The Power of Self Custody
Last updated
Last updated
Solflare lets you safely embark on the worthwhile journey of self-custody. Self-custody is an immensely powerful, cryptographically secure way to manage your assets without involving an intermediary. It's made possible with non-custodial wallets.
The benefits of self-custody range from convenient to essential depending on your financial situation and physical location. Crypto's role widely varies depending on whether you're in a developed, emerging, or frontier nation.
When you open and fund a crypto account on a centralized exchange you’re creating a custodial wallet and trusting that the exchange will grant you access to your funds as they are in the custody of your keys. As we’ve seen time and again – with even the biggest, most regulated centralized exchanges (Coinbase, Binance, Gemini, Voyager, Robinhood) – when the volatility picks up, users are often unable to place any trades or withdraw their capital.
Non-custodial wallets are blockchain accounts that remove the need for an intermediary like an exchange. They can serve many purposes and they're primarily used as a decentralized bank and/or investment account. Assets within a non-custodial wallet remain on a blockchain at all times and if proper safety measures are practiced, you and only you will have access to the assets within it.
This is made possible with the use of public key-private key cryptography and mnemonic phrases.
Its important to note that you can access a near infinite amount of blockchain accounts/wallets from a single mnemonic phrase.
Refer to the following to learn more.
