A lot of people are confused between crypto wallets and exchanges. Crypto wallets and exchanges are entirely different things even though you can do similar things on these platforms. For instance, you store your assets, convert your assets, and even buy assets on exchanges as well as wallets. However, both wallets and exchanges cater to different needs. Wallets are basically for holding your crypto assets, for secure storage and self-custody. Whereas exchanges function as trading platforms. What should you choose depends on your purpose, whether you want to store or trade.
Wallets vs. Exchanges: Understand The Difference
- Thread starter nomad
- Start date
For me l am very skeptical about the
whole thing about the Crypto currency.
Although this seems very simply to simple understand , that is the exchange for selling or buying crypto coins while the other one deals with the storing for crypto currency.
whole thing about the Crypto currency.
Although this seems very simply to simple understand , that is the exchange for selling or buying crypto coins while the other one deals with the storing for crypto currency.
Wallets are like digital safes where you can securely store your cryptocurrencies, while exchanges are like online marketplaces where you can buy, sell, and trade different cryptocurrencies. It's important for people to understand the differences and choose the platform that best suits their needs and preferences.
It is not always advisable to keep too much crypto coins in exchanges apart from the amount you are actively using to trade. But wallets are more secure.
Although currently storing crypto on exchanges is increasingly safe, because many well-known exchanges such as Coinbase, Binance, etc., have insured user funds, so that if a hack occurs it will be safer, unless you lose your crypto as a result of your mistake.
It depends, if you are P2P trader on this platform you could leave your money there as you are doing P2P trading and exchanges on the platform for example.
When we store crypto on an exchange, selling/buying transactions with local fiat money will be faster and more efficient, but storing large amounts for the long term is not a good idea, because it is easy to find out and the government can also block user accounts. Meanwhile, if we store large amounts of crypto in a private wallet, no other person or party can access it.
It is not true since the keylogger could compromise it because the internet is full of hackers and bad people who could scam you in the middleware.
