🚨 Review of the ezBtc exchange incident in 2019: Why self-holding is crucial!
📅 Let's go back to 2019, when the Canadian ezBtc exchange broke out a shocking scandal. The owner of the exchange was revealed to have misappropriated customer funds for online gambling, which eventually led to the loss of customer assets.
At the time, the founder of the exchange claimed that all customers' cryptocurrencies and assets were safely stored in cold wallets, but the fact was that he secretly used these assets for online gambling, which eventually led to significant losses of investors' assets and bankruptcy.
💰 The asset was worth about 13 million Canadian dollars at the time, equivalent to 9.5 million US dollars. If calculated at today's value, the value of this asset has exceeded 56 million US dollars, and the amount of appreciation alone is shocking!
🔑 This incident once again emphasized the importance of self-holding. In the world of cryptocurrency, "where there is a key, there is control of the cryptocurrency." If you don't hold your own cold wallet private key, those coins belong to you!
👀 Although many exchanges claim that customer assets are stored in cold wallets, we have no way of knowing the real situation behind it. Especially for small exchanges, the risk is higher. Even large exchanges such as Binance, Coinbase, OKX, Bybit, etc., although relatively safe, cannot guarantee 100% security. The case of Mt. Gox is the best proof.
🧐 Therefore, the view is that the first lesson that everyone who enters the world of cryptocurrency should learn is to learn to hold their own coins. When the next bull market comes, if you continue to choose to keep your assets in the exchange, you may face the risk of zeroing your assets or huge financial losses due to third-party risks.
💬Finally, what do you think of the ezBtc exchange incident? Do you think self-holding is an important part of cryptocurrency investment? What are your experiences and suggestions for holding your own coins?
🛡️ Share your thoughts and experiences in the comment section, and let's discuss how to manage our cryptocurrency assets more safely.
