In the traditional financial system, you give up custody and safety of your money when you deposit it in a bank or other financial institution. However, if you want complete control over your money by keeping them in a physical wallet, you are responsible for its safety. As a result, you have taken self-custody of your funds.

Similarly, just as you would keep your funds in a physical wallet, you can take complete control of your cryptocurrency without entrusting it to centralized authority such as custodial exchanges or wallets and have self-custody of your assets and private keys.

Following the largest decline of a centralized exchange, which occurred to the FTX platform in 2022, several crypto users and investors have been rethinking how to securely store their cryptocurrency, with many moving their assets to a self-custody crypto wallet, resulting in self-custody wallets gaining more attention.

Hence, if having complete control over your cryptocurrency sounds appealing, then having a self-custody wallet is the way to go. So, what exactly is a self-custody wallet? What are the advantages of having a self-custody wallet? What can you do with a self-custody wallet? How do you obtain a self-custody wallet?

If all of this seems overwhelming, don't worry; this post will cover everything you need to know about self-custody wallets, how to get one, and, as a bonus, reveal the best self-custody wallet. Let's get started!

What is a Self-custody Wallet?

A self-custodial wallet is a cryptocurrency wallet in which you have complete control over your private keys and funds. As a result, only you have access to and ownership of the funds stored in these wallets, and your private keys are not accessible to third parties.

A self-custody wallet is also known as a Web3 or non-custodial wallet because it offers complete decentralized functionality. As a result, a self-custody wallet implements the crypto decentralization principle, which ensures that you no longer need central authorities or third parties to oversee your transactions and manage your assets.

A self-custody wallet will typically include a seed phrase, also known as the secret recovery phrase, allowing you to generate private keys for each cryptocurrency you own. In essence, it functions as a master key, allowing you to access or recover your wallet from anywhere at any time. As a result, it is critical that you write down the seed phrase and keep it safe from unauthorized access because having it in the wrong hands could wipe out all of your assets.

Benefits of Self-custody Crypto Wallet

A self-custody crypto wallet is all about taking complete control of your asset without needing an intermediary. So, some benefits of using a self-custody wallet include the following:

• Complete control: You have complete control over your assets at any time, from any location, and without interruption.
• Anonymity and Privacy: A self-custody wallet does not require any personal information to access or transfer funds, allowing your transactions to remain anonymous.
• Multiple wallets: A self-custody crypto wallet allows multiple wallets to use the same seed phrase. You can have multiple portfolios within the same wallet and multiple wallets.
• Advance features: Self-custody crypto wallets have more features and provide access to various DeFi protocols such as staking, farming, and many others.

Types of Self-custody Crypto Wallet

There are various types of self-custody wallets. However, there are two distinct categories: hot and cold wallets. They both serve the same primary function of giving you control while securely storing your assets, but they differ in how they operate and provide access to your assets.

Hot Wallet

Hot wallets are self-custody wallets that are always connected to the internet. These types of wallets include:

• Mobile wallet: Mobile wallets are wallet apps that run on smartphones that generate and store your private key on the device, with backup and recovery options.
• Desktop wallet: Desktop wallets are web wallets that are installed on desktop and laptop computers. Desktop wallets are not as simple and convenient as mobile wallets but offer similar features and can generate private and public keys on the desktop device.
• Smart contract wallet: A smart contract wallet is a program with a mobile app or desktop interface deployed to the Ethereum blockchain. Smart contract wallets are the most functional wallets because they can be programmed in various ways and include additional security features and advanced recovery mechanisms.

Cold Wallet

Cold wallets are self-custody wallets that are not linked to the internet or any other network. Wallet in this category are:

• Paper wallet: Paper wallets are physical copies or prints of your public and private keys. You type in your keys or scan the paper when transacting.
• Hardware wallet: A hardware wallet is a cryptocurrency storage device that uses a tamper-proof electronic device to protect the user's private key. Hardware wallets are designed to store private keys securely.

How To Get a Self-custody Wallet

Self-custody crypto wallets give you complete control and possession of the private key associated with your public address, typically accessed via a seed phrase made up of 12-24 randomly generated words.

However, picking a self-custody wallet means the responsibility of keeping your private key safe is in your hands. And, if you lose or forget your private key or recovery phrase, you will lose all of your funds in a self-custodial wallet.

Take Control Of Your Crypto Asset With Cwallet

So, getting a crypto wallet is always a matter of personal preference and the primary reason for needing a wallet. However, if you want complete control over your assets, Cwallet is your best option.

Cwallet is a simple, beginner-friendly wallet that supports 50+ networks and unlimited custom tokens. All ERC-20, BEP-20, Layer2, Solana, and Polygon tokens, as well as 800+ mainstream tokens, are fully supported.

To create a Cwallet self-custody crypto wallet, download and install the Cwallet app on your device. On the homepage, tap the switch button in the upper left corner.

You will then switch to the non-custodial wallet. Click on Create new wallet and immediately have a Cwallet non-custodial wallet account.

What Can You Do With The Cwallet Non-custodial Wallet

Cwallet is beginner-friendly and the only wallet you'll ever need for almost all your cryptocurrency needs. Thus, the non-custodial option offers the following:

• Storage of all cryptocurrency, including 50+ networks and 800+ mainstream tokens.
• Exchange, buy, and store cryptocurrencies, tokens, and NFTs with security and flexibility.
• Read live charts, and view transaction records in a friendly design

Cwallet - The Best Of Both Worlds

Cwallet is a one-of-a-kind crypto wallet that combines custodial and non-custodial features. It is an integrated on-chain and off-chain wallet that allows you to manage and trade 800+ crypto assets in one place with security, convenience, and flexibility.

Cwallet lets you enjoy the benefits of both worlds in a single app, whether you prefer a custodial or non-custodial wallet. As a result, with a single button, you can easily switch between custodial and non-custodial wallet options within the app. More importantly, you can transfer your crypto assets at any time from Cwallet's custodial wallet to the non-custodial wallet without incurring any gas fees.

Cwallet is unique because there are no transaction fees, allowing you to maximize your profits.

• No Deposit Fees
• No Internal swap fees
• No Internal/ External withdrawal fees
• The lowest network and gas limit allows you to pay the lowest network fees.

Final Note

Since self-custody gives you complete control over your asset, its use is increasing, with several exchange platforms modifying and creating their own funded self-custody wallet. However, with such great power comes a greater level of responsibility. As a result, keep your wallet's secret phrase in a safe place, create multiple backups of your secret phrase, and store each separately.

Even though self-custody wallets necessitate more technical knowledge to use, Cwallet, on the other hand, provides:

• A seamless wallet experience.
• An appealing and easy-to-use user interface.
• A backup option that allows you to protect your asset.

Why wait any longer? Download the Cwallet App today to take complete control of your asset, and gain access to over 800 cryptocurrencies across 50 networks and start your cryptocurrency journey.