Zhao says exchange custody may be safer than self-custody

Binance founder Changpeng Zhao said holding cryptocurrencies on exchanges can in some cases be safer than self-custody. In a post on X, Zhao said hacks involving self-custodied assets often go unreported, while exchange hacks are easier to track and tend to become broader market issues. He added some exchanges respond well to security threats, although defunct exchanges can drag down the overall average. Zhao said he was not arguing that keeping assets on exchanges is always better, but that a balanced approach is preferable to insisting self-custody is always the right choice.