Given the mass sell off currently and altcoins burning. Media is now talking about self custodial wallets in the case where exchanges start to fall, is Crypto.com Defi wallet safe in an instance where Crypto.com becomes bankrupt like?
As with any cryptocurrency wallet, it is important for users to thoroughly research and evaluate the safety and security features of a DeFi wallet before deciding to use it.
This may include reviewing the wallet provider’s security measures, checking for user reviews and ratings, and consulting with knowledgeable individuals or online communities.
In addition, users should always take care to protect their own security by using strong passwords, enabling two-factor authentication, and carefully managing their private keys.
Is Crypto.com Defi Wallet Safe
If you want to know if your Crypto.com defi wallet is safe when crypto.com shutdown, then the answer is Yes.
The Crypto.com Defi wallet is an actual Ethereum wallet, as well as a Cronos wallet, Polygon wallet, Binance Smart Chain wallet, (all Ethereum wallets anyway), but also Crypto.org wallet, Binance Chain Wallet, etc., whichever blockchain supports a 24-word mnemonic for a key. (Almost all, except Algorand uses a 25-word by default)
You can always write down your 24-word BIP-39 mnemonic phrase and restore it to Trust Wallet, and you would probably enjoy more functionality from it in DeFi that way, and you’ll find it supports even more blockchains than just the DeFi wallet.
You can also use that to restore your crypto to a Ledger hardware wallet (Although I wouldn’t recommend it for safety. I would just keep the wallet “hot”, generate a new 24-word mnemonic phrase altogether just for the Ledger device as your “cold” wallet, send everything to its many supported wallet addresses, and it will support Algorand! Lol)
If Crypto.com goes bankrupt, your Crypto.com DeFi wallet isn’t affected because it’s yours and in your own custody, not Crypto.com. The value of your crypto tokens inside your Crypto.com DeFi wallet may be affected, but they’re all still there, and that’ll probably be an economics thing so it’d be the same across the board anyway.
Of course, it’s a different story when you leave it in there Exchange or on the regular Crypto.com App. Especially in their little “Earn Wallet” scheme. That’s a total rip-off to begin with, locking crypto in for 3-6 months I’m their full custody is just too much risk and not enough rewards.
Crypto.com is a company that offers a range of cryptocurrency-related products and services, including a cryptocurrency exchange, a mobile wallet, and a debit card. The company was founded in 2016 and is headquartered in Hong Kong.
Crypto.com’s mission is to accelerate the world’s transition to cryptocurrency by making it easy and accessible to everyone. To this end, the company offers a range of products and services that are designed to make it easy for users to buy, sell, and use cryptocurrencies in their daily lives.
Some of the key products and services offered by Crypto.com include the Crypto.com Exchange, which allows users to buy and sell a range of cryptocurrencies, the Crypto.com Wallet, which allows users to securely store and manage their cryptocurrencies, and the Crypto.com Visa Card, which allows users to spend their cryptocurrencies at millions of merchants worldwide.
Overall, Crypto.com is a company that is focused on making it easy for users to access and use cryptocurrencies in their daily lives.