Slope Hack Empties Thousands of Solana Wallets, Who Offers a Safer Alternative?

Exchange security and user asset legitimacy

Considering that every exchange’s approach to asset security, and its history, is different, it’s essential to know what differentiates them. Take proof-of-reserves, for example, where an exchange provides proof that it actually holds all of its users’ crypto assets, meaning they are ready and available at any time. In addition, what does the exchange’s security history look like?

Asset security goes beyond protection from breaches

Protection from bad actors is not the only factor. For example, many exchanges have halted withdrawals in times of high market volatility or during a solvency crisis, preventing users from transferring their own crypto.

Keeping wallets offline

Users who don’t hold their crypto on an exchange are likely to use some form of crypto wallet, whether a software or hardware wallet. As previously mentioned, using a hardware wallet is widely considered one of the safest crypto storage methods, and this recent Slope incident is a prime example of the pitfalls of software wallets. If users had stored their crypto in a hardware wallet, the private keys would be inaccessible to bad actors, which would have prevented the theft.

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