No, leaving your crypto on an exchange is not the end of the world and you don't have to move your $100 woth of crypto to a cold wallet

Maybe it is just me but I totally trust exchanges to take care of my crypto. Of course I am speaking of popular and trustworthy exchanges. Leaving your crypto on an exchange nobody has ever heard of is of course a dumb idea.

But do you want to tell me that your crypto is not safe on Coinbase, Kraken, Gemini, Crypto.com or Voyager? It is 2021 and not 2014 and these exchanges can not be compared to Mt Gox.

Also sometimes people get the whole "not your keys, not your crypto" thing too seriously. I have seen people here complainig that they lost a big amount of their ETH to move it to a cold wallet. Well, high gas fees are another topic but you definitely shouldn't move your crypto to a wallet if you have to lose like 1/4 of it to do that. If you just have 0.05 ETH or similar then just leave it on the exchange. Nothing will happen to it.

Not to mention that if you are new in crypto then it is more likely for you to lose your piece of paper with your seed phrase than an exchange like Kraken or Coinbase to get hacked. If you ever accumulate a bigger amount of crypto then you could think about buying a cold wallet!

PS I originally posted this on friday but it got deleted for mentioning ETH in the title because there were already many posts about ETH. But my post was doing very well and most people seemed to agree so I decided to change the title and repost it today!