Bitcoin Forum

Many of you are wondering if your funds on exchanges are safe (SAFU anyone?). Here are some tips for you, and how I manage my own funds.
Time for a short thread
Exchanges act like banks with the ability to buy and sell tokens and coins. The simplest example you could think of is you can go to your local bank, and exchanging USD for your local currency. Now, what happens if the bank is on hold? (Vacation or completely shut down?)
You end up waiting until the issue is resolved. Banks have reserves in order to cover their client's funds. Insurance funds that exchanges operate are more or less the same.
But you wouldn't trust the fund to be able to cover everyone now, would you?
Welcoming cold storage. What is cold storage? Cold storage is a hardware (there's also the paper version) wallet that you own and is inaccessible by exchanges.
No one can access it but you, think of it as your physical wallet that you hold cash in. Ledger is one example of cold storage,TrustWalletApp is considered a hot wallet (they operate online).The way it goes is that you transfer the amount of your portfolio there that you do not want to trade.

What's the best way to maximize your fund's security?

Well, for starters, no one should go "all in" on a trade. You always need to keep liquidity on the side and avoid heavy losses if a trade goes south. You also want to avoid any shenanigan that might happen to your favorite exchange, and you caught in the middle.
Do some research online, purchase a hardware wallet, I personally use ledger Nano X, I've heard of other good alternatives. It's a matter of choice.
While I do not recall the names, a quick google search should do the trick.
First thing you need to do after you get it is transferring the amount you're absolutely not okay to lose (mine hovers around 80% of my entire portfolio, hence I trade with 20% of my funds only).

You own the keys, no one can take them from you.

The better question is, how do you consistently manage your funds? Well, if you had a successful trade, then you would transfer a part of your profits to the wallet. I usually transfer 50% of the total profit on a weekly basis and increase my trading account with the rest
So let's say your entire fund is 5000$. You would transfer 4000$ to your wallet, and trade with 1000$.If you made 500$ on a trade with the 1000$, you would then transfer 250$ and trade now with 1250$.
Easier and safer than most think.No one is responsible for your own funds but you. Trusting exchanges isn't the smart move, otherwise, why are you on board with this entire decentralized finance train? Might as well stick to your local bank.

Thanks for the info, since centralized exchanges has the biggest volumes and liquidity they've become the best platform for every traders, actually I will be more interested if you can share information about your trading strategy? How can one make as little as 20$ per day from day trading? I do trading too but only when there is a big opportunity for example when Bitcoin dumps, I would buy and wait for recover to sell again, any information will be much appreciated thanks

I can share with you my trading strategy but I'm pretty sure it'd not be very useful for you or for everybody else, as I believe trading very much depends on everybody's personality and every one would fit in some different strategy, somebody works with Fibonacci, somebody would rather work with UNIRanko instead of candlesticks, You need to see what is your way and what suits you the best , if some way works for someone, doesn't necessarily mean it'd work for you too, and the only way you can make a profit in downtrends is to do margin trading which is not my favorite and I don't do that.

I do not hold funds on exchanges, it is not safe at all. Exchange can be hacked, your account can be suspended/blocked/frozen. I hold on the wallets with full control of private keys, mnemonic phrases, etc. I use exchanges only to sell/buy/convert some assets and withdraw it immediately.

yes for most exchanges are not liable in case of hacking, but binance will still replace our assets (like some time ago) when binance was hacked.
but it is highly recommended for everyone to keep all their assets in their personal wallet so they can sleep soundly

IMHO, I think it depends on the capability of the exchange platform if it was trusted and reliable and then there is no reason to be afraid because I always doing this since 2017 until now, Luckily there is nothing bad happens, I'm a fully verified user so I was never afraid of these possible scenarios like blocking or locking my account because I have not done any illegal thats why I have nothing to be afraid off by the way the crypto exchange that I was using is a secure platform and also has insurance to cover if something happens thats why it's okay. But let me clear this I'm not leaving all my funds in the exchange wallet only the funds that I was using for daily trading purposes.

As a trader you have no choice but to take risk on putting your money in exchanges even if you know hackers are just there waiting for their moment because the fees will eat all your capital if you do a lot of transactions from your wallet to another wallet. As a trader you should updated about that exchange so you can sell early when something bad happen. If its a long term investment, I don’t trust exchanges on this so I have to transfer it on my secured wallet.

I am aware of all this but there are different preferences of different people regarding the funds they hold.
It is a wise idea for long term hodlers to put their coins in a wallet they have a private key to or even put them on hardware wallet or paper wallet.
But that can't be claimed same for a trader. For a trader, larger the liquidity is, larger it can profit from the market.
And anyone wanting to invest in new coins through IEO, they can't do that while hodling their coins in wallet.

I agree with you. But in any case, users' wallets can also be hacked. Therefore, exchanges such as binance, to a certain extent, provide more protection than conventional storage. Storage everywhere at your own risk)

Personally i transfer only the coins to the exchange wallet that i want to sell or exchange while most of my coins stay in my private wallet. Another way to reduce risk is by using non custodial decentralized exchanges.

I use that way not completely put all the money into the exchange, usually I just send a few to make trades and after getting my profit I withdraw my profits and leave the capital to trade there, I am also worried they will go away with my money and it will it hurts me, so we don't have to put a lot of money there, at least we need to protect our money and be responsible with it, we need to prevent something that is not wanted is good

It has been a good informative content, in addition to what is written here, I want to add some of my knowledge and my own thoughts.

Unfortunately, many exhange services are not fully secure, and with the exception of only a few, no service has an insurance budget. For this reason, the capital we hold in the accounts of such services is never safe.

It can be abit challenging to convince them on the importance of self-custody if they don't know/understand the purpose of crypto, if they are not interested in its ideals, if they are just in Crypto to make money, if they are not aware of the security implications of keeping coins on centralized exchanges, etc
One of the most disturbing things about exchanges holding people coins is that they can use them for consensus/governance and to change the rules of a Decentralized Cryptocurrency via coin voting. Won't be surprised if centralized exchanges deliberately turn(or gradually turn) decentralized crypto into centralized crypto in this manner

This post is very informative and educating as well, even a newbie having gone through it can know a thing or two about safeguarding his funds and so on. I like your trading strategy and the steps you take to secure your assets, especially the aspect of withdrawing your weekly profit to your personal wallet, it shows contentment which some people lacks, that is, some people always make that mistake of either keeping funds on exchange or trading with everything both the profit and so on with the mindset of making more, more funds more gain while forgetting the market can go south. Lastly, it has been said many times that no exchange is secure no matter how big the exchange is or how secure they claim to be, Kucoin hack should have taught people great lessons by now; your personal wallet should be used all the time and not that of exchanges.

This system sounds too utopian. I think very few people can earn 50 percent a week from their deposit.

The only way to earn so much is if you risk very much by trading assets which at the bottom of the coinmarketcap list. But this is so risky that you are much more likely to lose all your money instead of making a profit.

In this case, you will have no any mind about your exchange security, because the greatest danger will actually come not from the exchange, but from the very fact of buying such high-risk assets.

I also want to hear some good trading strategy too. I am not very good at trading so I mostly use some common bot trading strategy to minimize the risk. But rewards are also very low. Actually, it's gride trading I do when market goes sideways and I use the trailing take profit option to get maximum profit when the market pumping. Those two strategy works fine for me.

There is only one simple rule that has kept me from losing my coins in one of the exchange hacks or exchange bankruptcies in almost 10 years of crypto: Always deduct your coins from the exchange as soon as you have made your trade. Never leave them and never hold open positions for more than two or three days. That is the secret.

You are lucky that you are making profit from trading not everyone here can, and this is the reason why people prefer to HODL than to trade, they know the risk of storing their coins to long on exchanges for trading purposes, it's good if you can retain only your profit in exchanges but it's very tempting to store your coins in exchange if you know how to trade or very active in trading, this is one of the risk of traders.

The jeast is not to hold your coins on exchange when you are not trading or investing. If it's a large fund and you are bullish about it's future, you should put it somewhere safe with a private key you own. Putting on exchange or centralized wallet is not only risky when they are hacked, but it also poses risks from your government, court through lawsuits. Some courts have even declared them your financial assets and martial property.

Funds are safer in your wallet than exchanges, don't listen to those praising top exchanges, even coinbase or binance can still get hacked, if you are a full time trader always move your profits off the Exchanges to your personal wallet that you owned the private keys, don't....

1. Use coinbase wallet to store funds, it's centralized
2. Make sure you use 2FA code for your exchanges too

Sometimes early this year, I was able to attend AMA with Kucoin exchange CEO Johnny Lyu . It was time for community members to ask him questions after introducing himself and some little questions by the admin, one of the member ask a question regarding their  security system and hacks attempts on the exchange, kucoin was one of the popular exchanges that hasn't been hacked at that time.
His reply was: the exchange is secure and they are very confident about that and don't play with security but apparently kucoin was later hacked in September as an insider Job.

NO matter what, it's always risky when you keep your funds on these exchanges especially when they don't have insurance to back the customers damage.
#peace

If you are an active trader, then you will have to take the risk anyway and transfer your coins to a centralized exchange. If you are an investor and a holder, then keep your funds in a cold wallet and sleep peacefully, your coins are safe.

This whole exchange hacking system is so cumbersome to traders  :-X But in essence if you're a trader you need to face reality and thats the risk of losing money is something was to go wrong. I understand that having most of your money in cold wallet is safest but the issue with doing this is the impracticality of it.  Transferring funds across is also quite expensive specially if you do that with BTC but I suppose better to lose that in fees than lose it all.

I'm not demeaning the importance of assets' safe keeping on cold wallets I'm just frustrated at how much harder it is to do that, and as a trader that is a bit impractical. However, one can only decide what's best for ourselves!

The only part I disagree with is keeping any funds on an exchange. If you are going to trade put crypto on exchange, trade then pull off 100% until ypu are ready to trade again.  Might be a pain in the ass but if you always keep 20% of your stack on an exchange for trading it ultimately will will always get "hacked".  100% of your crypto should be kept in a place where you and only you own the keys

If I will not trade in a day or not consecutively trading I make it to a point not to keep them in exchange it's better to be in my wallet than it the exchange. I only keep some in exchange when I have a specific coins that I'm monitoring but if I knew that it will be long again before I trade again I will just keep it in my trezor for safety purposes and much easier access. I also remember in my early days in crypto that I forgot in what exchange I put my coins then when remembered them they have no more value so only keep coins that have potential and if it will take time better sell it if we know we will not be able to monitor it as some alts lose their value easily.

After working for many months when i check my wallet now there are not many tokens that i can be proud of so all i can tell you is that market nowadays is such that only if you get lucky you are hoing to get some decent reward otherwise you are going to get scammed or paid peanuts for months long campaigns.

Very information thread. Highlighted important topics that are essential in this crypto market.
Just to add another point, if cold/hardware wallet is not enough or not possible, we should keep our funds to different wallets or exchanges. This way there will be diversification and any hack or other not wanted thing, will not result in loss of all your investments at once.

It is really up to you if you are going to store your funds on an exchange or into your private wallet. But for me, it is not really advisable to store funds or assets into an exchange for it is not the purpose of exchange but for a private wallet. If you are a trader, then it is good for you to store your funds into an exchange of your choice because you are accessing it from time to time and you make use of it on a basis. Unlike for long time holders since you are not still going to trade or exchange your crypto coins, better be safe to just store it into your private wallet until such time you have decided to trade those. Both exchange and private wallets serve and exist with purpose better use those accordingly.

Agree, there is a term not your key, not your coin. Storing coins in exchangers is quite risky even though some of our coin exchangers are guaranteed to be replaced. There are many types of wallets that we can use either in the form of mobile wallets or desktop wallets and I think we can transfer our coins to personal wallets unless we are a daily trader.

but how if the exchange being hacked mate,, thats mean our funds isn't safe right ?
in my opinion its better to hold our assets on personal wallet, because its safer rather than if we keep our assets on exchange

It is not safe and it was being advised not to store funds in an exchange. There is a high risk of losing your money if you store your money on exchange. It is better to store your money in your private wallet to at least avoid losing it. There are some situation before like hacking in an exchange, and this is what we can avoid if we do not store our funds in an exchange.

Holding on exchanges isn't safe for long time, just like the experience I had before after withdrawal of my tokens the site immediately closed their trading. I remembered cryptopia last 2018, their situation went so bad after hacking of their funds occured drastically. Fortunately, I was able to pull out my holdings and trasfer it on the safe wallet that's I intended for my asset only.

First of all, an exchange isn’t a good idea of where you can store your coins, and it is not new, we all know this and how exchanges keeps getting hacked, unless someone is a newbie and isn’t aware of the things that’s going on. Although some exchanges might seem to be good depending on the level of features they are offering, but still that’s not enough reason to be leaving funds on exchange except maybe the twenty percent as the op said.

Like I know some exchanges that insures all funds that belongs to their customers, and they also have a cold storage. But still never store all on exchanges.

I am not a day trader, and yes I agree with you about it is not easy to make a profit in trading, best traders have a lot of money to be the bests and not everyone can tolerate that much loss, Actually, I am not a fan of holding and I always would rather keep the extra money that I am not working with , in the form of stable coins, I am not very interested to get affected by fluctuations of each coin, not even bitcoin, I always would change some of my profit each month to gold, so I know that I would not touch it and keep my profit out of access because even If the internet goes down I can still sell gold but maybe not bitcoin!

Yeah I understand, with all those hacking happened to Kucoin and rumors coming from Huobi, I think that is a wiser Idea to keep the money in a cold wallet and transfer them whenever we want to trade or just simply use DEXes like UNISWAP, but still, some of this yield farmings like Easyfi , APY finance, needs money locking in the website, they say no pain no gain and I say no risk no profit, the profit in the crypto market comes with risk and we need to find out each time if risk/reward would worth it or not in each trading, in each decision.

I only store my funds on one exchange like 3-5 months and its on Binance yeah its really not safe to store for much longer time but I fully trust this exchange because funds on Binance are SAFU meaning its safe and your money are insured once something happens to that website you can recover your money Binance has emergency reserve to be use to payback traders in case of hacking but like the most advise here if holding huge amount of crypto then best to send it to your own wallet for longer storage purposes.

Yes,,, never get fooled by what you see online. I do definitely think that some exchanges are better than others, and some take good care of you, etc,,, but in the end, if something bad happens (hack or crash or whatever) you as the customer will pay first. This is the rule of business at all times when it comes to profit. So do not allow that possibility and keep your own funds.

Recently, I got prob with google authenticator with binance, I just used it last week so I know my phone is not a prob. But when I did my tx this week, it says invalid input from my google authenticator. I panicked. Tried many times (turn off my phone/turn it back on), didn't know what was wrong. So I ended up removing the google authenticator in my security settings. Withdrew successfully using email and sms only but still wondering why my google auth didn't work. I know my funds are safe but if that kind of issue arises while I am doing my withdrawal, guess it is always better to send your coins back to your wallet.

Once I received a very good reward for the UBEX Bounty Company and withdrew coins immediately to Hotbit, expecting a good price. I didn’t strive to sell my coins right away and was confident in the safety of my coins on this exchange, since the account registration was tied to my phone number. But the whole problem arose due to the fact that during registration I indicated the phone number in the format (+380) that the exchange demanded from me, but after a while the requirements changed and the number zero in front of my number was no longer required, since the dialing already automatically there was a code simultaneously with the choice of the country of residence. Thus, After a while, I cannot access my account, because in fact the number associated with the account is already different and has one more digit, which it should not. Thus, I lost my funds forever, because I did not go through verification using documents and it was not mandatory, and the administration is not too eager to help with this. And this is another fact that confirms that you can never keep more on your account without an exchange than you need to trade or sell.

For the problem you experience you only need is to update your time on your location you just need to update it with the right time,that's the only sulotion for that problem.
How long it takes for you to widraw the balance ? As I understand once you remove authentictor or change password you need to wait 24 hours or more before you can widraw your balance . That's happen because of security reason.

Wow this is something I hope no one faces and now.i need to think about some alternative ways to withdraw funds if I lose my Auth. It goes without saying that keep only small funds which you wanna trade in exchange .

I think there is no other way but to try to contact support, because that way you will find someone who is able to help you to be able to access your wallet, but if the assistance is not active then there is nothing you can do anymore, the money is forever stuck in there.

This is what DEX world is trying to do these days, I know you can use stuff like metamask where you do not own the keys neither, or maybe even if you do it is just online place that has access so it is risky, look at mew and similar stuff and how they got hacked so it is still risky. However if you use places like DEX for your trading you could increase it a bit, still not 100% safe but definitely more safe than putting your money into binance and hoping it will be there when you wake up.

Literally  this doesn't apply to binance in my opinion, they are too huge to get hacked and not have anything left, they probably have enough money just on cold storages to pay everyone's deposits back and only have hot wallet purely from their profits that could cover all the withdrawals, they are THAT rich. However, this does apply to all other smaller centralized exchanges.

Storing funds on the exchange is a necessary measure, since it is simply impossible to do without it if you are engaged in trading. But there are times when there are free funds that are not involved in the transaction, and I place them on the exchange to get passive earnings.

My time and location is updated and I used the same phone last week to withdraw. And didn't change any, so dont really know where the prob is. But once I removed the google auth, and used the sms and email verification only, I withdraw on the same day. Didn't wait for 24 hrs, actually I was worried that they will block my withdrawal because I removed my google authenticator. But fortunately, my withdrawal went thru even right after I removed google auth. Didn't change my password, only removed the google auth.


I was lucky that my withdrawal went thru even if I removed the google auth on the same day. Because it will take 7 days if you restore your google auth.  And you can't do anything with your funds if I did push thru the restoration. I did the SMS and email verification only. So I don't know now if I will restore my google auth.

I am so happy that you could have your problem solved and this thread might help you a bit and I hope it gives sight to everyone that storing funds in hot wallets like exchange's wallets could be risky, even with SAFU, it could take some days or weeks to have your fund back , I had some money in kucoin when it got hacked and kucoin suspended withdrawals for 10 days , after it started opening withdrawals for some tokens like ORN the problem was that ORN got pumped in kucoin but the price was the same in other exchanges, it meant I had to lose 5% of my money due to price differences, and I didn't do that , I waited for stable coins withdrawal opening which it didn't happen until 3 weeks after, yeah even with SAFU you can have your fund stuck for some weeks or month , so better think again when you wanted to store your funds in a CEX next time.

SAFU, i think i have heard it somewhere, if i remember it was when binance exchange has been hacked.
It is obvious that our fund on exchange is not 100% fully safe, we still have possibility to lose our fund.
The worst case is when the exchange that hold our fund is getting hacked.
It is very recommended to safe our coin in our own wallet, just use exchange wallet when we want to trade.

First of all, i think the OP advice belongs to the beginners and help section of the forum because everything he said contains things the newbies and the naive investors need to put into account before they can thrive in crypto investment. However, people are advised not to use an exchange site as wallet or keep the fund they can afford to lose on their exchange wallet.

Binance was the first exchange site that introduced the SAFU in other safety guard their investors/users fund but doesn't mean exchange should be as wallet

Obviously, exchange site are not 100% secure and so if the coins you keep in your personal wallet if you dont avoid human error that will lead to your wallet vulnerability.

It is clear that leaving money on exchanges is at risk of losing money, recently more and more hackers attack on exchange platforms. If anyone is going to put money on trading I think they should put their money on large and reputable deals, Binance is a very good choice.

If you are not a daily trader, it is best not to put money on trades, they are very vulnerable to attack and stolen.
Ideally you should keep your money in your personal wallet, where you alone have access to it.

Storing 3 to 5 months straight is insane. It is like you are trying to lose your funds on purpose! Doesn't matter if the exchange is the well known Binance or any other exchange, you should never trust them completely with your funds no matter how much secure or "extra" features they claim they have to protect their users.
I have heard about Binance SAFU, but I doubt they are going to cover all your loss if anything bad happens to the exchange. They will likely cover just a percentage of your loss. So don't go around thinking you will get back all your coins eventually if binance gets hacked. Oh, and it is going to be a very lengthy process.

It's not insane for a regular trader. You won't understand if you are not doing much business on an exchange platform on a regular basis.

I also have funds on Binance that actually several years already there. Of course, since even the most reputable exchange is prone to fraud, regular withdrawals are always done on my part. But I'm totally fine storing funds there for long for convenience.

I understand the risks that's why only choosing a reputable one. If they fucked up their users, it's a suicide to them.

You have to invest with your knowledge in regards to this particular concern.

Knowing that hacked are everywhere, you needed to make sure that you fully understand the risk and you willing to take it. Placing your investment inside to any exchange needs to be backed up by your own knowledge, whether to store there for a while or keep withdrawing your fund after you're done using the platform.

store our cryptocurrency assets in own wallet actually be main suggesstion for every trader or investors. hacked possibility lower than if we store in exchange wallet, but we must always remember the password or phrase to access it. i heard many accident wallet with huge amount value could not access because of it. maybe write it and back in several place will help us.

These are like the normal things that everyone needs to know, though the one of going all on a trade is something that I am not sure about, unless you just invested an amount that you have plans to trade with straight from your wallet then you can decide to go all in with it and if you happen to lose you can still buy back with your money that's stored on your wallets.

Whenever you make a profit it's a good idea to withdraw some of the profit to your original and secure wallet and then continue with the other money that's left on the exchange . You have good tips except for the going all in on a trade.

Of course , you can share it with anyone you like to , I give you the permission to do that , Hope someday no one loses fund due to the hack or any exchange scam , Those are simple but necessary steps I think everyone should know before trading, Keeping the value of capital safe is more important than making a profit.

We don't owning the wallet on exchange, with that fact, our funds are not really safe.
When we don't have full control of our money, we must think the possibility to lose it because it is outside of our control.
The purpose of the exchange wallet is not for save our coins in long term, but it is just to store our coins to be traded.

Yes, Binance exchnage did that when they weren't big as this; right?, this can be opposite if something of such happen again which we don't pray for. The Binance exchnage then wasn't as much flooded as now, right now the biggest cryptocurrency exchnage so far is Binance and coinbase, these crypto exchanges are holding a very large number of coins which if anything happen it might be impossible to get back the funds. It will be safer to store your coins and tokens in a place you have total control and not your control, not your coins.

Your coins and tokens are lot safer in your private wallet that you owned the key, either decentralized exchanges or centralized exchanges they can still get hacked, some are saying decentralized (Dex) are lot safer but there are few cases of hacks, trust your wallet more than any exchange no matter what security benefits they introduce

as long as I trade on the Exchange, I never keep assets on it. I always make a withdrawal after finishing trading then send it to my personal wallet. keeping too long on the exchange is quite risky of losing money in case of a hack, therefore I never keep any assets on any exchange.

You should not really share information you find here with other people. Not because it is not allowed or anything, this is a public forum and anything written here could be shown anywhere without any problem at all. I mean you shouldn't because we are here bunch of strangers online and you do not know how right or wrong we are, we could be very right or we could be very wrong and if you just take stuff said here and share with other people you will end up with maybe few wrong points and also influence other people with it as well.

I would say make sure you talk with an expert in the field before you get talk to others, if you want to really share few pointers with other people that means you will influence them and you should ask an expert about what to share and what to say, instead of few strangers on bitcointalk.

A hardware wallet is definitely great. However, not everyone has the means and the desire to buy it.
In general, you can completely do without a hardware wallet, just hide your private keys in a fairly safe place. For example, into an encrypted container using an encryption program. The main thing is not to forget your password.

Actually, coins in exchanges are not safe at all but don't too worry about that because we can choose trusted exchanges that guarantee users funds. We know kucoin is an example, the exchanges hacked but their platform will guarantee it, also Binance is one of them. So the most important is we must to choose exchanges that guarantee our funds

Thank you for explaining how to safeguarding funds, because some members here must be confused about how to safeguarding funds.
I agree that using a hardware wallet such as the nano ledger x is the safest option to store our funds, because we have the private key.
Only about 20% of our funds should be used for trading in exchanges, the rest can be stored in our hardware wallet. And every profit we
make from trading we can transfer about 50% to our hardware wallet. By doing all these things right and discipline keeps our funds safe.

For me, i think we can say that our funds on a market exchange is safe if only it is not hacked. And whenever it is hacked by someone, we cannot anymore say it's safe since someone are going to take it. Just like the current markets now, some are being hacked and some locked their withdrawals without announcing it to be locked and they just say all funds were safe but the funds of the traders and investors cannot be withdrawn.

As a conclusion, we cannot tottaly say our funds are safe on an exchange but we would take the risk to invest on it in order to earn.

Hardware  wallet is the most secured way to hold your tokens, however not all people wants to use or buy it. I really don't know why but for me? I am using exchange wallet sometimes, yes other may say that, "oh! your assets might lost if you store in there!" but for me, why will you lost your assets and funds if you did the right thing like making strong password, using authenticator, not clicking click bait emails and some stuffs. that is all beyond your responsibilities.

Thanks OP for the enlightenment especially to newbies, funds safety is a very crucial factor we shouldn't joke with. I only send funds to exchanges if I must trade and not otherwise, this is the more reason why I don't get scared when any exchange is hacked, but no one is perfect, the moment when you send funds to an exchange, stories might pop up. This happened to me with OKEX, I sent some funds there to trade DMG and boom, police investigation and closure of withdrawals set in. I have no option but to wait till issue with OKEX is resolved, the big question is; what if I sent all my funds there to trade, it obviously will leave me handicapped. In as mush as we have some level of trust for some big reliable exchanges, we should be extremely careful simce most had hack issues at least once, Binance and Kucoin inclusive. Keep most of your holdings in personal wallet, not exchange.

The last such case when Binance was hacked by hackers and 7,000 BTC was stolen occurred in may 2019. At the same time, a message appeared on the official website of the exchange that tall stolen funds will be returned to he victims from a specially created SAFU Fund: https://binance.zendesk.com/hc/en-us/articles/360028031711 I understand that Binance has increased the number of its users over the past year, but to say that in 2019 the exchange was small is wrong.

Majority are not in the cryptocurrency space because of the decentralized nature of finance but because of the profit they are able to make in a short period of time. The reason people welcome centralized coins if they are able to make profits is testament to my theory and so is the reason many people make the mistake of holding their funds in exchanges rather than holding in their own wallet which is always the safest bet.

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Dear BitMax.io Users,

The platform has experienced significant AWS service failure last several hours. We have been working closely with AWS team to restore those services as soon as possible. The current ETA is 48 hours. 

Please stay tuned for the further announcement on the exact time when the services will be resumed.

During this period, please make note that users' account balances will NOT be impacted and the assets are SAFE.

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BitMax.io Team

Nov 7, 2020

https://t.me/BitMaxioEnglishOfficial/522139

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Afterward :

https://i.imgur.com/qmAif2m.jpg

I am glad I made this thread some days before this happens, Bitmax got a good reputation in hacking and would probably get back after a while but still if you have open orders or have some coins in there you can not sell it or transfer it, till it gets open, that is why I always say : Do not use exchanges as a safe to store your money.