How to properly manage and store your digital assets
Introduction
Digital assets have become increasingly popular over the years, and many people are now exploring various ways to manage them. Blockchain technology has made it possible for people to self-custody their digital assets, giving them control over their investments, rather than relying on third-party platforms. In this blog post, we will discuss some of the best ways to manage your digital assets, including self-custody, licensed custodians, and ensuring assets are stored on-chain.
Self-Custody
One of the best parts about blockchain technology is that it empowers you to self-manage and self-custody your assets. With self-custody, you have complete control over your private keys and can access your assets at any time. This eliminates the risk of having your assets locked in a platform that may become inaccessible due to regulatory or technical issues.
Licensed Custodians
If you prefer to use a third-party platform to manage your digital assets, it’s essential to choose one that is licensed and has a proven track record of being secure and trustworthy. Some of these platforms also offer insurance for your assets, providing an extra layer of protection.
But you need to be careful who you trust…
Trusting third-party platforms to hold your assets can have negative impacts, as we have seen with the recent controversies surrounding FTX and Celsius. In both cases, users reported having their assets locked in the platforms, with no way to access them. This highlights the importance of self-custody and choosing trusted and licensed platforms to manage your digital assets that create segregated, on-chain wallets for you.
The importance of storing assets on-chain
To ensure maximum security, it’s essential to store your assets on-chain. This means that your assets are stored on the blockchain itself rather than on a centralized platform. This reduces the risk of having your assets stolen or lost in the event of a platform breach or other security issue.
How Coinbag can help
Coinbag is a platform that helps you better self-manage and self-custody your assets. With Coinbag, you have complete control over your private keys, and you can access your assets anytime. The platform also provides a user-friendly interface, making it easy to manage your digital assets across multiple wallets, helping you distribute your risk.
In conclusion, managing your digital assets is an essential aspect of investing in the blockchain space. Self-custody, licensed custodians, and storing assets on-chain are some of the best ways to ensure the security and accessibility of your assets. With Coinbag, you can take control of your investments and manage your digital assets easily and confidently.
