CZ proposed this I think two weeks ago, but my advise to people is that they should not hold any coins on an exchange except the money they are actively using to trade.
The best place to hold your coins are on cold noncustodial wallet that are open source.
People should learn about multisig, timelock and other inheritance means.
100% agree.
The centralized exchanges will definitely find a way to take your money. Kucoin is already imposing "dormancy fees" on people.
Why would anyone trust a business rather than a trustless system is beyond me. It is always a trap. Always.
I would even go as far as to say do not hold your money on exchanges, even for trading purposes. If you need to trade there are better alternatives. Even DeFi is a better alternative than giving someone else custody of your entire wallet.