10 Things You Need To Know About Bitcoin #6: Not Your Keys Not Your Bitcoin | 019

Dan and Trent get into security and why it is so important to learn about Bitcoin self custody.Episode #6: Not Your Keys Not Your BitcoinPeer to peer digital cash system with no trusted third party   Bitcoin is like a giant spreadsheet in the sky.  The private key is the password that lets the owner move their BitcoinThe Bitcoin network is permissionless.  If you hold your own private keys, you can transact any amount of your Bitcoin with anyone in the world any time and nobody can stop youIf you don’t hold your own private key and keep your Bitcoin on an exchange, you don’t actually own Bitcoin.  You have an IOU and hope they give you the Bitcoin one dayBitcoin transactions are nearly instant, final settlement and very low costBiggest ratchet moment of all: when you remove Bitcoin from an exchange and send to your own custody.  You are actually using BitcoinNature of counterparty riskFTX blowup is the perfect example.  People gave them billions of dollars to buy Bitcoin and at the end they had no BitcoinWith Bitcoin in your self custody you can safely secure your Bitcoin for generations with no counter party risk and no-one can take it from youTake the time to learn self custody.  Anyone can. Its easy.  Use best practicesToday’s song: Safe From Harm by Massive Attack