Why self-custody is the ultimate power move!

Today I want to touch on something every crypto investor should know about – self-custody of your crypto.

A lot of new investors shy away from storing their crypto offline. And I get it, self-custody can seem intimidating at first. It’s much easier to let an institution handle it, right? It’s a pattern we see everywhere, not just with money.

We may outsource our decisions to other people.

We may rely on external organisations to care for us.
We may let big corporations have authority over our finances. 

But here’s what many are discovering:

True freedom comes from taking control, not outsourcing it.

The power to handle our health, wealth and lives should always reside with us.

Crypto was designed for self-custody 

In 2008 the financial crisis exposed the flaws in traditional banking and shook the economy to its core. The banks responsible for the collapse were bailed out by governments and taxpayer money, while millions of everyday people were left to deal with the fallout. It was the catalyst for a new financial system that removed centralised banks and financial institutions from the equation. That system was Bitcoin.

Bitcoin wasn’t just looking to be a digital currency, it aimed to be the people’s currency. decentralised, peer-to-peer and deflationary in nature (unlike fiat currency which decreases in value the more governments print it). Bitcoin changed the game forever and gave us the power to take control of our wealth – for the first time in our lives.

Now, I get it, when we’re accustomed to someone else looking after our assets, it can be daunting to think about doing it ourselves. But here’s the truth – once you take that step, where you hold your crypto in a wallet that you control (where you own the private keys), you’ll realise how capable you are. It’s not difficult, it just takes a little care and a few key tips:

1. Never take a photo of your private keys: Malware can lurk in the apps on your phone, scanning your gallery for sensitive info. That’s why you should never take photos of your seed phrase or any key details related to your crypto assets.
2. Store your keys offline: Keep your private keys off the Internet and email. Write them down, laminate them, and store them in a waterproof bag or fireproof safe. Better yet, use a high-quality steel plate to punch in your seed phrase for extra security. Check out options like the Seedvault.
3. Test your seed phrase: Use your wallet’s desktop app to double check your seed phrase. It’s a quick, simple way to ensure your private keys are correctly recorded, which can save you a lot of trouble down the track.

The truth is, Bitcoin and crypto were never meant to be third-party managed. When the rules can change at any time, and access to our funds can be restricted, it’s essential to have our funds secured. Self-custody is how we safeguard our money from the rules, regulations and whims of institutions that may not have our best interests at heart.

So if you’re intimidated by the idea of self-custody, remember, true financial freedom comes from taking control, not outsourcing it. And plus – there is a special kind of security that comes from knowing your wealth is within your control only.