It's true that we shouldn't store our assets on centralized exchanges but I don't see any connection between CZ going to jail and storing assets. In addition, comparing FTX with Binance or CZ with SAM is also quite lame, why did FTX collapse, then SAM went to jail and CZ went to jail but binance still dominates the cryptocurrency market? This is really a lame and somewhat unfair comparison for Binance as they always try to do their best and customers are always satisfied with them, while FTX was previously a scammer with a plan.
I'm not defending anyone or encouraging anyone to store their bitcoins on centralized exchanges but we should evaluate things fairly and clearly. By the way, are you sure you're not using binance or any centralized exchange?
I'm not defending anyone or encouraging anyone to store their bitcoins on centralized exchanges but we should evaluate things fairly and clearly. By the way, are you sure you're not using binance or any centralized exchange?
Well, the risk of loss is higher now that both CZ and Binance exchange got scrutinized by the US government. It's advised to move coins out of Binance just to be safe. If FTX repeats itself, you can say bye-bye to your BTC for good. Self-custody is and will always be the best choice for storing your Bitcoin. The only problem is that you can't trade your BTC without leaving it in the hands of a third party. DEXs are not a solution, especially with their low liquidity and terrible user experience. It's this reason why many people don't bother leaving their coins in centralized exchanges.
At least, CZ got a better deal than SBF himself. He'll be out in no time. If Binance survives, you can expect it to adopt stricter KYC and anti-money laundering policies to please the regulators. This means more pain for everyday crypto traders/users like me. Perhaps, we'll be seeing CZ back in crypto affairs after prison? Only time will tell.
