# Custody

> Who holds your crypto and the keys to it. Self-custody means you do, custodial means a company does.

Canonical URL: https://business.fudfomo.co/glossary/custody
Source: What The Block! Dictionary v1.0 (last updated 2026-04-25), browsable at https://wtb.fudfomo.co.

## Definition

Custody is the question of who controls your private keys. With self-custody, you hold them in your own wallet and are fully responsible for them. With custodial services like most centralised exchanges, the platform holds them for you.

Each approach has trade-offs. Custodial services are convenient and easier to recover, but you are trusting the company. Self-custody gives you full control but no safety net if you make a mistake.

## Related terms

- [Wallet](https://business.fudfomo.co/glossary/wallet): An app or device that holds the keys you need to spend and receive crypto.
- [Cold Storage](https://business.fudfomo.co/glossary/cold-storage): Keeping crypto on a device that is not connected to the internet. Safer for long-term holding.
- [Hot Wallet](https://business.fudfomo.co/glossary/hot-wallet): A wallet connected to the internet, like a phone app. Convenient for everyday use, less safe for big balances.
- [CEX](https://business.fudfomo.co/glossary/cex): A centralised exchange. A regulated platform where you buy and sell crypto using an account.

## See the full catalogue

What The Block! covers more than 2,000 plain-English crypto terms, delivered as embeddable hover-state tooltips for crypto exchanges. https://wtb.fudfomo.co