Bitcoin is technically very safe.

This means that the risk and the possibility of losing the currency lies in human error, not technical.

There have been two recent incidents that serve as a reminder and alert of what could turn out, where the BitMEX cryptocurrency exchange was accused of facilitating trading violations and providing unregistered services.

Two weeks after the BitMEX accusation, one of the world’s largest cryptocurrency exchanges, OKex, has suspended withdrawals indefinitely after one of its major sites went out of business.

Which made the writer into the crypto field “Noel Acheson”She highlights these incidents as one of the biggest paradoxes in the cryptocurrency market.

As the industry that has arisen on the basis of decentralization is dominated by centralized companies with central loopholes.

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Many investors, especially beginners, have come to believe that the Bitcoin they own or put it in the correct sense on the trading platforms is in safe hands, but the reality is completely different.

Central cryptocurrency exchanges are not secure:

In order not to be unfair to the central trading platforms, without them, things would have been more complicated and Bitcoin would suffer from the problem of not being able to expand.

On the other hand, it is not the ideal place to hold bitcoins.

People make the mistake of assuming that bitcoins work just like traditional cash and money, and that digital currencies are better protected by handing them over to a third party who can take advantage of their enterprise-wide security technologies to ensure they are better protected.

But there is a fundamental difference between Bitcoin and traditional forms of money, as Bitcoin has private keys that enable the holder of these keys to control his money.

In the event that these private keys are handed over to the trading platforms, this means that you do not own them in the full sense.

The trading platform can be hacked and your bitcoins stolen with no possibility of full compensation or the platform you are using appears fraudulent and your bitcoins disappear.

Read:BitMEX faces a new lawsuit…details here

So what is the solution ?

The solution is always what we repeat and mention in previous Arab Bitcoin articles, which is the necessity of keeping Bitcoin in cold wallets, i.e. wallets away from the Internet. If you want to trade, you can trade using decentralized trading platforms that have become easier than before.

For those who ask the following question:

Why don’t the central trading platforms tell us about this?

The answer is as follows:

Trading platforms help them and even have it ideal if they keep their users’ bitcoin keys, because this makes it easier for people to actively trade, among other reasons.

The biggest factor, however, is the ease of managing users’ wallets and providing the ability to trade and store bitcoins as seamlessly as possible.

Putting security back into the hands of users:

Bitcoin has transformed the world very quickly, and with such a rapid transformation, many Bitcoin enthusiasts do not care as much about how the currency works as much as the price and performance of the currency.

But it would be better if possible to learn about Bitcoin, how it works, and what they want.

Read:Komodo launches beta version of AtomicDEX

For our part, in Arab Bitcoin, we periodically provide educational content about Bitcoin and its work, how to store it and how to trade it…

Meaning, you must be informed and educated about the currency in which your money will be deposited if you want to speculate or trade it.

By knowing about Bitcoin, you will understand more about how it is much better to own the private keys of your coins than just depositing them in one of the exchanges and storing them there.

However, many users have become aware of the danger of trading platforms, which is shown by the percentages and figures that indicate a decrease in bitcoins held in trading platforms by about 10%, equivalent to about 2.85 billion dollars.

What increases and accelerates this percentage are the frequent hacks that have shaken users’ confidence in trading platforms.

To be fair, there are trading platforms that work hard to be hack-proof and suitable for most users, while also promising to protect users’ cryptocurrencies in the event of external disasters.

But these platforms that provide full commitment towards their users had to be more popular and widespread than they are now.

Whereas, commitment and serving users is the rule, not the exception.

in conclusion:

We recall that Bitcoin was not just supposed to be a rival currency to fiat currency, but a revolution in our relationship with money.

If we want people to embrace the spirit of decentralization that enables anyone to have their own bank, let’s help them avoid the biggest mistake they can make, and take full responsibility for securing their bitcoins.

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