# Always use OTP ( On time passwords) for exchange login
Better to post that people should use authenticator app instead or hardware 2FA.
What's the reason behind this advice, personally I have used multiple exchange for trading but there's just one that I enjoyed more and assuming I decided to chase a career in trading I don't mind using only one exchange for that if I'm getting exactly what I want.
Assuming you have $1000 in total. You leave $800 on a noncustodial wallet and use $200 to trade. If the exchange is hacked, all your $200 can be lost at once if it is the exchange.
OI have 5 exchanges presently which are reputable exchanges. So if I split $200 into 5, that is $40 each. I prefer to lose $40 than to lose $200 but the chance that I will lose the $40 is higher because it is five exchanges but I prefer it.
Luckily I have not lost money on an exchange before.Some exchanges might favour you why other don't. Truth be told, not all exchanges are being honest, there are definitely some unfair activities going on that involves the manipulation of the market. Staying with one exchange has its benefits and the cons mightn't be that bad, probably like the exchange having down times when you want to trade.
I have used more than 15 exchanges but it is hard to stay on one
in reality. Presently I have 5 active exchanges and I know their trading fees, pros and cons.