Custodial vs Non-custodial Wallet - What's the Difference?
By A Mystery Man Writer
Description
The two main varieties of crypto wallets are custodial wallets and non-custodial wallets. Visit to learn the difference and decide which you should choose.
The Important Bits Crypto wallets can be broken out into two different groups - non-custodial and custodial. Custodial wallet services include offerings from crypto exchanges like Kraken and Coinbase where a third party has control over your private keys (and therefore, your crypto). With a non-custodial wallet, like the BitPay Wallet, the user is the only one with access to their private keys, and therefore, has complete control over their assets. The tradeoff between the custodial and non-cust
Creating a new non-custodial wallet in the BitPay app is fast and easy. First be absolutely certain to create a back-up of the 12-word recovery phrase, if you lose this phrase you will not be able to access your funds in the chance that your device is lost or stolen.
The Important Bits Crypto wallets can be broken out into two different groups - non-custodial and custodial. Custodial wallet services include offerings from crypto exchanges like Kraken and Coinbase where a third party has control over your private keys (and therefore, your crypto). With a non-custodial wallet, like the BitPay Wallet, the user is the only one with access to their private keys, and therefore, has complete control over their assets. The tradeoff between the custodial and non-cust
Creating a new non-custodial wallet in the BitPay app is fast and easy. First be absolutely certain to create a back-up of the 12-word recovery phrase, if you lose this phrase you will not be able to access your funds in the chance that your device is lost or stolen.
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