If you’re an experienced crypto hodler, trader, or investor then you probably know that there are such things as private keys & public keys. For those of you who aren’t as experienced in crypto...
YES, they are exactly what they sound like!
Private key- your password, what makes your crypto retrievable.
Public key - your public address to send & receive crypto.
Because of its user friendliness and how easy it is to obtain some btc, ltc, or eth on coinbase, it is a go-to for many beginners. They choose coinbase to buy them because it is the most popular and most credible exchange that allows you to get your hands on popular crypto.
However.... What most newbies don’t know is that Coinbase acts a broker. If you had your own wallet, such as a ledger or trezor wallet, you would be the only one with access to your private key. Coinbase holds both your public and your private key!
Yes, that means that they have access to ALL of the crypto you keep there and if they randomly wanted to take it all, nothing is stopping them.
Is it realistic? No.
Is it possible? Yes.
Is it worth protecting yourself & getting your own wallet, or multiple? That’s up to you 🙂
Just a heads up to those just beginning their crypto journey or maybe even those who are heavily invested and were unaware!
not investment advice, only my personal opinion