Is Your Crypto SAFE!? Here’s How To Self Custody It NOW!!

Do you have crypto on an exchange well If you do then I have news for you it is Not as safe as you think it is that’s Because unless you hold the private keys To your crypto it’s not really yours In this video I’m going to tell you Exactly why that is and give you some Hints and tips to make sure your crypto Is as safe as it can be this is a video You can’t afford to miss If there is one thing this year has Taught us over and over again it’s that Relying on centralized entities to hold Your crypto is just a downright No-No Celsius block fi and now FTX billions of Dollars of client funds have been lost And in the case of FTX are quite Possibly unrecoverable while few Predicted the depravity and criminality Of the FTX crew those who kept their Funds in their own self-custarded Wallets were spared the worst of the Collapse but trusting the centralized Custodians to hold their crypto wasn’t a Mistake only newbies made hedge funds VCS investment managers and high net Worth individuals were all caught off Guard when FTX went under how could they Have known that a company praised by Politicians Regulators VCS and the Mainstream media would collapse so Quickly and so spectacularly it was Worse than Mount gox worse than quadriga And some would say worse than Enron so

All this goes to show that no matter how Much you think you trust an exchange you Can never 100 independently verified That all customer funds are fully Redeemable at any time there is only one Way you can know for certain that your Crypto is under your control and that is To self-custody those funds now okay I’ve talked about self-custody many Times before and it seems I’ll be doing So for the rest of my days but what Exactly does self-custody mean Well quite simply self-custody is when You hold the private keys to your Cryptocurrency wallet that is to say you Are the only person with the ability to Sign transactions from that wallet hence You are the only person who effectively Controls your crypto and this is of Course where the term not your keys not Your crypto comes from Conversely when you place your funds on An exchange or any centralized platform For that matter you’re doing so to a Wallet that the platform has the private Keys to it’s a communal wallet and you Have to hope trust that the exchange Won’t lend or send those funds to anyone Else so what you’re left with from The Exchange is an IOU much as is the case With a traditional bank account the cash Or crypto in this case exists as an Entry on the database when you process a Withdrawal The Exchange signs the

Transaction with its own Keys assuming The crypto is still there of course if It ain’t well that IOU isn’t worth Diddly Squad now I should also state That there is a distinct difference Between self-custody and custody Services the latter are run by companies Like coinbase Gemini bitco Etc their Main MO is to hold those those coins and Tokens for you in a supposedly safe Manner they’re much safer than an Exchange but they are still not the gold Standard when it comes to controlling Your own crypto Okay so that’s a bit of an overview of Self-custody but how do you go about Actually doing it Well the first and most important thing Is to get your hands on a self-hosted Wallet now there are literally hundreds Of these and the wallet that you choose Will depend on what you want to use it For as well as the coins and tokens that You want to store There are at least three options in this Vein those are a software wallet browser Wallet and a mobile wallet so let’s Start with software wallets as the name Suggests these are software programs That you install on your PC and where You can send your crypto to the private Keys themselves are stored on your Device in an encrypted fashion and Whenever you want to send a transaction

Out they are used to decrypt and sign That transaction Nearly all of these wallets are also Free to use so there really isn’t any Reason why you shouldn’t install and use Them so when it comes to the best Wallets there are quite a few that I Rate I am personally a fan of The Exodus Which has wide ranging coin support and An intuitive easy to use AI it is worth Noting that Exodus did have an exchange Integration with none other than FTX That integration you won’t be surprised To hear is no more and I should also Point out that no exchange integration In any of these wallets would ever allow The exchange in question to hold your Private keys Now another important point to note About Exodus is that as far as I am Aware the wallet has never been hacked Any reports you might have seen about Exodus users being hacked stemmed from How those people used the wallet or Where they downloaded it from more about That in a bit Now other options that you can consider For multi-coin support include the likes Of koinomi and Garda although I don’t Personally use them If you wanted to Only Store Bitcoin then You may also want to consider the Electron wallet I’ve used this a number Of times in the past and its code is

Fully open source or if you wanted to be Really adventurous then you could Download the Bitcoin core wallet unlike Electrum and these other wallets that I’ve mentioned here this is not a light Wallet or an SPV that is simplified Payment verification wallet That means that when you’re using this Wallet you’ll be running a Bitcoin node Great for decentralization but obviously Not as fast Now before you start using any sort of Desktop wallet you have to make sure That you’re doing so properly at the end Of the day the wallet is as safe as you Choose to make it so firstly and perhaps Most importantly make sure that you’re Downloading the wallet from the official Website that is because there are Thousands upon thousands of phishing Sites out there that try to impersonate Official wallet websites sometimes They’ll have a dodgy domain that you Don’t immediately pick up on in years Past these phishing sites have also paid For Google ads to have their sites above Those of the official sites and once you Go on these phishing sites you may Accidentally download a wallet that is Jammed with malware which could be used To steal your private keys so the first And most important thing that you can do Is to make sure that you are on the Official site that’s why I would suggest

Just typing it into your browser instead Of searching for it on Google then once You’ve downloaded and installed any of These wallets you’ll be asked to Generate a collection of seed words now These words are the literal keys to your Crypto Kingdom so be sure to keep them In a safe and secure place and also make Backups remember anyone who has these Seed words can regenerate your wallet And exfiltrate your crypto now if you Want the gold standard of seed word Protection then you may want to consider A steal that is water and fire resistant Now we stock these steel plates in our Merch store which I’ve linked to below Anyways once you’ve set up your wallet You’re going to want to make sure that You keep your PC clean of any sort of Malware which is entry level opsec I’m Sure most of you don’t need to be Reminded of Don’t download those dodgy links your Aunt sends you on Facebook okay All right so that’s desktop wallets Let’s take a look now at browser and Mobile wallets When it comes to browser wallets as the Name suggests these are wallets that are Installed on your web browser I know Revelatory The main benefit that comes from this Type of wallet is that you can use them To easily interact with dapps and web3

In other words if you wanted to use a DEX lending protocol or portfolio Rebalancer Etc then you’re going to need A browser wallet to interact with it When it comes to private key storage These are encrypted and the data is Stored on your browser now there are a Number of browser wallets out there my Personal favorite is metamask and I have A complete guide for you on how to use It which I will leave linked to in the Description I should note straight off The bat though that the metamask wallet Only supports ethereum and erc20 tokens So if you wanted to dabble with D5 in Another ecosystem then you’ll need a Different compatible browser wallet for Example if you’re a Solana fan then the Phantom wallet is perhaps the best in That space but obviously it doesn’t have Erc20 support if you wanted a wallet That had both then you could consider The coinbase wallet I’m not a fan of it Personally because it’s only supported On Chrome but many others have sung its Praises I should also note that all of These wallets that I’ve mentioned are Extensions for existing browsers there Are browsers out there that have native Wallet Integrations I am of course Talking about Brave and Opera They both support ethereum and Solana And also have integrated dexes for quick Swaps although if you prefer to connect

Your favorite dexes elsewhere then that Is also possible Now when it comes to things to worry About with these wallets the concerns Are similar to those relating to desktop Wallets make sure that you’re Downloading the official wallet from the Chrome or Firefox store for example You also have to be extra careful about Which daps you approve connections for With these wallets sometimes there are Malicious steps that masquerade as the Official ones that eventually siphon off User funds Okay so that is browser wallets however If you were looking for a wallet that You could use on the Move then we’re Talking about mobile wallets First off you need to be very careful When it comes to distinguishing between Crypto company Mobile apps and mobile Wallets coinbase finance nexo crypto.com Apps Etc are just mobile versions that Allow you to access your Exchange Accounts you don’t hold the keys The Exchange does secondly if you’re going To be using a mobile wallet to Self-custody your crypto then I Definitely wouldn’t keep large Stacks in It it’s not needed especially if the Stated purpose of a mobile wallet is to Conveniently access your crypto now in Terms of wallets that I recommend trust Wallet is a good pick it’s one of the

Most well known in the space and its Binance’s official exchange wallet it Also has wide ranging coin support and Can actually be used as a mobile web 3 Wallet so you could quite literally do All your defy activities on the move Trustwallet is also fully open source Which means that its code has been put Through the ringer of rigorous white hat Pen testing of course there are other Mobile wallets that you can use exodus Also has a mobile wallet which I’ve also Used in the past it’s got a great user Interface and like the desktop wallet Has not suffered any sort of exploit However it’s not fully open source like Trust wallet is Now if neither of these wallets work for You then you could also consider the Coinbase wallet again it also has D5 Functionality and those I have spoken to Don’t have many complaints of course It’s important to make sure that you are Downloading the wallet and not the Exchange app Now some additional security tips which May come in handy as is the case with Desktop and browser wallets make sure That you’re downloading the correct Wallet from the App Stores I have seen Examples in the past where hackers have Uploaded malicious apps and wallets with Predictably unpleasant results I also Can’t stress enough how important it is

To keep your crypto wallet secret Especially if you have any on your phone Have you ever heard of the five dollar Wrench attack it’s the most Sophisticated hack there is basically It’s when the attacker asks you in Person to send them your crypto if you Say no then they pull out a five dollar Wrench hits you over the head with it And ask you again Quite simply people being attacked and Extorted for their crypto is becoming an Increasingly common problem and you can Only really protect yourself from this If you keep your crypto stack Under Wraps There are sadly many stories of people In places like my native London being Mugged and forced to open up their Mobile wallet or exchange app and send Crypto to a hacker’s address so ask Yourself do you need to have that Exchange app or crypto wallet on your Phone are you the sort of person who Actually needs to trade on the go I for One don’t have any crypto on the phone I Carry around with me day to day because I don’t trade regularly and I know that If someone gets hold of me and or my Phone they ain’t gonna have a chance of Getting their hands on my crypto if you Are going to keep crypto on your person So to speak then don’t go flashing it Around and showing people your phone and

Your wallet balances you never know who May be paying close attention now all of The self-custody solutions I’ve Presented so far are for free wallet Options however if you want the best Protection that SATs can buy then a Hardware wallet is your best bet it’s Also where I keep 95 of my crypto stack So what is a hardware wallet well it’s a Small device that is specifically built For the purposes of storing private keys And signing transactions they are Simplified from a functionality point of View specifically to avoid the potential Of external hacks quite simply dumb Single purpose devices They store your private keys in a cold Environment and by that I mean the keys Are never exposed to the internet as They’re always kept on the device itself This is in contrast to all the other Wallets that I’ve mentioned above that Could be exposed to malware keyloggers Etc etc This basically means that it’s almost Impossible for anyone to steal your Crypto unless they have the physical Devices with them and even if they do They would need the device’s PIN code to Unlock it and send your crypto out In terms of functionality these Hardware Wallets will be connected to your Computer and will operate with software That the device manufacturer has

Produced therefore from a Simplicity Perspective they shouldn’t be that much Harder to use than a software wallet now Many people wrongly assume that Hardware Wallets are super complicated and Require a computer science degree to use This is not the case so don’t let the Idea of a hardware wallet scare you so When it comes to devices currently on The market the market leaders are Tresor And Ledger now I personally have a Number of trezor devices including the Tresor one and the Model T and they Range in price from 67 for the model one All the way up to 213 dollars for the Model T And if you’re looking for some discounts On these models then I encourage you to Check out my deals page we are sometimes Able to negotiate discounts for our Viewers and when you buy one we get a Commission too it helps keep the lights On here Now in terms of the main difference Between the model 1 and the Model T the Latter has a color touch screen and more Coin support I find it much easier to Use but if I’m honest I don’t think it’s Worth the sizeable premium over the Model 1 unless you hold coins and tokens That the model 1 doesn’t support now These trezor devices make use of the Tresor Suite software package it’s Pretty easy to set up your device and I

Did a step-by-step guide last year which I’ll leave in the description for you Ledger also has some great devices and Their Ledger Nano X even comes with Mobile functionality although I would Avoid using this based on the points I Raised earlier It does have a good array of coin Support and The Ledger live software has A great deal more features and Functionality the price ranges from 79 For the Nano S Plus to 149 for the Nano X Then if neither the Tresor nor The Ledger are your cup of tea then I have One more option that you may find Appealing and that is the engrave device Now this is a relatively new hardware Device that has some of the most Impressive security features on the Market it holds the same security Certifications as the Tresor and even One-ups Ledger by being eal-7 certified Versus ledgers eal-5 it also has a Unique seed generation mechanism that Takes account of ambient light and Allows you to use your own words in the Generation method fancy now while it Does have a large color screen display It’s a chunky device way bigger than the Trezzles and ledgers I’ll also say that The coin support on this device is Incredibly limited for the time being at Any rate it’s also much more expensive

Than the trezor or Ledger the engrave Zero comes in at 398 Euros around 413 Dollars now I myself use an engrave for Storing most of my cold Bitcoin but it’s Very much up to you to decide whether The extra security features Justified The higher cost either way I have a 10 Discount for you guys if you use my Promo code which I’ve linked to below so If you are considering it then you may As well get the discount now in terms of Additional security tips for these Hardware wallets well when you buy one Of these devices make sure that you are Only buying it from the official store If you buy a hardware device from an Unofficial Outlet like a reseller or EBay for example then you run the risk Of getting a compromised device that’s When some scoundrel has set up the Wallet already and noted down the seed Phrase once an unsuspecting buyer loaded Up with crypto it can be extracted by The nefarious seller so caveat emptor The other thing to be mindful of is the Protection of those seed words all these Devices present you with their own seed Carts but again I would suggest steel Backups especially if you have a load of Crypto stored on these things game out All the calamities that could befall a Piece of paper with your seed words on It and of course if you’re storing a lot Of crypto on any wallet you should

Consider memorizing those seed phrases It may take up a bit of mental bandwidth To do so but it could one day be the Best decision you ever made Okay a few closing thoughts for you Folks 2022 will go down as one of the Worst years in crypto’s history however I think that it will also be a turning Point for the industry as we adapt to Weed out Bad actors It’ll also be the year where nearly Everyone from Big Money VCS and hedge Funds to average retail users came to Truly appreciate the importance of Self-custody nothing on Earth can beat The security that comes from knowing That you hold your own private keys that Is why going forward I would hope that If ever there was another exchange blow Up more than likely the number of users Impacted would be minimal yes it’s Painful to have to learn this the hard Way but once bitten twice shy and it’s Not just that your crypto is much more Secure with self-custody it’s also that You have full control of what you do With that crypto There is no permission needed to Withdraw no limits no kyc it’s your Wallet your keys your crypto your Financial freedom It also doesn’t really cost you anything Much extra most of the wallets that I’ve Suggested above are completely free and

Easy to set up and even if you decide to Go for the gold standard in security With a hardware wallet the added cost Pales into comparison with a good sized Crypto stack it’s not even about the Current value of that crypto if you Really do believe that crypto is the Future then the future value of those Coins and tokens warrants security to Protect them for the ages if we all hold On for dear life folks then we will all Make it And that’s it for my video today I’ve Linked to all the wallets that I’ve Mentioned here in the description below As well as the discounts on those Hardware wallets you can get if you Enjoyed this content then smash that Like tap that subscribe and ping that Bell if you want more content like this Then feel free to check out my socials Page which is where we have my Twitter Telegram Tick Tock Instagram and my Newsletter that’s where I share my Personal portfolio as well as a sneak Peek of upcoming videos all of that is Below that’s it for now folks so stay Cool stay calm stay safe State crypto [Music]