Wallets, Security & Custody

What is the difference between self-custody and exchange custody?

The difference is who holds the private keys. In self-custody, you hold your own keys and bear full responsibility for securing them. In exchange custody, a platform holds the keys on your behalf and manages security, recovery, and access. Self-custody gives you direct control but no recovery if keys are lost; exchange custody offers convenience and account recovery but means trusting the platform to safeguard and segregate assets. For example, a recovery-phrase wallet is self-custody, while a balance held inside an exchange account is exchange custody.

Crypto investments are subject to market risk and volatility. Past performance is not indicative of future returns. This is general information, not investment advice — consider your own circumstances or consult a qualified adviser before investing.