Recently on X, CZ (Changpeng Zhao) – CEO of Binance – posted a warning related to the security of cryptocurrency assets.
1. Risk warning when receiving crypto through a private key or hardware wallet:
• CZ points out that receiving cryptocurrency through a private key or hardware wallet is a bad idea.
• The sender still has access to these assets because they know the private key.
2. Recommended solutions:
• CZ advises that you should transfer crypto to a new address that you own.
• It is better to ask the sender to send the asset directly to an address you own instead of receiving it via private key.
3. Risks of sharing access:
• If two people have access to the same private key or seed phrase, there will be significant risks:
• When assets are moved (by the sender or a hacker), it is nearly impossible to prove who performed the transaction.
• This creates conflicts or legal difficulties in the event of disputes or losses.
Analysis:
1. Reasons for security:
• The private key is the only key to access and manage crypto assets. If shared or received assets via private key:
• Others (including the sender or hackers) may still control the assets.
• This creates a serious security vulnerability.
2. Legal risks:
• In cases where assets are transferred without consent, there is no way to prove whether the action was legal or illegal, as both parties have access.
3. Reasonable solutions:
• Using your own wallet address (with a private key that only you own) is the only way to ensure ownership and security.
• This is also the most common method in crypto transactions to avoid unwanted issues.
Recommendation:
• For the recipient of crypto:
• Always use a personal wallet address and do not share your private key with anyone.
• If receiving a hardware wallet or private key from someone else, transfer the assets to a completely new wallet that you control.
• For the community:
• Raise awareness about crypto security methods.
• Avoid opaque transactions or those that may pose a risk to your assets.
CZ has provided helpful and practical advice to minimize risks in cryptocurrency transactions.
