How to safeguard assets if your crypto exchange is in trouble
Discover how to protect your crypto and recognize the early signs of a potential exchange collapse in this essential guide. The downfall in November 2022 of the FTX crypto exchange is a stark reminder of the risks inherent in this high-stakes financial sector. The rapid fall, sparked by revelations of questionable financial health, left investors scrambling, underscoring the necessity for robust contingency planning. Understanding the impacts of such a collapse, recognizing the warning signs, and knowing how to prepare can be the difference between safeguarding your assets and financial ruin. How does a crypto exchange collapse affect you? A crypto exchange collapse can happen for various reasons, including security breaches, hacking incidents, insolvency, or fraud. The effects of such an occurrence include the following: Money loss Anyone with funds in a collapsed exchange faces the possibility of losing it. The exchange may freeze the funds, or the customer may no longe...