to be hacked.
We have experienced the hacked cases so many times.

Centralized wallets are useful for just mean time but a big bad idea for keeping or storing coins and tokens, the team in charge of the wallet are the one keeping the private keys for you and not your key not your coins, always remember that

Wallets and exchanges have differences as well, there are some online wallets which are not really an exchange we should avoid them at all for no cost.Centralized exchange's wallets are useful for trading our coins but for storage purpose it is not meant to be.No matter how better security system they have its not a good idea to keep funds there.Trading on deentralized exchange is really secured way but unfortunately we don't have much trading volume there.

Freewallet team are scammers, once you lose access to your email and password ( login details ) just forget your coins, I used to use freewallet when I still love using faucets and hunting airdrops, I lost some satoshis to freewallet simply because I couldn't log into my wallet again, the team never helped either

Use centralized wallets is again the cryptoworld, we want decentralization and be independent from the banks! I personally use Freewallet only for little imports and because it's very useful from my laptop. Do you know decentralized wallets that i can use also from my desktop ?

Coinbase wallet and Luno wallet are still very good but I use these wallets for trading only and after few minutes or hours I move out my coins to my personal wallet which I have it's private key or Mnemonic seed, it's safer this safe

Dear Claudio99,

Could you please share your support ticket number or your User ID so we can look into it?
We’ll be happy to assist in recovering access to your account.
Also, please make sure you contacted us via the support portal here: https://bit.ly/2rgGdRw.
Thanks, looking forward to hearing back from you!

I completely agree with you, if we look back, we will see that exchanges may hack, even the most reliable, and find vulnerabilities in wallets.

What you do is also almost the same as what I do, because in general all people who trade in exchange will continue to use other wallets to store their assets to be more secure, because the Coinbase Wallet and Luno wallet can function as an exchange and also as wallet basically.

honestly though the chance of these wallet you called like coinbase turns into scam or somehow got your money snatched is kinda low if you could keep your login information safe. they are big company and if anything happens they'll be the one responsible but still there's a chance for that like what happened to some exchanges in the past. The best option for us is always to keep the security by doing what's needed.

No matter how strong a centralized platform is it's still not safe for your coins and tokens, I know how big coinbase platform is but still using such platform to keep or store coins isn't safe

The problem with a centralized platform always is in the fact that it is a single point of failure (PoF).
The single point of failure is often attacked..

- i mean legally
- i mean by hackers
- i mean by greedy of company

..although safe is very risky for these all factors

Hackers is the main reason to be worried about when it comes to centralized wallet and exchanges, some centralized platforms are good and trustworthy like binance and Coinbase but once hacker took over it's over, your funds ain't coming back

They will reimburse you if the reason the money is stolen because their mistake mainly security concer but ofcourse there's a big chance that they just won't or just reimburse half of what you lose so thats why people keep warning the newcomers why not to save their money in an exchange. everything has risks but saving up your money in exchange is basically letting stranger manage/store your money.

I trust coinbase wallet even if they don't give users private key, I use coinbase for trading that's why I deposit on coinbase wallet, I only move to other wallet if I tend to keep the coin for a very long time

If you are a long-term holder, you should always use decentralized wallets for holding crypto. It is a guarantee your funds will be safe in the future, while centralized wallets might just disappear.

Hi there! We wanted to follow up with you regarding a login issue. Feel free to send me more info via DM. Thanks!

I agree but if your coins are stored at a centralized wallet of the caliber of coinbase then I sometimes believe it is actually better to use a centralized wallet if you are not well versed with how core wallets work and what exactly decentralized wallet means.

Why I am saying this is because there are numerous ways of recovering your coins in a centralized wallet since you can set your email and 2FA to access your coins but if your wallet is a core wallet and you are not careful you can loose your coins in a single mistake.

Also hackers can access your files through a malware but if you have 2FA setup on coinbase they can't do anything literally.

You are right, if for daily trading it is possible to save money in exchange. but for long-term investment, it seems like it's all risky. why not use a wallet that is safer and can be held by itself? it will be safer than hackers.

while bullish like this we really have to be careful in terms of storing our assets,
especially in the centralized wallet as in exchange, some experts say that hacking cases will increase

I think the money that has been stolen by the thieves behind this case will be difficult to return the assets of others, because I myself have experienced this case, at that time I tried to log in at one of the exchange sites that have the system, because I just lost my assets when I entered the exchange like that and I saw a history of withdrawal from my wallet even though I didn't do that, so stay alert when using your wallet at the exchange.

When i first joined in cryptocurrensy, i using wallet like that to store my bitcoin and a few days later my bitcoin disappeared, so i contact their support but can't solve my problem, it was because they can control our money. So i stop using their wallet and tried to learn more about bitcoin wallet and I found my mistakes, wallet must be decentralized.

For newcomers, this link will help you so much to find your wallet https://bitcoin.org/en/choose-your-wallet?step=5&platform=windows

I think everyone in the crypto should know that Decentralize wallet is the right safe and secure wallet for  crypto assets because you are in control of your assets anytime . while even the best Centralize wallet is still risky  as the platform might decide to pack up anytime and they will go with your asset. I lost some assets to cryptopia including my Electronuem .

the only good thing about a Centralize wallet is that if you forget your password you can easily reset through your email  while for a Decentralize wallet when you lose your password and mnemonic phrase you may not see help from anywhere,

Just go for the wallet with private key access, all those centralized wallets are exchange but they offer wallets too for conveninet usage which maybe for someone who is looking to buy for the first time but definitely you need your wallet to store your coins.

The need to keep reminding people of this can't be overemphasized because it is really important as it is a matter of money. Centralized wallets are not good forms of wallet and should not be used, no matter the advanced features within it, it should be ignored. A good type of crypto wallet are those that makes it possible for users to own and manage their private keys, thus they can import their wallet anywhere they like without issues. As for the centralized wallets, the users are always at the mercy of the developers because exit scam can easily be done, even exchanges wallets are not encouraged because they are not secured too. Lastly, some examples of good crypto wallets are Imtoken, Trust wallet, Enjin, Atomic etc.

if so, why do people make centralized wallets? is their goal all to take money from people who use their wallet. I don't think so, but there may be some cases that make or cause it to happen.
if indeed such a wallet is no longer useful, people will definitely not use it.

I am agree with you. They block account without any reason. If you search on Google you will find many cases like this. So i stopped using coinbase and suggest all of my friends to use Trust wallet or Imtoken.

Coinbase blocks accounts without any reason? Sounds weird since I've been using coinbase wallet for so long with no issues. However, I'm not saying centralized wallets are the best since user transactions/spendings are monitored. Trust wallet for now is where I keep a bulk of my funds.

if they commit crimes like that then the place of exchange is very terrible because it can make the cryptocurrency assets that you have lost and can not make withdrawals of assets, I think an exchange place that has a system like this is still not ready and can not be said as a safe exchange.

   Great educational thread! This should be in the first things to do when starting with crypto-currencies, doing research about
wallets, private keys, what all that means. How to be your own bank, how to protect your funds and how to have full control over
your funds. Decentralized is always better than centralized, it's what I learned with crypto-currencies!
   

It's for your good to always store coins in a wallet that has private keys or recovery seed, coinbase can get hacked and they might decide not to do any refund to users like what binance team did year ago when the exchange was hacked

That free wallet is not a good wallet, it's a complete scam wallet from team who are ready to rip you off at any time and since they don't give users access to private keys even complicate the whole thing, this is a wallet you need to stay away from

Coinbase is a popular crypto company but when it comes to storing coins it's a bad move to keep them on coinbase wallet, I use coinbase wallet to trade and to buy coins using bank account and card which not all wallets can do and I transfer the coins to my other wallet that Ive saved it's Mnemonic seed

That is so true but there is a scarcity of a proper wallet where we can store various altcoins and it is not a viable option to download all the wallets for each altcoin separately and this is the reason why so many people keep their altcoins in the exchange. To such people I can recommend exodus actually which is a good wallet and I don't know their team or how trusted they are but they have somewhat combined a good looking wallet with in built exchange and also gives you the private key so in case you lose your coins you can enter the word phrase and recover your wallet anywhere.

Keeping your money in exchanges is a dangerous option unless they give you the private key or control over your coins. I would appreciate if someone can recommend a wallet where we can store most of the altcoins and yet is safe. Exodus is good like I said but still feels like an exchange just little safer.

You shouldn't store your cryptocurrencies on exchange because you are not the real owner of the coins and you do not know what exchange does with your cryptocurrencies :).

I am glad that we have many DEX wallets now, people can easily avoid those shady centralized wallets. Coinbase was better before, but right now , they become not important to me. The support experience is horrible in Coinbase, KYC is another drawback in centralized wallets! I am using Ledger and other DEX Wallets only, and now I feel safer than before!

Stay away from any centralized wallets is the first thing every newbie need to do it. I saw too many newbies thought a normal client wallet is too hassle and complicate for them so they just make a centralized wallet and be done with it. Big mistake at latter when they don't have the pvt key for their wallet.

quite right, even for small amounts, it is better to use a secure storage method. As the saying goes, "whoever cares about himself, God protects him"

I like others, lost millions on MT.Gox in 2014 and time to time I see big exchanges going bye bye, pay attention to old timers and advice from them, might save you.

thats why a lot of people give a suggestions to use a hardware wallet, i think its safer
because since 2017, i use ledger nano s as my main wallet to store my cryptocurrency i never have any issue

Nicely said mate, any wallet from big or small crypto companies that doesn't give users their private keys should be avoided, anything can happen to them at any time and you won't be able to withdraw your coins, I hope people takes this very serious because it's a big truth about centralized wallets

One of the most basic information every person should learn before investing in the cryptocurrency industry is on the types of wallets and how to safe guard wallets. The centralised wallet is not different from keeping one's fund on an exchange. Its wise to only keep residual or spare funds in a centralised exchange because anything can happen.

Centralized wallets are wallet that does not give one full access over it asset, but give room for some to sell it asset. E.g Coinbase and others
Decentralized wallets are wallet that give one full access of over it asset.
 considering both the centralize and the decentralize wallet they are ok, if wallet platform is good, so that is it. stand to be corrected.

Exactly. No one serious about crypto will rely on centralized wallets for long term storage. It's evident that providers such as Coinbase, Binance, and Xapo are subject to hacks and theft. Besides that, these companies are the sole custodians of private keys giving them complete control over your hard-earned crypto funds. Remember, "not your keys, not your coins". It's best to use decentralized, non-custodial wallets for your own safety. While decentralized solutions are not a "silver bullet", they can protect your crypto funds for as long as you follow the necessary precautions to secure them. In the decentralized world, the responsibility lies in the person himself. This could lead to undesired accidental losses, or theft. If you follow the necessary guidelines to secure your crypto with a decentralized wallet, the chances of this happening are very slim. Those who don't want to take responsibilities, will go towards the easy route which are centralized wallets. I guess that's why most people have chosen centralized wallets over decentralized ones.

Nonetheless, we cannot force everyone to use decentralized wallets as not everyone is knowledgeable about crypto. For newcomers, centralized wallets prove to be an easier way to get access to crypto. If you decide to go this route, it's best that you never store large amounts of crypto on a centralized wallet. Otherwise, you'll lose all of your hard-earned crypto in an instant. Just my opinion :)

The only unsafe wallet that gives users full control over private keys is metamask, the reason why I feel this wallet add-on is unsafe is because of few bad reviews about metamask, few people complains about stolen fund and I think it will be more vunerable to hacks because it works on browsers

Yes you are very right, storing coins worth of huge amount of money in a centralized wallet can be very dangerous, thanks for sharing this, I hope newbies learn from this post.

Good advice for newbies who don't know the difference between safe and unsafe crypto wallets, the only way to recover your funds easily is through private keys and recovery seeds, thanks for sharing and I hope they listen

Centralized wallets are not safe for holding coins, once they exit scam or hackers take control of the platform you will lose access to your coins and tokens and there is no way to recover the coins

I think you cannot always be opportuned to stay away from centralized wallet, because one way or the other, you have to use centralized wallets, example can be our top exchange platforms.

Also, the best you can do is to keep your profits and funds away from centralized exchange platform when you are done trading.

I never trust any website to have my coins or any kind of money there. Whenever I find a need to use some of the wallets like blockchain.info or another like or the ones you have mentioned I just use it for one time for transact the money NOT KEEPING IT for long time and I always have backup codes and all the things to secure my wallet in case something wrong happens I have all the evidence to show it to the support or to someone else.

TEX-LXRY

You are right. That is why we have to use decentralized wallets. Advantages of decentralized wallets over centralized ones is the security which it posses. The Decentralized wallets does not depend on any third party services. The entire control of the wallet remains in the hands of the users.

The use of decentralized wallet is the best way to save crypto assets. That is why i always give gratitude to the fact that i knew the difference between centralized and decentralized crypto product right from the moment i joined crypto space. I advise everyone to move their assets to decentralized wallets

We never had the chance to get first-hand info relating to the choice of crypto wallet. Those who introduced us to crypto were users of centralized wallets so we had to follow their recommendation. When we finally familiarized ourselves in the space we realize there were equally good alternatives. I'm currently using Atomic Wallet which is a non-custodial and supports multi coins. You have access to the private keys to each asset on a different blockchain, making it easier to export your wallet at any time. The only time I use centralized wallet is when trading and even with that I usually use https://changenow.io/ (https://changenow.io/) as don't actively trade lately.

Exactly. Decentralized wallets are the best way to secure your crypto for the long term. As long as you hold the private key, you can feel confident that your funds will be safe no matter what (only if you follow necessary precautions to secure it). Most newcomers into crypto are often inclined to centralized wallets, because they're much easier to use than their decentralized counterparts. For storing small amounts of crypto, they work just as intended. But if you're planning to store a substantial amount of money in crypto, then using a decentralized wallet is the way to go. This includes both software-based and hardware-based wallets.

Personally, I use Electrum alongside a hardware wallet like the Ledger Nano S for complete control of my Bitcoin. Since I hold the seed (and private keys), I can retrieve or recover my funds at any point in time. That's not possible with centralized wallet providers like Coinbase or Xapo, as they control the keys themselves. If there's a hack or the company goes down, you'll lose all of your hard-earned money along the way. With decentralized wallets, the risks of hacks or theft are reduced to the bare minimum. Not exposing your private keys to the public, conducting sensitive transactions offline, and even using multi-sig will allow you to have complete confidence and control over your crypto balances with a decentralized wallet. Even so, many people will continue to patronize centralized wallet providers due to their easy learning curve. At least, people have a choice to choose from one type of wallet to another thanks to the decentralized and open source nature of crypto. Just my thoughts ;D

I only make use of centralized wallets when I'm withdrawing to cash.. centralized wallets are a total RIP off..  and theres a popular saying.. "not your keys.. not your funds"

You are so right brother, Centralized wallets are not the way to go currently in this industry especially if you value the safety of your money. Just consider this bug issue that occurred with Yam project what if any centralized wallet also has a similar bug? This will lead to huge funds of wallet from users. I think we all need to stick to non custodial wallets such as Vidulum, Guarda and Atomic wallet.

It is true that many have experienced disappointment due to using centralized wallets, because it is like a bank in the real world.
We must be willing our funds being controlled by third parties, which results in us no longer having privacy.Therefore, it causes
many centralized wallets to impose KYC procedures, which can lead to misuse of data. It is advisable to store coins on hardware
wallets or decentralized exchanges.

There are several wallets that give the total right to control. They are inexhaustible, so I see no reason why using centralized wallet should be encouraged.
The fact is that you are right. Apart from the Yam project saga that just happened, there have been series of hacks and all boil down centralized wallets. Why then should we continue to risk our funds?

Thanks for your warning, I am also holding Ripple in Coinbase and before, I quite believed on it and Blockchain.com. Maybe, it's time I should save my money in cold storage wallet

Hmmm, centralized wallet thought me the biggest part of my Crypto lesson last year, I lost everything I worked for and that was the end of me and centralized wallets. I wish people can read this post and adhere to it especially newbies

I just dont understand why people like centralized solutions os much. There are a lot of good non-custody solutions. Exodus, ownr wallet, coinomi, etc. They just better than any custody app

There are so many good non-custodial wallets these days that we don't need any custodial wallets to manage our funds. Not your keys, not your coins is a true saying in the crypto. Trust wallet and MATH wallets are one of the best IMO.

then why do people make it like that, and why do people still use it. what is the main reason everyone who uses such a wallet does not know the difference between a centralized and a decentralized wallet. ???

This is an informative and very substantial thread which is very useful to mostly newbies in the crypto world. It is really good to have a decentralized wallet instead of centralized because you are the only one who can control everything in your wallet not like in centralize because they all have you essential information.

Of the two wallets that you provide, I prefer to use a trust wallet because I have a bad experience with other wallets and I think trust wallet wallets have very high security and are certainly very safe to use by other coins.

Well I have used Luno for a very long time and so far I haven't had any issues so far with them, though I don't normally leave huge amount of token in it and also Coinbase have been on and off with it and still no issue, probably luck has been on my side

Exactly. Centralized wallet providers are no different than traditional banks themselves. After all, they're custodians of your crypto private keys (which gives them access to your funds). I'd suggest anyone to use decentralized alternatives in order to gain the full benefits of crypto/Blockchain technology. From the ground up, crypto is meant to eliminate the middleman from the system. Trusting a middleman to take care of your funds, is no different than doing so with a bank. With decentralized wallets, one can easily enjoy of greater security and reliability than centralized alternatives. The responsibility of securing crypto funds will lie in the person himself instead of a third party. As long as people don't make mistakes when using a decentralized wallet, their funds will be safe virtually forever.

All in all, I believe that centralized wallets won't be going anywhere due to their easier learning curve. Newcomers into crypto will find these type of wallets to be quite convenient for daily payments. However, experienced crypto users will choose decentralized wallets on top of centralized ones because of their unmatched security & reliability. For storing large amounts of crypto in the long term, decentralized wallets serve as your crypto "swiss army knife". If you're still planning on using a centralized wallet, it's advised to store very small amounts of crypto to reduce risks as much as possible. Just my thoughts ;D

This is very important, do not use any centralized wallet, if you do not have conrol of your private keys then it is not yours. I remember when I started in the space and was using a multipurpose wallet, when Dash pumped I want to withdraw the coin, the wallet provider has gone under.

sorry to have heard of your loss, I myself have also experienced an uncomfortable incident when using Coinbase when I held 0.01 btc at a time when bitcoin was quite high, coinbase suddenly freeze my wallet because it was considered suspicious activity and unfortunately when bitcoin crashed deep enough they just opened my wallet and this is the most annoying thing and because of that I don't use Coinbase anymore.

Unless you have violated the terms&conditions there is no way Coinbase blocks the account. Only banks in some EU countries have strict rules against the transactions from/to crypto exchanges, maybe the amount has not been released by the bank side. Logically, the interest of exchange to get more volume, why the exchange should block the account. One more reason can be the funds coming from gambling platforms which is prohibited by many exchanges included Coinbase, AFAIK.

While wallets which do not provide exclusive control of the priv keys to the user are not the best, they sometimes offer some additional perks for less technical users like retrieving the password, etc. Obviously that takes aways from security, but also reduces the chance that the user loses access to the wallet.

My recommendation is that people educate themselves first and then try to use a new technology especially when they want to deal with higher figures.

After considering carefully, I had decided to buy Ledge Nano S a few days ago and I have good feeling with it, all operations are extremely simple and fast and I feel more secue about my property.

centralized wallet or exchanges wallet actually safe if we set maximal security setting on our account, many account holder didnt care about their account security. meanwhile in dashboard we provided by many setting to secure our account, for example trading password , 2 factor authentification both in phone number or google auth. if we set these setting i am sure no one could hack our account cause we have multiply layer security.

I appreciate the use of decentralized wallets because they are secure and ensure your funds are always under your control. But given the current cost of trading a smart contract, those with little money using a decentralized wallet to transact will make their profits drop significantly, which is suitable for people who make transactions with large amounts of money.

And OP haven't said that if you're using one - your funds will be scammed in X months.
It just means that you're not the only one in control of your own crypto savings, which sounds really bizarre on its own.
Scary thing is you never know when exactly one service will be hacked and so you can't withdraw anything before bad thing will happen.
So thats why most of us here encourage more people abandon centralized crypto wallets and switch to dec ones

Thats a good decision. But you must remember that nano ledger s only support major coins and has limited storage. But if you already used to it. You can just uninstall and install the app to have an extended storage for other coin and token and just install their app via ledger live app when you are going to transfer or deposit yoir coin somewhere. Ledger is very safe and one thing is for sure, your fund is safw with it.

There's no need to be wary of a centralized wallet, because we still have the advantage of that.
If we have a centralized wallet like the OP mentioned, we can reset the password if we forget it, this is something we don't get from a decentralized wallet.

I believe that centralized wallets are those wallets that request for email account to log in, they don't give users opportunity to store their recovery seed or private keys themselves, instead they are in possession of their customers keys, this is totally unsafe for anyone

What do you think about a wallet exchanger like bnb? do they use a centralized system?
Regarding the wallet you are talking about, that is, it is true that there is identification of asset monitoring, on the other hand this also has benefits for users who often forget. I mean here that because users register with email so the wallet has a "forget password" feature to open their account. I think trying to see things from both sides is a good thing.

A centralized wallet should be considered as a disposable wallet, not the wallet where you are planning to store the bulk of your coins for a long time, it's risky doing this the philosophy that your keys not your wallets always applies, you should only use centralized under unavoidable circumstances.

Ledger nano is a safe place to store your cryptocurrency assets
wallet centralization is indeed very helpful and simple but still has many shortcomings including only exchangers that have private keys and are prone to hacking, maybe later there will be a blockchain-based wallet neutralization solution

The first thing I learned is to always control my coins and I cannot do that if I will be using a custodial wallet, I only put my coins in an exchange if I am going to trade it right away I have at least 4 noncustodial wallets in my desktop all password protected including my computer.

Thats true, its not safe if you dont hold the keys of your wallet.
They can freeze your account for no exact reason and it happened to my friend using our local centralized wallet. Thats why decentralized wallet is much safer because you have the full control of your coins.

that's the right action, indeed to save crypto currency is not in an exchange, but in a private wallet,
it doesn't matter if you save it in an exchange, but the exchange must have high trust

Every centralized wallet isn't unsecure, there are more number of centralized wallets into usage. I believe centralized wallets are error free than the decentralized ones. I state it based on the support provided by the centralized platforms which we can't expect with the decentralized platforms. Centralized wallets at times scam the people and run away with the funds. Whatever it is, we need to be aware and use the one with good reputation and not the new ones.

What you can lose but don't lose your private key then the same things happen to you in a decentralized wallet like an atomic wallet. A decentralized wallet is secure and you have only access. Centralized wallet is also secure. I used one of the centralized wallet. Coinbase has had a successful history since 2012.

We should not using centralized wallet too often, better to use our own wallet for long time.
Cryptocurrency nature is decentralized, so it is best to use the decentralized wallet as well.
Im only using centralized wallet such exchange wallet for trading, buying or selling coins only.

It's best to save the private key or seed for future reference. You'll never know when a certain wallet provider stops working or experiences an undesired situation. Still, centralized wallets don't give you access to private keys or a mnemonic/seed, as companies are the sole custodians of your crypto funds. A decentralized wallet gives you better control and security over your crypto assets. Remember, "not your keys, not your coins". If you can't get access to your private keys or seed, then the crypto funds are not truly yours. It's always best to choose decentralized or non-custodial wallets for your own benefit.

Ultimately, it all comes down to an individual's preference above anything else. Newcomers will always choose centralized wallets because they're easier to use and extremely convenient. But crypto veterans will choose decentralized wallets because of their top-notch security and reliability. As long as you take proper precautions to secure your crypto, nothing should go wrong. Just my thoughts ;D

I think people should use wallet that can give you access to your private keys and dont keep your money on exchange. They will lock your account for no reason.

I think you have a point but let's look at it from a different perspective. one typical issues is convenience. How are you going to feel when you have to go through stress (KYC) to access your own money? Situations like this can make you loose your find. These are some of the reasons why we always recommend non-cutodial solutions. I personally use Atomic Wallet and I can easily export my private keys and recover it on a different wallet. This is exactly what we call freedom

As far as I know, Coinbase account can only be created using an email and password and there is no way you will lose access to that account as long as you still have your email. It's also very secure and when you want to login they have a verification mode where you will have to verify the login using your email. So, I don't see what's wrong with Coinbase, they even store coins in cold storage, so I don't see what problem you have with them..

Absolutely right, from top wallets centralized and decentralized both are safe to me. I'm using a coinbase wallet since I know about this wallet. I don't face any single problems. But I have some login problems in my coinbase mobile wallet, just take more time. I'll switch to a decentralized wallet. Although I think op lost something, that's why his account didn't recover.

One of the worries if you are using centralised exchanges, is that they can mandate what they do to your coins. As you said, they can lock your account for no valid reason. So it is better to own your wallet with your own private keys and such. At least you have the full control of your funds and you don't have to worry that the exchange will get it from you for no reason.

Besides getting control of your private keys, you'd need to follow some necessary security precautions in order to avoid many undesired situations in the future. A non-custodial or decentralized wallet is not a "golden pill" that will solve all of your problems. While it's much safer to store your crypto this way than using centralized wallets, you'd still need to keep an eye out for malicious actors in cyberspace. As long as you take responsibility of securing your funds properly, nothing should go wrong. For true security/reliability of large crypto balances, it's recommended to use a hardware wallet at all times. Otherwise, you can lose your hard-earned money as a result of software issues, bugs, etc.

Nonetheless, there's nothing we can do to make people use decentralized wallets on top of centralized ones. The vast majority of people prefer centralized wallets on top of decentralized ones because they're extremely easy to use. There's no technical knowledge involved when using a centralized wallet other than knowing the basic stuff (sending/receiving crypto and inputting public addresses). Despite the high risks of storing crypto on centralized wallets, they're still popular in the mainstream world. Ordinary people will continue to use centralized wallets for mainstream crypto transactions, while the rest will use decentralized alternatives to reduce risks as much as possible. It's rather a person's choice from one type of wallet to the other. Just my thoughts ;D

Decentralized wallet is secure, and also insecure if you lose keywords to centralize wallet Gmail. We all want control on our money, either exchange or wallet. Suppose you have some money in kucoin exchange but after being hacked you can't withdraw it. The same way Binance exchange was locked after being hacked. My bad is that I still don't use any decentralized wallet, maybe coinomi wallet next.

The only thing centralized wallets did wrong is anonymous private key and recovery seeds, users have no control over their funds, but Centralized wallets and exchanges have good advantages over decentralized exchanges and wallets, on Centralized platforms you can easily trace stolen funds or block an blacklist hackers and stolen funds

Although non-crypto related, it kinda reminds me of the story of my friend that got his PayPal account locked for no reason.
To sum it up from that story of my friend, I don't want to hold any kinds of currency into the internet handled by a 3rd party.
Everyone should learn what does "owning your money" really mean sometimes.

Coinbase is centralized and custodial wallet, Did they gave any information to someone when hacker stole the users fund by phishing? No!

Centralized exchanges cannot do anything, they can give you the transaction hash which you can just see it by yourself.

LOL. all wallets are third-party apps so never expect them to be decentralized.
There is no exclusive wallet application for any blockchain. We need to accept that. If you do not trust the above applications, you can choose a trezor or ledger. They seem more secure.

and besides what hinders people to use ledger or trezor?when these two are the safest place to keep safe our crypto assets?

yeah it is expensive but what is more important our assets or the hundred or more bucks but to keep safe our crypto assets?

Centralized wallet usually more convenient than decentralized wallet.
On centralized wallet, you can have more than 1 coin there, such as btc, eth, xrp, usdt, all in your single account.
Using decentralized wallet is secure, but it needs more knowledge to use it so we can manage our wallets effectively.

Im also using a centralized wallet (its our local wallet here), but my only purpose for using this is because of the convenience to cash out and because it has also features that you can pay directly your bills and top up your phone instantly. Other than that I dont store my coins for long period there, its risky. If you dont hold your private keys then its not really secure.

That is correct but sometimes thises centralized wallets give you some services that DEX could not give you those, like staking, swapping, and liquidity mining, for example, I used to have CS in my cold wallet but forgot to swap it and now it moved to another blockchain and my tokens are worthless!

I agree. Hackers are getting clever each passing day and they usually target centralized sources. It is better to hold your own private keys then to let someone else manage it for you that way if your wallet gets hacked it would be because of your own fault and not some centralized source

We can't come to a conclusion, centralized wallets are high risky. We need to find the trusted one, and make use of it. With decentralized wallet if something goes as an error it'll end up losing. We can't claim it anywhere else, but with trusted centralized wallets we can request help from the support team.

Recently due to a small error more than ten million worth cryptocurrencies got hold in a wallet. Finally the error was being solved with a cost of very few dollars. Think a situation where there is no solution for the error, all the funds go wasted.

What do you mean by centralized wallets? Are those wallets from the centralized exchange that provide centralized wallet? If it is then yes, it would be good to store all crypto in an offline or non-custodial wallet. No one can access your digital wallet except you and yourself. The only problem is that when you lose the password, private key or seed phrase then no one could access it and it will be forever stored in your wallet. LOL, Custodial wallet to which wallets usually provided by centralized exchange or centralize wallet itself is not secured for the third party that offer the service could see and has the hold of your private key but whenever you lose the password to their wallet then you can just send them request to change your access password and let you open your digital wallet after it is change.

Anyway, as others had mention that non custodial wallet should be preferred and the best thing that you can do is make a back up on your password, seed phrase and private keys in a notes or docs. stored in USB, other ways that it could not be access online by the hackers and scammers using malware programs.

Except we just want to stay away from profitable coin in this market, this information on centralized exchanges does not scare as they present. Binance had this hack and Kucoin just had his but they are still offering services. Some exchanges are well prepared to handle some of this challenges and they make the right provision for it. Centralized also give opportunity to multiple chain wallets that most DEX does not, more also the transaction fee on the DEX are still crazy, so we cant because of security alone just would not take the risk in this profitable market.

Centralized wallets provide no security at all. The exchange may block your assets on any suspicion, may require identity verification, or a hacker attack may lead to the loss of assets. Storing assets in centralized wallets has always been insecure. This is convenient if you need to quickly sell or buy. Coins are always on the exchange and you can quickly manage them, but you need to assess the risks, whether it is worth it or not.

I think its better not to be profitable than to expose a valued asset or coin to an unsafe centralized or wallet exchange from my own view, having a lot or huge amount of coin needs to be kept away from hackers whereas centralized wallet are very prone and vulnerable to hacking. recently Kucoin was hacked, although as you rightly said centralized wallet has option for keeping other type of coins however I would rather exchange those coins to BTC or ETH thus leaving just a small portion in any of those wallets.

centralized wallets are very risky especially if you hold large amounts of assets. My advice is to use a trusted wallet such as Trust wallet or Coinomi. and safer if you use a hardware wallet. I never use or store assets in centralized wallets. i use trsutwallet wallet to store top altcoins and MEW to store the erc20 platform based tokens.

Hardware wallets are definitely more secure. But most people wouldn't want to spend money on a separate device just to get access to crypto. A wallet software is more economically viable for the general public even if it sacrifices security/reliability of a person's funds. Even paper wallets are practically free to use by anyone interested in preserving crypto for a long time. Centralized wallets are practically "online wallets" because their interface is accessed through a web browser. There's no way to backup private keys or seed since the wallet provider is the sole custodian of your funds. If the wallet becomes hacked or the underlying company ceases operations, you can say goodbye to all of your hard-earned crypto. Considering that the risks outweigh the benefits, it's recommended to store minuscule amounts of crypto when using a centralized wallet.

Nonetheless, people have a choice thanks to the decentralized and open source nature of crypto. For different needs, will be the type of wallet to use for all of your crypto transactions. The more alternatives emerge, the better it'll be for the long-term health of the entire crypto/Blockchain ecosystem. As long as you follow necessary security guidelines, you can protect your crypto funds against hacks, theft, or other undesired situations in cyberspace. Just my thoughts ;D

I trust some of them. Take, for instance, BitGo. Many users rate this wallet as the most reliable. Firstly, the security level of is very high — two signatures are required for the transaction, the keys are stored on the platform and on the server, before using the funds, authentication is required in two stages. Secondly, the funds are not only protected, but also insured, which opens up great opportunities for entrepreneurs.

The condition could get to the worst if the exchange are incompetent in keeping their asset and instead stashes all their coins in a wallet and once it got hacked it's gone just like what happened in the past. the top tier exchange though invest heavily on the security since they know that without the security they are nothing and probably went bankrupt due to the hacking and client distrust anyway. I mean it's still fine to use centralized wallet provided by exchange temporarily .

A lot of people say it on the forum very often, "don't store your coins on exchanges or centralized wallets", but for some reasons some people fail to listen and they later regret it. No matter how big an exchange is, you don't have control over your coins stored on it because you don't have access to the private key. And we have seem a lot of times that any exchange can fall victim of hack and you could lose your money. Store your coins in your wallet where only you have the private key and full control over it.

Centralized wallets do not matter if they have a good security system, and you live in the area of the exchange,
of course it is very easy for you if there are problems, exchanges must have certification,
otherwise it is also risky for your crypto assets, exchanges are good for trading in the short term, not the long term

I think BitGo is the exception. Considering that it's a multi-sig wallet, your funds are still safe even if the company ceases its operations in the future (please correct me if I'm wrong). But centralized wallets without such a feature bring additional risks to the end user. I'd personally stay away from centralized wallets provided by companies like Coinbase, Xapo, and Blockchain.com. Since you don't hold the private key, there's no guarantee your funds will be recovered after hacks, theft, or the company shutting down its "doors" to its customers. Always remember: "Not your keys, not your coins". As long as you choose your wallets wisely, you'll be able to prevent many undesired losses in the long run.

All in all, people will choose the type of wallet they seem to fit best for their daily needs. We cannot force everyone to use decentralized wallets, as not everyone has the same tastes. Most people prefer centralized wallets because they're extremely easy to use. With no handling of private keys or seeds, centralized wallets prove to be a nice entry point for the newcomer in crypto. As long as you never put large amounts of crypto on a centralized wallet, the risk of loss will be reduced as much as possible. Just my thoughts ;D

Doesn't the Trust wallet belong to the Binance exchange? I do not trust wallets located on exchanges, as well as wallets that are in any way connected with exchanges. The best wallet is a wallet to which you have both private keys and keywords.

yes. At least recently there have been new projects that use a centralized wallet, because I entered my email there. While there is no theft, I don't think it will be a problem. If indeed the wallet monitors our private keys, I am fine as long as they don't steal from us. and hence, they should be more responsible because the ownership of the wallet is influenced by them too.

The safest crypto asset storage in my opinion is Storing using a Hardware Wallet. This method is the safest and recommended way to store your crypto assets. Especially if the amount is over $ 10,000. if you use a hardware wallet you will feel safe interacting with any site on your PC or mobile. There is no need to worry about installing applications from the Internet because the hardware wallet private keys are sealed inside the device and cannot be stolen by other parties.

The best option when forced to deposit assets into a centralized wallet is one that manages to deal with hack cases and guarantees the return of customer assets. I am sure that trusted wallets will not block accounts just because of its asset value. Large wallets and exchanges are often the target of hacks, it is only natural that they apply extra security by blocking suspected accounts.
But anyway this is not recommended, it is better to keep privatekey yourself.

For newbie I think a centralized wallet is a good start, with a centralized wallet we don't need to be afraid of losing assets, because if we forget the password we can still reset it
Whereas in a private / decentralized wallet, if we lose our private key, our assets will not be able to return.

The mistake that is often made by newbies is that they cannot maintain a private key and consider it trivial to store in a centralized wallet. Even though centralized wallets are very vulnerable to hacks.

Yes, mistake like that often happen to newbies because in their experience they also don't exist so they think the private key is not important to them, even though in general the private key is a very important code to be stored and should not be arbitrarily inputted into sites that are not important not trusted.

While it's clear that centralised exchanges and wallets are under the scan now, I think coinbase out of this list is trustable and they won't steal the keys but them getting hacked or played by a malicious actor is definitely in the picture.

wallet centralization has been a bit dubious these days, because of the bad news about the exchange,
Kucoin users are victims, of course most will have doubts, Coinbase and Binance have better security systems now,
but I don't recommend you keep all your money there.

Yes I also think that centralized wallets are not good. They are catch many people eyes because of marketing or the amount they spend on marketing. I always prefer decentalized wallets which are preferred by official projects or I use official wallets. And if you still want to use multi wallets there are lots of option available. You can try math,exodus and many more available. When you use decentralised wallets your asset are in your hand. I think everyone one should use decentralised wallets. That's it.

Centralized wallets are easier to learn and use. In addition, newbies will not need to bother with generating keywords. However, I do not recommend anyone to use such wallets for a long time.
Now on the Internet you can find a video or step-by-step instructions on how to create and use any wallet. This would be a good start for newbies.

Luckily i haven't see any problem in Coinbase wallet since i use it. It is unfortunate for you to lost your account.
Their support should be able to help because the password of your account should be exist on their database and they are the one who can recover your account, that is centralized wallet.

If you cannot stop yourself from using a centralized wallet do not store a huge amount of Bitcoin, you should have full control of all your funds with no third party interference, this is what Nakamoto wants and what you should do to all your coins, you should be aware what wallets are centralized and what wallets are decentralized.

That's certainly true, mate. Hardware wallets are the safest option around for storing large amounts of crypto. The only downside is that most of these wallets are expensive, increasing the level of accessibility to the average person (especially those in developing countries like Venezuela and India). The cheapest route would be to create a paper wallet or a multi-sig wallet that would secure your crypto funds as much as possible against external attacks. Of course, nothing is perfect. No matter which type of wallet you use, it's your responsibility to protect your crypto funds against hacks, theft, or any other undesired situations. The aforementioned risks will always be there regardless of what precautions you take yo secure your crypto funds. As long as you stay updated with the latest trends in the crypto/Blockchain space, you'll be able to minimize these risks as much as possible.

Nonetheless, centralized wallets will continue to exist as long as people in the mainstream world continue to patronize them. After all, these type of wallets are easy to use among everyday people. The responsibility of updating and maintaining wallets, as well as, securing crypto funds will lie on the company or service provider instead of the end user. As long as you never store large amounts of crypto on a centralized wallet, you'll be able to achieve piece of mind in the long run. Just my thoughts ;D

It's always better to store cryptos on wallets that gives you 100% access to your funds. With the rate at which cryptocurrency exchange are been hacked this days, you never can tell which wallet provider would be next. I had to learn my lesson the had way few months ago when EterbaseExchange was hacked and I'm still praying that everything comes back to normal because I have some funds on the exchange.

Yes absolutely agree with you. I know there are many big names involved with some wallets but it's still risky. And this whole market is based on decentralisation bso why you use abbasic thing like a wallet which is centralised. And this market there are lots of good option available you can find many alternatives. So can easily live with them plus your asset will be in your hand. But if you think that you can go with centralised exchange or it is easy to use them. Then you can go. That's it.

Exactly. It's best to use a wallet you can fully control in order to avoid facing undesired situations in the long run. Sometimes you'll have to sacrifice convenience on top of security/reliability. I'd prefer to use a non-custodial wallet (or decentralized wallet) even if it's not as easy to use as a centralized one. As a golden rule, never leave substantial amounts of crypto in an exchange. There have been many cases where exchanges experienced massive losses in crypto due to a hack. Unless the exchange makes use of a multi-sig wallet (where both you and the exchange hold a key to gain access to the funds), I'd avoid storing most of my crypto on them for the long term.

Nonetheless, we cannot avoid people from using centralized wallets altogether. Newbies will find centralized wallets a more attractive option than decentralized ones because of their easy learning curve. The responsibility of managing, storing, and securing your crypto funds will lie on the company itself. This makes centralized wallet providers similar to traditional financial institutions (like banks). As long as you follow necessary security precautions when storing your crypto in a decentralized wallet, you can feel confident that your funds will remain untouched forever. Just my thoughts ;D

Coinbase is a very good platform and one of the most popular too but the centralized part is why I find it hard to use, I've had painful experience with Xapo wallet and till today the team aren't been helpful, the reason why the whole crypto space makes more sense is keeping funds yourself without any eye preying, decentralized wallets gives you complete freedom over that.

 I agree with you, I have also had issues with these centralized wallets and finally switched to Atomic Wallet after doing a few hours of research. One issue I had with one centralized wallet was relating to scanning a QR code, I had a bad camera so I wasn't able to scan. On the contrary, wallets in which you have private keys are much easier to recover.

In my opinion, for you to safeguard your crypto coins you have to save and keep safe the private key or seed. You will not know when a wallet provider stops working or will experience something that would prove disadvantageous to you. Centralized wallets does not provide you any full access to a private key or seed as they are the sole keepers of your crypto coins. A decentralized wallet has better security and can protect your assets.  If you don't have the seed then you don't own the coins.

centralized wallets are not always safe, but if you hold your keys and your data correctly maybe nothing bad happens, Coinomi if you don't back up your keys it's the same it will be lost and the team won't help

I agree with your statement. Centralised wallet has a big risk. Why would you put your moneynon centralised wallet while you can used your own wallet.and again we never know is their server secure enough or no. Many decentralised wallet like trust and exodus which self custody.

I think this is pretty special and valuable for low asset moving on different records. Be that as it may, I really like Trust wallet as a decentralized wallet. There are heaps of unified wallet accessible and behind them they got some enormous name. That is the reason numerous new individuals go there . In any case, on the off chance that you definitely know this space or even began to find out about crypto space I would suggest you generally go for a decentralized wallet.

That is where the challenge lies, the storing of the keys is in itself a worrisome ask for most of the people new to cryptocurrency. A spreadsheet there, a notebook here, a password system here and there. Many tend to lose that information either to hackers or to computer persons able to get their data when they try to repair their devices. Many of the computer persons are aware of cryptocurrency and will do everything to get their hands to private keys and passwords.

So far all the wallet i have used are wallets that i have my private keys, it is never a good idea to trust centralized wallet because anything can happen and you will be left with nothing,
there are many wallets out there which you can hold your private keys and have control of your funds. trust wallet is a good one.

Coinbase happens to be one of the most trusted centralised wallet if not the top in most of the European countries and the US. May be the support couldn't respond to your request because the piles of works or pile of support tickets available before yours came in. I use Luno and I've never had an issue unsolved with them. It is nothing but great experiences at all time.

Depend on the person they will choose a centralized and decentralized wallet, based on the user requirements he will choose to store in the decentralized wallet for controlling his own transferred, in centralized, there is risk involved to hold our asset in the exchanges. So better store them in our own wallet in order to control our assets.

If a Centralized wallet goes down it goes down with your funds, if a decentralized wallet goes down you can still import your recovery seed into another decentralized wallet to recover your funds, it's that simple as ABC, Centralized wallets isn't safe for keeping valuable assets

I think all wallets use tight security especially for wallets like Coinbase, how can your account be stolen, maybe you don't have security features like gauth or email verification. As long as I use my coinbase account there are no problems especially when it gets stolen and if that happens you might be mistakenly logging into the fake coinbase web

Lack of private keys and recovery seed can't be called secured in crypto space, coinbase is a perfect example of a Centralized wallet, any wallet that requires gmail account and password to log in is not secured, your email can be compromise, funds can get stolen, remember not your keys not your fund.

I am starting to stay away from centralised wallets in terms of storing our coins or tokens. Not our keys  not oue coins. When the funds usually arrive to my centralised wallet, I immediately withdraw it to bank, mobile wallet or remittance. These centralised wallets have the power to freeze and limit your transactions. Decentralized wallets are the future.

That's not always valid, there might be some wallets who are not 100% centralized and they might ask for your email and for a password. In this case i will mention Blockchain.com wallet. It's true that these centralized wallets might even have the private key to your wallet and they might even scam like SpectroCoin. Be safe and use MyEtherWallet as your main wallet.

Centralized wallets or decentralized - the choice is only on the user's side! Each solution has its advantages and disadvantages, each has acceptable and unacceptable risks. Someone does not worry that he does not fully manage his wallet, for another it is important that no one except him can manage his assets. Someone believes in "a worldwide conspiracy of the holders of the private keys of our wallets", and some laugh at it. At the same time, everyone evaluates the situation subjectively, since there can be no real objective assessment of risks due to the huge number of nuances

A lots of wallets are available in the market at this point of time. Many of them centralized and some of them fully decentralized. I always prefer wallets which are fully decentralized. And normally i go for those wallets which are suggested by the coin or the official wallet. The main basic of the whole blockchain is we have the full ownership of our asset. And centralized wallets are fully opposite of it. Bbut there are many 3rd party centralized software or tools which are very popular in the community. So it's fine in some ways.

It would be very necessary when we restrict to use the centralize exchanges and hold money on it as less as possible. There were many attacts of hacker that aim to the centralize exchanges like Okex recently and there will be more especially when the cryptocurrency market is getting hot again as now.

This is actually true, most of the time the hacker just gonna stop their hacking activities right away when they notice that the user enables 2fa unless the hacker somehow got an access to the victim's personal information regarding phone number to somehow social engineer it's just near impossible to go through this security system.

But, centralized wallet still vulnerable against any potential threat that occurs from inside the platform for example when the centralized wallet decides to just steal away all the users asset. Though, I'd still prefer open source crypto wallet

Exactly. Choosing one type of wallet from the other will greatly depend on a person's specific needs. For newbies, a centralized wallet proves to be an extremely convenient tool to gain access to the world of crypto without technical knowledge whatsoever. But experienced crypto users will find decentralized wallets an indispensable tool because of their focus on security, reliability, and censorship resistance. It's important to know that both centralized and decentralized wallets have their respective advantages/disadvantages. Just to be safe, only leave a small portion of crypto in a centralized wallet. For large crypto holdings, decentralized wallets (either software or hardware related) prove to be a no-brainer for achieving rock-solid security against malicious actors. The only downside is that the responsibility of securing your funds will solely lie in yourself.

Nonetheless, it seems to me that centralized wallets won't be going anywhere. They will co-exist with existing decentralized solutions in the crypto/Blockchain space. Whichever type of wallet you choose, always remember to act responsibly in order to avoid facing many undesired situations in the long run. Following the necessary security precautions will allow you to stay safe in this wild and crazy world of crypto. Just my opinion :)

Things will take a different turn for centralized wallet once regulations is a must for all centralized projects and platforms in crypto space, to keep coins on coinbase requires no KYC yet but as time goes on non verified users won't be able to use such wallets, maybe that's when some people will understand the difference

I can't even remember when last I used a centralized wallet to store my crypto.
Storing your funds/crypto in a centralized wallet is like the same as storing or leaving your money on a centralized exchange, anything can happen or go wrong and your money can voom!, disappear.
Everyone in crypto should learn how to keep their seed phrases/private keys safe and use decentralized wallets like trust wallet to store their funds
.

As far as I know it calls custodian and non-custodian wallets. I always definitely choose those wallets which give me private key or pass phrase, because I always can get access to the wallet even if I lose my smartphone or solid drive.

Yes, I have enough knowledge of the difference between Centralized wallets and Decentralized wallets. Because I am a victim like you. I have been used coin base wallet, suddenly, my account was blocked without any reason. I have submitted everything to unblocked my account but they didn't support me. Anyway, I promised that I will not use any centralized wallet again.