It is not that we cannot store Bitcoin in exchanges but it is not advisable to keep our Bitcoins on exchanges due to the given reason.  It is a fact that Bitcoin can be kept either on a custodial wallet or a non-custodial wallet but as I stated, there are underlying risk if we keep our Bitcoin on centralized exchanges just like what the earlier replies stated.


@OP stated the possible ways to store Bitcoin and not recommend people to store their cryptocurrency on exchanges.  It is more on giving information than advising or suggesting people on what to do.


There is nothing these "long-timers" can do if they are into trading.  They have to keep their trading coins to the exchanges but I am sure when their trades is done majority of them withdraw them to their own wallet.

@OP, The information you have shared in this thread is not new to many people on this forum.

As a matter of fact, it seems you are not aware of one very important Bitcoin rule, which states, "Not your key, not your coin." Telling us that we can store our coin on a centralized exchange like coin-based, which you mentioned, is not really a wise decision that a crypto enthusiast should adhere to. You did not mention the risk that is attached to this decision.

In the past, some exchanges have been hacked, and a few have also collapsed, which has caused some investors to lose their investment. It was really a hard lesson to learn and a warning that no crypto enthusiast should consider storing their assets on a CEX. The best place to store your coins is offline, in a self-custodial wallet. You can use an electerum wallet, exodus wallet, or a hard-wear wallet.

Exactly, I think because of the recent high transaction fees, investors in crypto currency, especially bitcoin, choose to just store their bitcoin in a wallet and not in an exchange, especially if they will not do anything to it just to hold the assets. This is because they will avoid the high transaction fees. Instead of frequent transfers or sending of assets, they will choose to do it in one transaction so that the fees are worth it. I personally avoid the high transaction fees. That's why if I need to send an asset from one wallet to another, I'm waiting for the fees to get low, as we know the fees may change every day, so if I'm not in a hurry, then I will do the waiting game. I'm sure many investors are also doing this if the transaction is urgent, but if it is urgent, then it will be painful for the sender as he will be the one to shoulder the transaction fees.

The only reason someone would care about fees is if they are actively moving bitcoin around. "long timers" presumably means people who generally hold long term, so aren't even having to deal with fees, unless they DCA regularly but then they can just send their bitcoin off exchange to a wallet every once in a while.

Also it's not like fees have been relentlessly high haha. I feel like people have complained about the fees nonstop since like January of last year, but the vast majority of the time fees have been under $5, as they currently are. If someone has bought say a few thousand, or even a few hundred, dollars of bitcoin and is moving it off an exchange for long term holding, they don't really care about a $3 or $4 tx fee, and if its one of those odd times when the fees are temporarily $20 they can just wait a few days or a week or two if the fees are bad for an unusually long time.

Fees are only really a problem for people who are moving a very small amount of money around, like for perhaps people in poor countries (or just low income people in general who barely have any extra money) who are just saving in Bitcoin maybe a few dollars or a few dozen dollars at a time, or for that small number of people who actually spend their bitcoin. And even then its only a problem if they urgently need to move their bitcoin and can't wait for cheaper fees. Yes it absolutely can be a problem for some people, but people overexaggerate the issue considering that the vast majority of people in Bitcoin are only going to rarely even be making a transaction and if the fees happen to be high for a few days they can usually wait fees to get back to the normal $2-$4.

Only time fees in crypto have ever bothered me (a "long timer", passed 10 years in the space a couple months ago) was on Ethereum back in 2021 when I was doing a few DEX swaps between ETH and tokens and it usually cost $100+ each time. Now THAT was annoying haha. Bitcoin fees typically at like $3 and every once in a while at $20 for a few days ain't that bad for Bitcoin's current majority use case - long term savings/investment/store-of-value. Bitcoin spenders need to be using the LN anyway, and real low income bitcoiners yeah either need to use custodied services or only move their bitcoin into their own wallets every once in a while once they have enough to make paying a $3 fee worth it.

Bitcoin is remarkable. Combining security and supply generation with "mining" to validate transactions and create new coins is amazing. A self-sustaining ecosystem!

Your emphasis on online exchanges and offline hard drives for Bitcoin storage is vital for new users. It shows Bitcoin's accessibility and security, responding to user preferences and risk tolerances.

Bitcoin is Bitcoin's acceptance depends on educating people about its benefits and features. It represents a decentralized financial future, not just a money.

As I understand it, a bitcoin ETF means that bitcoin is considered a security, so that does not pave the way for bitcoin to be used as a currency or means of payment in stores, companies, etc. The SEC approves bitcoin spot ETFs, meaning bitcoin is recognized as a tradable asset and its chances of becoming a currency are even more remote with this decision. Furthermore, given bitcoin's transaction fees, I actually think it is not suitable as a means of payment , it is more suitable as an asset.

Bitcoin is not created by miners but is mined by miners, the same thing as gold, which is not created by gold miners, but the gold already exists.  So to process Bitcoin transactions, validation is needed from a device, Bitcoin miners are tasked with processing these transactions and for every successful transaction the miner gets Bitcoin, so they never create Bitcoin.

That's right, almost 99% of fiat currencies around the world have BTC pairs ^{(poor countries, developing countries or developed countries)}, Bitcoin has become part of the world economy now so everyone around the world is free to transact with Bitcoin using the pair their own country's fiat currency.

Yes, this is basic knowledge about how to store Bitcoin safely and to avoid hacking, so far there are various kinds of Bitcoin wallets available, such as Bluewallet, Electrum, and so on, just adjust it to your needs, many also recommend holding large amounts in the long term, using a paper wallet is a wise choice.

I don't think I ever read this kind of statement anywhere. Anybody who is a minimum serious about bitcoin (and cryptocurrencies in general) perfectly knows that we still have a very long way to go, the adoption is still pretty low but there is a steady increase, so for sure we are on the right path. And the average bitcoiner is pretty patient, so I don't see problems with that.

Coins are not created by the miners, but they mine the blocks that have transactions in them made by the users of the blockchain, the miners then get rewarded with coins by the chain and that is how new coins come into circulation. So, coins are already created and are inside the blockchain, but they are unlocked by the miners by mining new blocks and receiving Bitcoins by the blockchain, that's how the whole ecosystem works.

Well, you are right about online and offline wallets, but online wallets doesn't have to be an exchange but there are dedicated services where you can just create wallets to store your Bitcoins. Blockchain.com provides the safest one in my opinion, however, it is not recommended to keep your funds in online wallets because they are vulnerable to attacks.

You are right @ OP, Bitcoin is the foundation in the crytop
space industry which has globally been adopted for its purpose of inventions with the primary aim of the P2P alternative source of transactions otherwise posses for digital assets of making incomes.
It is agreed that yeah, despite the high level of bitcoins speculations and popularities, some individuals are yet to  accept the fact about the potentials of the Coin because they are either ignorance to learning or they haven't been in opportuned to be thought of it.
Although it is crystal clear that there are existences of countries whom are against the inventory due to their sentiments that grosses between them and the US dollars so, there is said to be a biased generosity of such countries accepting the adoptations of the Bitcoin at which it is pronounced an illegal technology to their world.
This has also filmed certain bridges towards the circulatory capacities of Bitcoin and of course supposed to serve an hint of its awareness on a wider spreader to individual acknowledgement about Bitcoin.

The enjoyment in Bitcoin is  being aware of it's existence, an audible acknowledgement to engage on it, learning about the basic skills and its potentialities and more say, be part of its beneficials.