Intermediate
Custodian
Also: custodians
A company that holds crypto on behalf of its customers, such as an exchange.
When you hold crypto on an exchange, the exchange controls the private keysPrivate key A secret number that proves ownership of crypto. Anyone who has it can move the funds. and you hold a claim on it. That’s convenient, but you depend on the company’s security and solvency. Some custodians publish proof of reservesProof of reserves A report showing that a custodian holds enough assets to cover what customers have deposited. reports.