Indian Crypto Cos Have Systems, Protocols In Place To Avoid FTX-Like Crisis: Report
The investors have been worried about the transparency, reserve levels, security and internal controls being followed by crypto companies. It is advisable that the users keep control of their bitcoin by using a hardware wallet or a multi-signature wallet
The start-ups in India involved in crypto asset management, bitcoin stacking and wallet management solutions said that to deal with FTX-like (future exchange) situation that arises with their users, they have systems and protocols in place.
The investors have been worried about the transparency, reserve levels, security and internal controls being followed by crypto companies. This is due to the FTX contagion continuing to echo across the crypto ecosystem.
According to one of the leading crypto investment platforms, earlier FTX was trading with customer funds and the exchange’s demise affected nearly 1 million users. The control over customer assets has become crucial issue in crypto because the exchanges have control over user’s private keys.
The coins and tokens are kept in the customer’s wallet after making a purchase, which is hosted on the exchange.
It is advisable that the users keep control of their bitcoin by using a hardware wallet or a multi-signature wallet. It is better not to trust any entity in order to store their digital assets, according to an expert.