Why it's very risky to leave your coin in an exchange

[Mate2237]

E don tay we don dey yan this matter still on still some people nor won hear word. Them believe say all this exchange nor go fit carry their money run. If you try explain give them make them fit understand, them go clear you say this their exchange na US based and nothing dey hapun. I go just weak when I hear people talk like this, I go come dey wonder how them take get bitcoin.

PP you yan well but we have to consider some factors around the bitcoin network now. Example when someone wants to transfer 0.00043 to an exchange from an Electrum wallet and the transaction fee is about 0.00023 then how much is left for the person to receive to the exchange but if that amount or the unit of bitcoin is Electrum, the person has nothing to pay before he sell them off. Yes we all know the clause that says "Not you key not your bitcoin" but that is statement is not for the time like this because I can't be paying high transaction fee but a small amount of unit of bitcoin that I want to sell to solve small problem.

Even though we are not keeping the large of bitcoin in exchange, we can keep small unit which can be selling to solve issues at hand. But before you do that make sure you know the exchange very well. And if possible it is only for the top 5 exchanges.

[Franctoshi]

Make we use wetin happen to FTX victims learn lesson and not wait until we experience am before we take protective measures, no matter how secure even the most secured exchange out there fit be, learn your lesson from the FTX saga because anything fit happen, And if you are a trader, ensure that you always withdraw your funds immediately after the end of trading day, do not because of the withdrawal fees that you will be charged and leave your coins over, it's better you get charged the small amount than you lose everything with the aim of trying to save withdrawal fees. Always remember, Not your keys, not your crypto.

[Kelward]

One of di first lessons wey I learn for dis forum na "not your keys not your coins", and since dem I don memorize am for my mind, hacks and scams plenty for crypto matters, and exchanges no de immune to hacks so anybody wey de for dis forum wey still de leave dem coin for exchanges, dem name na OYO. I thank the OP for resurrecting dis topic, evendo say we don hear am many times, e still no bad to de start am as reminder topic, so newbies wey just de enter di forum new go learn and take note.

[teamsherry]

Yes oh, this one Don happen to person wey I know although no be exchange, en own be say en go put en seed phrase for one online platform like that and now all en asset Don vamous, abeg for real make everybody dey try do the right thing, for this our crypto verse, scammers and many unpredictability fit occur, like when famous mt.gox exchange  crash, many people lose their asset, even till now many people have not been Compensated from that incident. So please make we try dey use hard wallet dey store our money, instead of to dey keep am for online exchange.

[sokani]

Dem talk say experience na the best teacher but the real best teacher na to learn from oda persons mistake. Wen you keep your assets for exchange, e no dey your hand again, na the exchange na hin dey in charge of your coins. And na because of the heartbreaking news wey we dey hear about exchange everyday like the freezing of customers funds, hacks, bankruptcy, shutdown by government na bring about dis popular slogan "Not your keys, not your coins." So like dis na self custody na hin be the koko, make we wise up.

[Makus]

Dem talk say experience na the best teacher but the real best teacher na to learn from oda persons mistake. Wen you keep your assets for exchange, e no dey your hand again, na the exchange na hin dey in charge of your coins. And na because of the heartbreaking news wey we dey hear about exchange everyday like the freezing of customers funds, hacks, bankruptcy, shutdown by government na bring about dis popular slogan "Not your keys, not your coins." So like dis na self custody na hin be the koko, make we wise up.

Experience naim be really the best teacher, while learning from other people mistake is you being wise. So e dey wise if you learn from other people make the same mistake no go knack you join. We don hear of exchanges wey Dem don hack and steal people money so if you still dey keep money for exchange na you sabi, or be like you just dey wait for your own experience before you go learn. Just as baba sokani talk na self custodian wallet naim be the best especially when you dey hold long term project. Just last year the amount of hack wey we hear about too much for people to still dey loose guard keep better money for exchange, just as the name talk exchange we suppose use am for exchange alone and not for holding our coins.

Make we no let bad thing happen to us before we wise oo, na why we get elders and experienced men wey don dey this crypto network for long so that we fit ask them question and I believe say them dey deliver, something e fit no even be say na guru naim go even give you wattin you dey find, something na newbie or lower rank member, that na why we nor supposed look down on anybody and learn from them they most get something to offer wey fit solve one or two of your problems.

[Y3shot]

Make we use wetin happen to FTX victims learn lesson and not wait until we experience am before we take protective measures, no matter how secure even the most secured exchange out there fit be, learn your lesson from the FTX saga because anything fit happen, And if you are a trader, ensure that you always withdraw your funds immediately after the end of trading day, do not because of the withdrawal fees that you will be charged and leave your coins over, it's better you get charged the small amount than you lose everything with the aim of trying to save withdrawal fees. Always remember, Not your keys, not your crypto.

This na weting they worry some people,  with everything wey don happen to some exchange in the past wey people lose their money some people never still learn but them dey wait to experience thus mistake by themselves instead of them to learn from other people's mistake. Exchange can never be trusted to be safe because it is centralized in nature . The past experience of how exchanges end up should be a lesson people needs to learn from when making decision about wallet to use.

[Zanab247]

Anyone that is still living his coins in the exchange market, this information is for you and, he or she is taking a big risk because that place is made for exchange but if you want to live your coins there for future use, I think the place is not safe for your coins and, if something happen to your coins you will find yourself blame.

I know newbies always fall victim to such risk in the community because, they always feel they are doing the right thing by living their coins on the exchange until something strange happen to their coins before they will know that they have been taken a big risk.

[Antotena]

Make we just look how FTX just run into bankruptcy wey make so many people money plus life savings get K leg till today,  abeg make we thread wisely.

Just because it has not happened to you before no mean say u no go fall victim, na wetin I dy tell some people be this. I remember that time when one of my guy they show me how people were unable to withdraw their coins from the exchange and they have to watch their coin dump on the exchange, my heart was bleeding even when I wasn't a victim of what happened on the exchange. Till date, those people have not been able to have access to their money, they are putting money together to pay back victim, might take more years to accomplish the distribution because MT.gox that happened years ago are yet to distribute to the users.

If you are done with using exchange. Withdraw your coin to your personal wallet, na the only place wey you get mouth be that, nobody can have access to your wallet except you, nobody can touch your coins except you and nobody can spend your coin expect you that have the private keys.

[Churchillvv]

One major reason why them dey always advise person not to keep him or her coin for exchange na because of hackers and scammers. some exchange na scammers build am ooh inorder not to look like scammers wey dem be them go just try make everything legal then one day when them get plenty trust and people don up to billions of assets for the exchange them go just claim say person don hack them and so them go close the exchange with your coin. so like play like play your money don go.

So as soon as you get any asset wey reach at least money wey dey significant to you like $500 or 200 self na to find wallet wey go dey reliable like electrum etc then move your coin go there for am to dey self. as for me no na to buy hardware wallet like trezor to hold my assets. So the same advise go for every body make dey careful with out money for crypto because scammers them no fey give up.

[KupaCrypto]

Holding cryptocurrency for exchange dey very easy for trading but e get security wahala. If hacking happen, security breach, business issues, or dem no fit manage money well, e fit cause you to lose your property. For example, hackers fit thief cryptocurrency from plenty accounts if dem fit breach security, or the exchange fit crumble, wey fit make users lose their cryptocurrencies.

Unlike government-regulated money, the legal system no dey protect cryptocurrencies well. E no too sure say you go fit recover your crypto money if exchange dey hacked or declare bankrupt. So, the best way na to store most of your crypto property for hardware wallet and use exchange platform to keep the amount of cryptocurrency wey you need for transactions.