Self-custody or trusting the exchange? Let's explore wallets.

If you’re just getting started in crypto, the first question that comes up is: where should you store your coins? The answer depends on your priorities.

Non-Custodial Wallets: You Are the Owner

These are wallets where you control the private keys. No exchange has access to your funds.

Pros:

• Full control — (these are truly your funds)
• No withdrawal fees
• No censorship — transactions can be made anytime

Cons:

• If you lose your private key — your funds are gone forever
• You need to understand the technical aspects
• You’re responsible for your security

Popular options: MetaMask (user-friendly for beginners), Trust Wallet (versatile), Ledger and Trezor (hardware wallets for paranoids).

Custodial Wallets: Convenient but Risky

These are essentially exchange wallets (Binance, Coinbase, Kraken). The exchange manages the keys, and you just log in like you do with email.

Pros:

• Forgot your password? You can recover it through support
• You can trade, stake, or take loans immediately
• Easier for beginners

Cons:

• If the exchange gets hacked — your coins could be stolen
• Verification is required (KYC)
• You depend on the platform’s reliability
• Risk of sanctions or account blocking

Summary

Choose non-custodial if:

• You want full control
• You plan to hold crypto long-term
• You’re ready to take responsibility for your security

Choose custodial if:

• You’re a beginner and afraid of messing up
• You actively trade (more conveniently)
• You can’t imagine life without support

The best approach: keep some coins in a hardware wallet (for the long term), and some on an exchange (for active trading).