It wasn’t long after the wheels fell off at FTX that the I-told-you-sos began. On November 11, the crypto exchange filed for bankruptcy, and billions of dollars worth of customers’ crypto was missing. How was this possible? Because FTX wasn’t just a place to trade tokens, it was where users stored them too.
Weather-beaten veterans of the crypto industry will tell you that, in allowing a third-party to store coins on their behalf, the victims of the FTX collapse made a fatal mistake. “Not your keys, not your coins,” they like to say….