Custodial vs Non-Custodial Exchange

Custodial Exchange

Exchanges such as Coinbase & Binance are Custodial Exchanges.

• There is a phrase in crypto that goes “Not Your Keys, Not Your Crypto”, meaning that a Custodial Exchange holds your crypto for you on their exchange, which technically means they own your crypto until you cash out or transfer to a Hot or Cold wallet. 
• In the event of a Bankruptcy, Custodial Exchanges would have rights to your crypto assets.

Non-Custodial Exchange

The BankSocial Exchange is a Non-Custodial Exchange.

• The phrase we use for our Non-Custodial Exchange is “Your keys, Your Crypto”. 
• With a Non-Custodial Exchange, you have sole control of your private keys, which in turn control your cryptocurrency and prove the funds are yours.
• In the event of the same Bankruptcy circumstance, you still own all of your crypto - You Own Your Keys!