Exchanges lie to you!

[Ojima-ojo]

I feel like this is a new trend where exchanges are trying to make users feel like holding coins on their own devices is risky.



This and what CZ said about the 99% of people and self-custody are lies. I have an opposite claim. 99% of people who lost cryptocurrency are people who willingly sent it to a scammer, either an exchange, a cloud mining service, a bitcoin doubler or a fake mixer.
Your crypto is not safe in the hands of someone else!

This is just a fabrication of possible trust in third-party service, as you have said, self-custody is the secured way to hold your assets, and exchange can never be a better alternative to self-custody.

If anyone said they lose their asset in self-custody,  then there is possible personal involvement, and approval if not there is no way you can lose your coins in the self-custody wallet when you didn't send it out or grant another person access to your wallet.

[bounceback]

Not your coins, not your keys.
When depositing funds on a centralized exchange, it means that we have relinquished full control of our funds so that if one day the exchange stops all withdrawals, there is nothing we can do with our assets other than accept the loss.

Hasn't the advent of bitcoin taught us not to trust anyone other than ourselves personally for our funds but since the emergence of centralized exchanges many people have simply ignored this risk.

[Outhue]

Who would have thought large companies lie to get your money!

Lies is the foundation of many companies in crypto and outside of crypto space, they just have to lie to maintain their growth, it's left for consumers or users to wise up, imagine someone who is new to crypto reading online that coinbase is the safest place to store your crypto, why won't they believe?

I was a victim of coinbase in 2017 and also other centralised platforms but I end up learning the hard way, I lost money and made the money back, no one to teach me about crypto but myself, but here I am today, I finally know the difference.

[Lucius]

Not your coins, not your keys.
~snip~

I'm sure you mixed things up, because it would be correct to say "Not your keys, not your coins" It is essential that people understand how important this is and not fall under the influence of those who tell them the opposite - the only correct way to own Bitcoin is for everyone to be their own bank.

[yazher]

Right now it's better to consider not fully trusting those exchanges and practicing to secure our crypto funds in our personal wallets is more than recommended. It's no doubt that they helped us to convert our crypto conveniently but some of them take advantage of that by fooling their users about protecting their funds which is not really the case because in reality they just using those funds for their personal interest and when things are messed up, they pretended to be hacked and lost the funds of their users.

[348Judah]

This exchanges uses their influence and reputation to deceive investors into using them because they have the fame and enough money to run a big company as such exchange, they are known globally and people believe that all they said is to the investor's interest forgetting that wr are all humans bond to lies, they do so to keep getting users, money and more money in other to promote their exchange or organizations to say, but if you know what you want, believe me you can't be deceived by any of their propagandas.

[libert19]

While I'll give props to Coinbase for remaining to be unhacked for a long time knowing they're one of the earliest crypto exchanges,

I guess that's why the statement, they are in dire need of one  


While I agree that self custody comes with it's own share of risks, putting funds in exchanges just doubles it up, so ofc not worth the risk. BUT, People should stop pretending as if self custody is magical wand.

Just look at this, even tech savvy people get hacked: https://mobile.twitter.com/LukeDashjr/status/1609613748364509184

[Riocasino]

for noobs storing your funds in binance is safer. you have backup of email to restore your pass and also 2fa.

binance take care of people.

[worle1bm]

for noobs storing your funds in binance is safer. you have backup of email to restore your pass and also 2fa.

binance take care of people.

This is exactly what they want you all to beleive and if you consider it safe for newbies then good you and other users might be the next victim of any such scam on Binance.If you are not in actual possession if your keys and they are with exchange how come you feel safe under such circumstances also? But we have many who don't understand these things until it happens to them.

[aysg76]

They don't always need newbies, the biggest part of their funds come from people who get used to certain things like storing their coins on an exchange conveniently being able to sell them in a blinking of an eye or even having open orders with those coins they lock inside an exchange.
So they need to lie and tell these traders that their funds are safe.

Exactly they are just setting up this whole thing and people become accustomed to store their coins over exchange completely ignoring the fact these Centralised platforms are risky not for loss of funds but also affecting their privacy but as you say they have been under false dilemma that CEX are safe.

Like previously CZ has convinced people that 99% of people can't handle their fund in cold storage but in reality it was tricky indirectly stating that use Binance which is more safe for you and make him earn more dollars.But people don't realise this and you will see many believing his fake talks and rest we all know how CEX are trying to scam you of your funds.

[Frankolala]

I see exchanges as scam,because they lie and deceive customers with fake information about their platform to enable them make customers to feel secure in keeping their coins in an exchange. It means that they have a bad plan in the later run to do away with customers funds of to misuse it for their own personal benefits.

We only need an exchange to trade, after that you don't need them anymore,they are not banks that you can go to if there is a problem with your funds to lay complain. Now I see the reason why so many investors are falling for them.

[Findingnemo]

I feel like this is a new trend where exchanges are trying to make users feel like holding coins on their own devices is risky.



This and what CZ said about the 99% of people and self-custody are lies. I have an opposite claim. 99% of people who lost cryptocurrency are people who willingly sent it to a scammer, either an exchange, a cloud mining service, a bitcoin doubler or a fake mixer.
Your crypto is not safe in the hands of someone else!

Its just a sample of what banks did to us in the past now we are in the position of accepting what bank says but they're making money from our money whereas the customer looted in lot of ways like hidden fee, monthly/yearly charge, late payment fee, transfer fee, convenience fee and the list is endless.

The decentralized monetary system is really build to fight against this but on the go people forget the real vision and just focusing on the returns alone but especially the message mentioned in OP is sent to every users at the time of collapse to stop people from withdrawing and again they never afraid to lie to us.

[uchegod-21]

Another is people who choose close source wallets, to me it’s practically the same as leaving your crypto in exchanges. Trust wallet was open source until Binance purchased it, now it’s completely closed source. Anything can go wrong and users wouldn’t know about it until it’s too late. This is exactly the reason I distrust exchanges and closed-source wallets.

Using a closed source code wallet is never same as using exchanges. You have your key to the wallet and you control your funds. There are no much things to be afraid of in the open and closed source codes. The closed source don't want you to know or contribute to the codes. They code and maintain it themselves and also fix their bug unlike open source who makes the code system public.

Closed source doesn't mean anything can go wrong. And open source doesn't mean everything is safe.

[harapan]

So did Binance go about saying rubbish that those who who are carrying out self custody will loss their coins

All that said you won't believe awas a good strategy for people who removed the bitcoin holding they have with Binance immediately the FTX hack and collapse happened. If is doesn't have to do with you as your own CEO, forget it

[Osama Maaz]

In my opinion funds under 1000$ is safe platform like binance where you have higher security options then a wallet eg 2fa ,google auth , if you have high portfolio then i suggest users to keep their funds in hardware wallet keep them offline your keys also ,

Because in crypto there are so many phishing sites that tricks us and get into our computer or mobile so we need to not keep our funds and important data on our primary device because we are based on crypto so we are a easy target .

[Nwada001]

Any exchange listing which promises doubling of fund is already too good to be true..

Lost of fund mostly like you said are commonly cost by holders mistake and sometimes greed..

Lots of crypto holders are Lossing their funds because of greed they want to make more out of what they are holding in a very fast means.. how can someone convenience you to send your assets to an address which you totally will not have control over it, and as a holder you agree to send for doubling.. why didn't they use their own fund for such trade and double it or they don't want to make profit them self?

Exchanges are their to make profit because security alone is not cheap.
But let us not be deceived and be advice why using exchanges especially the centralized ones which have full control over our assets.

[drwhobox]

This exchanges uses their influence and reputation to deceive investors into using them because they have the fame and enough money to run a big company as such exchange, they are known globally and people believe that all they said is to the investor's interest forgetting that wr are all humans bond to lies, they do so to keep getting users, money and more money in other to promote their exchange or organizations to say, but if you know what you want, believe me you can't be deceived by any of their propagandas.

Now big exchanges are holding and freezing deposits for a day or two. I was a fool trusting exchanges back in my early days dealing with bitcoins and cryptos. Now I don't trust them and can't even hold anything into their system unless I have to.

They label their scamming with so many legal words and keep scamming the users. Unless they unmasked like FTX. 

[The Cryptovator]

That sounds interesting to me. Do you recognize why? Because you stated that 99% of people send their funds to the scammer on their own. And I experienced it. This was also my belief. Nobody will help us unless we help ourselves to protect our funds from scammers. So we are literally sending our money to the scammer's wallet. They are unable to steal from our wallet. And we can't say we have any wallet if we don't have the private keys or the seed phrase. Of course, private keys or seed should not be compromised or given to scammers.

[dansus021]

I don't know why but I totally agree with you Exchange hack or like FTX case is big since they are centralized so the news will say "Billion of dollar lose" and its true but there is no survey or something like that that provide data that Ponzi scheme and scammer industry is way bigger than this. (It just opinion)

[roksana.hee]

Who would have thought large companies lie to get your money!

I appreciate it with you but here he doesn't blame the reputed company. It's the algorithm of Bitcoin. Sometimes reach the pick and sometimes fall down the bottom.