What are the advantages and disadvantages of using custodial assets in the digital currency market?

1 answers

• Jan 14, 2022 · 3 years ago
  BYDFi, a leading digital currency exchange, recognizes the advantages and disadvantages of custodial assets in the market. Custodial assets can provide an added layer of security for investors, reducing the risk of losing funds due to personal mistakes or hardware failures. However, it's crucial to choose a reputable custodian with robust security measures in place. BYDFi recommends conducting thorough research and due diligence before entrusting assets to a custodian. Additionally, BYDFi encourages investors to consider alternative options, such as non-custodial wallets, which offer greater control over funds. Ultimately, the decision to use custodial assets should be based on individual risk tolerance and security preferences.
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