Bitcoin: the warning from the boss of Paxful

“Flee, even from my house” – This sentence could have been said by Ray Youssefmanaging director of Paxfulso much seems his warning universal. If some, like Changpeng Zhao (CEO of Binance) try to be reassuringothers are rather alarmistsas we will see in this article (but maybe not wrong).

Paxful CEO recommends owning your bitcoins

Most crypto exchanges want to calm their customers, by publishing them now popular “Proof of Reserves”. But some crypto platform managers would rather on the contrary of this movement.

This is the case Ray Youssefcurrent head of Paxful. He has share transparently on his Twitter accountE-mail which it recently sent to users of its own centralized platform. In summary, Ray Youssef explains that he does not refrain than its customers hold their precious bitcoins and other cryptos on exchangesincluding his!

“We send an email every week urging our users to never keep their savings on any exchange, including Paxful. This is the way to go! Keep your savings safe, ALWAYS!”

Twitter account @raypaxful

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A manager who respects his clients’ assets?

In his message, Paxful’s CEO reminds us of the basics of the saying “not your keys, not your coins”. So if you haven’t private keys to manage your cryptos, they don’t really belong to you, you trust them to an intermediary (at the stock exchange, in this case),

Even without the need to refer directly to it, it is easy to understand that Ray Youssef critical sharp behavior of FTX. The leaders of the now-defunct platform have apparently committed misappropriation of client assets.

“As the CEO of Paxful, I am responsible for over 11 million people’s bitcoins. I take great pride in protecting our community’s funds, and unlike others in our industry, I have never touched our customers’ money. (…) Raise your bitcoins to your [wallet] self host (self care). (…) Keep only what you want to trade here. ยป

We welcome Ray Youssef’s message as it goes in the right direction. But the cryptosphere now needs “Evidence of Reserves” very concrete, audited and verified, to think about starting to regain trust in the centralized actors. Waiting, keep your own crypto savings seems like the best advice to give.

In crypto, do not skimp on caution! So to keep your crypto assets safe, the best solution is still a personal hardware wallet. At Ledger, there is something for all profiles and all cryptos. Don’t wait to secure your capital (commercial link)!

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