Binance CEO Suggest Crypto Users to use Self-custody Amid The Challenging Situation

CZ Zhao urged Binance’s 7.6 million followers in a tweet on Nov. 13 to use self-custody crypto wallets to store their own crypto.

Self-custody is the solution amid the increasing uncertainty

A number of industry heavyweights urged crypto traders and investors to self-custody their crypto assets in the wake of the collapse of FTX.

In her quote, CZ emphasized the importance of self-custody as a fundamental human right.

“Self custody is a fundamental human right. You are free to do it at any time. Just make sure you do it right. Recommend start with small amounts to learn the tech/tools first. Mistakes here can be very costly. Stay #SAFU,” he said on Twitter. 

Self custody is a fundamental human right.
You are free to do it at any time.
Just make sure you do do it right.
Recommend start with small amounts to learn the tech/tools first.
Mistakes here can be very costly.
Stay #SAFU

— CZ 🔶 Binance (@cz_binance) November 13, 2022

Read More: Kraken CEO On The Impact of FTX Collapse Listing 9 Red Flags 

Michael Saylor, executive chairman of MicroStrategy, also spoke to Cointelegraph during the Pacific Bitcoin conference on Nov. 10-11 regarding self-custody.

According to Saylor, self-custody does more than provide investors with property rights; it also protects the network and its participants from the corruption of powerful players.

“So self-custody is very valuable for this broad middle class, as it tends to create […] this power of checks and balances on every other actor in the system that causes them to be in continual competition to provide transparency and virtue,” he said.

Self-custody important role

Self-custody also increases decentralization, which is important for maintaining blockchain integrity and security, according to Saylor.

The decentralization of blockchain involves the transfer of control and decision-making from a centralized entity to a distributed network.

“If you can’t self-custody your coin, there’s no way to establish a decentralized network.”

Read More: Chain CEO Deepak Sells Massive NFT Collection Following FTX Collapse 

As a result of last week’s events, many investors and traders are now considering self-custody.

According to on-chain analytics firm Glassnode, the number of Bitcoin withdrawals on centralized exchanges has reached a 17-month high since FTX collapsed in early November.

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