A video that went viral on Twitter showed two police officers searching the car of a suspect and finding pieces of paper. One of the pieces of paper had seed phrases on it.
Self-custody is seen as the best way to keep your money safe, but many people don’t realise the risks that come with physically storing seed phrases. The body cam picked up a suspect’s seed phrase during a search by the Nevada State Police. This phrase was then made public.
A video that went viral on Twitter showed two police officers searching the car of a suspect and finding papers. It turned out that the suspect was a strong believer in self-custody. When the pieces of paper were unfolded, the suspect’s handwritten seed phrase was found. This is a common way to keep online accounts from being hacked.
Since one of the officers’ body cameras caught the whole thing, the suspect’s seed phrase is now out in the open.
When Changpeng “CZ” Zhao, the CEO of Binance, saw the video, he told investors to learn about the risks of the different ways to store cryptocurrencies. He said, “I believe in freedom of choice. You can hold your cryptocurrency in any way you want. But learn about the risks of each.”
The video got people talking about the best way to remember seed phrases. The most common idea was to remember the seed phrase. The idea of memorising the seed phrase, which is a unique combination of 12 or 24 words, sounds safe, but CZ pointed out that the lack of inheritance and the fact that people tend to forget important information are two of the biggest problems with the “brain wallet.”
People thought that the arrest of former FTX CEO Sam Bankman-Fried, who is accused of stealing money, was a sign to rethink how to store cryptocurrencies for the long term.
The first thought was to take the money out of the crypto exchanges, but the CEOs came forward to reassure investors that their money is safe no matter where they plan to store their cryptocurrencies.
On the other hand, Ray Youssef, CEO of the cryptocurrency exchange Paxful, supported the idea of Bitcoin owners keeping their own coins. He said that he would send investors weekly reminders to move their money away from the exchange.
“I have only one job, and that is to help and serve you. So, I’m telling everyone who uses [Paxful] today to move their Bitcoin to self-custody. “He said that you shouldn’t keep your savings on Paxful or any other exchange. Instead, you should only keep what you trade here.
