“No keys, no cheese” continues to be a long-standing rallying cry within the Bitcoin community—especially after the recent collapse of centralized crypto exchange FTX.
The phrase is a nod to the ownership of private keys, which are like a password for noncustodial crypto wallets. When a user owns their individual private keys, they have complete authority over their wallet. But when a user relies on a centralized exchange—like Coinbase or the now-disgraced FTX—to buy, hold, and sell their crypto, they don’t get access to a private key, and, in turn, don’t truly have full control over assets bought on the platform (hence the “no cheese”). Despite this, users have commonly relied on centralized exchanges, and for good reason: They’re much easier to use and navigate, especially when first investing in crypto.
However, after FTX filed for bankruptcy and left many users without access to their life savings, sales of noncustodial wallets—physical hardware, a.k.a. “cold wallets” that store crypto offline—dramatically increased.
Reacting to growing demand and interest, Bitcoin storage company Casa plans to expand by introducing Ethereum “self-custody” options for users in early 2023.
“As we thought about expanding to Ethereum, the core reason is that our customers have been asking for it,” Nick Neuman, Casa cofounder and CEO, told Fortune.
Neuman noted that there has been a “heightened interest” in Ether storage in recent weeks, but added that customers have requested such products for about two years.
Similar to its current offerings for Bitcoin storage, Casa plans to introduce a range of products for Ethereum, starting with a free mobile wallet with one private key, and then three- and five-key wallets. As security levels increase, so will pricing.
Generally, of course, no option is completely safe, and experts encourage users to do their own research and understand potential risks before using any storage product or investing in cryptocurrency.
“Nobody cares as much about protecting your money as you do,” Neuman said.
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