A Cryptocurrency wallets facilitate the interaction with cryptocurrencies on the blockchain. Using it, you can store and transfer digital assets using addresses. There are various functions in this application for managing the address and the crypto assets stored in it.
How and when do you need a custodial crypto wallet? Operators (custodians) manage users’ addresses or have access to their private keys in custodial wallets, which allow them to store and transfer cryptocurrencies. Custodian customers are also required to complete the Know Your Customer (KYC) process. For centralized crypto exchanges, there is a built-in custodial wallet that can be used to keep your coins safe. In spite of the fact that each client has a separate account and balance, all of the funds are stored in a small number of addresses that are managed by the exchange. Using the platform does not require you to pay for transactions and simplifies the work with trading instruments. Outside of dedicated applications, custodial wallets are rarely encountered by individual clients. These solutions, however, are often used by Institutional investors – companies that invest large amounts of money. Cryptocurrencies are transferred to a professional company with a higher level of security and other services. Coinbase Custody, BitGo, Xapo and BitGo are notable custodians.
What is a non-custodial crypto wallet? Using a non-custodial cryptocurrency wallet, the address owner retains full control over their funds since their private keys are never transferred. Users’ funds cannot be managed or frozen by these applications, but they are not responsible for ensuring their safety. Downloadable applications are usually available for PCs, tablets, or smartphones. A non-custodial application does not require KYC to create an address on the blockchain. In addition to providing additional security, popular non-custodial wallets publish their source code. By doing so, independent experts can verify that these applications are safe for storing cryptocurrencies. Such projects are also often supported by a whole community of programmers.
Which wallet is better to use – custodial or non-custodial? Investment or trading funds (in the same staking) can be stored in a custodial wallet of a third-party application (for example, on an exchange). You should, however, strengthen the security of your profile, especially by setting up two-factor authentication. Additionally, we recommend that you store unused digital assets in a non-custodial crypto wallet that only you have access to at the private key level.
Trustee Wallet is a multicurrency non-custodial wallet that we recommend for cryptocurrencies. Why? Since we personally know the development team and their founder, and we were also in their office, we know how high-quality and serious their approach is to product development. Furthermore, Trustee commissions on cryptocurrency transactions are 0%. A crypto wallet that allows withdrawals to a card without registration or documents. As well as offering innovative security technologies, anonymity, and limitless possibilities, the user interface is intuitive. One place for everything. There are thousands of different types of tokens supported by the wallet, including many cryptocurrencies. A wallet that is open source guarantees full transparency, everyone can see what’s going on inside. You can download and test the wallet by clicking on this link