The recent incident involving a viral video of two police officers searching a suspect’s car and discovering pieces of paper with a handwritten seed phrase, used to secure cryptocurrency, has sparked discussions on the most secure ways to store seed phrases.
Binance CEO Changpeng Zhao has argued against memorization as a reliable method, due to the human mind’s susceptibility to forgetfulness and lack of inheritance.
The CEO of Paxful, Ray Youssef, has suggested that investors move their funds to self-custody, keeping only what they trade on an exchange and not their savings.
The arrest of former FTX CEO Sam Bankman-Fried for suspected misappropriation of funds has also warranted a re-evaluation of long-term storage strategies for crypto assets.
