People are calling on Coinbase users to transfer their crypto into hardware wallets after the exchange warned a bankruptcy could mean losing their investment
The acknowledgment put some crypto-watchers in a tizzy as it appeared to go against a core tenet of the decentralized finance movement: giving people complete control and ownership of their money.
And now, many users on Twitter and other social media sites are calling for Coinbase users to transfer their crypto to so-called hardware wallets as a solution.
Experts have long said hardware storage is the most secure way to store keys, and Douglas Borthwick — chief business officer at crypto firm INX — told Insider that doing so is something that many long-time crypto users, or HODLers, have already mastered.
These maximalists want to hold onto their balance, not trade it. For that reason, it might be new crypto disciples that get burned if Coinbase ever did go bankrupt.
There are a few ways to store digital coins. One is to simply keep them on an exchange like Coinbase. That avenue might now seem a bit sketchy to some given the company's disclosure this week.
