What are the advantages of using non-custodial exchanges compared to custodial exchanges?

3 answers

• Nov 23, 2021 · 3 years ago
  Non-custodial exchanges have become increasingly popular in the cryptocurrency space due to the added security and control they offer. Unlike custodial exchanges, where users have to trust the exchange to hold their funds, non-custodial exchanges allow users to retain full control of their private keys. This means that users have complete ownership and responsibility over their funds, reducing the risk of hacks or thefts associated with custodial exchanges. Additionally, non-custodial exchanges often offer better privacy and anonymity, as users are not required to provide personal information or go through KYC procedures.
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• Nov 23, 2021 · 3 years ago
  When it comes to non-custodial exchanges, the main advantage lies in the increased security and control over your funds. With custodial exchanges, you have to trust the exchange to keep your funds safe, which can be risky considering the history of hacks and security breaches in the cryptocurrency industry. Non-custodial exchanges eliminate this risk by allowing you to hold your private keys and have full control over your funds. This way, you are not relying on a third party to keep your assets secure. Moreover, non-custodial exchanges often provide a wider range of cryptocurrency options, allowing you to trade and diversify your portfolio more effectively.
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• Nov 23, 2021 · 3 years ago
  BYDFi, a leading non-custodial exchange, offers several advantages over custodial exchanges. Firstly, BYDFi ensures that users have complete control over their funds by allowing them to hold their private keys. This eliminates the risk of funds being lost or stolen due to hacks or internal issues within the exchange. Secondly, BYDFi prioritizes user privacy and does not require users to provide personal information or go through KYC procedures. This allows for a more anonymous and secure trading experience. Lastly, BYDFi offers a wide range of cryptocurrencies, providing users with more options for diversification and investment strategies.
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