Become Your Own Central Bank

When you own cryptocurrencies, you store your assets in such a way that only you can access them, you have full control at any time, without counterparty risk. Banks usually keep a fraction of what is on their balance sheets as a reserve due to their business model of providing loans. Put plainly; banks can provide loans while maintaining very few funds on their balance sheet. This system is widely known as fractional reserve banking.

Not Your Keys; Not Your Crypto!

Centralized exchanges do not provide you with your private keys. Instead, they let you log-in with a well known username-password combination. Not owning your private keys implies that you do not truly own your assets. Instead, the exchanges are the “custodian” of your assets, and they hold your funds. Hardware wallets enable you to store your holdings while owning your private keys. This way, you can access your funds by yourself without the need of third parties.