Custodial vs. Non-custodial Wallets: What’s The Difference?
Did you ever wonder where and how your cryptocurrency is kept? Token holders will use many styles of crypto wallets to store crypto. But, they will typically be split into two broad categories: custodial and non-custodial wallets. A custodial wallet, such as Binance Custody, could be a service that owns the personal key to your notecase and takes custody of your assets. Your regular Binance account is additionally a protective notecase. In distinction, if you utilize a non-custodial notecase, you alone have complete management over your assets: MetaMask and Binance Chain wallet area unit samples of non-custodial wallets. Both protective and non-custodial wallets have their execs and cons. Let’s explore their variations; therefore, you’ll learn to use one kind or the opposite once. What is a Custodial wallet? Custodial wallets are almost always web-based and are occasionally offered by centralized cryptocurrency exchanges such as Coinbase. Most exchanges’ interfaces are unit designe