Why people hold coins on exchanges… And what can we do about

Despite numerous exchange bankruptcies, leading platforms failing and hedge funds going under… people still hold coins on exchanges Despite constantly seeing the “not your keys not your coins” message… people still hold their coins on exchanges

Why is this… simplicity… with a hint a nativity

People never think that “their” exchange will crash. “Oh it’s too big to fail”. Yeah we though that about FTX. That was the naivety part.

What about simplicity? Many people decide to understandably hold their coins on exchanges because it is easier. No gas fees. No networks. No risks of sending tokens to the wrong address, or approving the wrong contract and having their funds drained. For the average new user, who wants short term gains, an exchange is more than enough. Wallets are just too complicated.

What can we do about this? We need to simplify the process of HODLing your crypto outside of an exchange. In order to cater the the masses, we need to do what exchanges have achieved - we need a simple wallet solution that is straightforward and intuitive and easy to use.

Until then, unfortunately, the majority of new investors will likely keep their coins on exchanges

As always, good luck and happy trading