⚠️ Custodial wallet

A custodial wallet is a type of crypto wallet where a third party holds and manages the private keys to your wallet and your assets in custody. The custodian is responsible for safeguarding your funds, and you entrust them with your private keys. Custodial wallets are usually provided by centralized crypto exchanges like Coinbase or Binance. Using a custodial wallet requires a great deal of trust in the institution.

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