As questions swirl about how much cryptocurrencies will be worth in the wake of the spectacular collapse of the crypto exchange FTX and other major platforms, a key question has emerged: Who will keep your crypto safe?
In response, some in the crypto community are calling for a return to its decentralized roots.
Among the rallying cries of this latent movement: “Not your keys, not your coins.”
In other words: Trust only yourself.
But doing so requires individuals to maintain their own cryptocurrency wallets through a more complicated — if safer — process that involves generating complex passwords and sometimes buying physical hardware to keep track of crypto, as opposed to entrusting it to an exchange.
"A company like FTX was supposed to hold your assets, but they ended up lending them out," Tracy Wang, deputy managing editor at the crypto news site CoinDesk, told NBC News.
That concept is what undergirds the traditional monetary system and seems to go against the fundamental philosophy of cryptocurrency.
"This is like taking power back and being in charge of your own money," Wang said of decentralization.
So does that mean that
Utopia P2P had chosen the right way from the very beginning, being based on its own decentralized blockchain and having own Crypton privacy coin? As for the 5 years of existence it didn't face any data leakage or scamming scandal. Or what else would you offer to pay attention to?
Decentralized blockchain, servers or applications themselves are not full proof from scams and frauds. We have seen a lot of rug pulls and even in those that has proven codes, there could be a loophole still not public that could lead to loss of a large amount of money on a single mistake. And there are ever rising phising and malware attacks on user level. Alternatively, centralized exchanges when they are legit to their words have multiple layers of security in case a or few of them are breached and the user funds are distributed to multiple multisig cold wallets than one.