"Bad News For Thousands of Crytpo Investors: They Don't Own Their Accounts
Many on Hive talk about "Owning" your account or Owning your crypto. As it turns out that is a very relevant discussion point, especially following the ruling on Celsius's network this week.
Headline from The Washington Post. Source: WA Post
The article and the facts support the idea that users of the networks lost their money and had real fiscal damages, however, they will have no recourse available to them do to some small print in the "User Agreement" most people sign without reading.
The article from a mainstream media source seems to suggest that it was always the plot of the company to fleece it's customers, but I'm not sure it was intentional, but rather more likely a good idea, without sufficient risk management or planning for Bear Season.
As you would expect the article closes with a summary of how the end users will not regain their funds and how regulation is needed.
Personally, I think if end users had done proper due diligence, they would have carefully considered how much of their funds to keep on the platform, and users should definitely understand what each project's ability is to cover funds during a bear cycle.
On hive you aren't depositing your funds to any place but the blockchain it's self, and while we have seen instances in our system of funds tampering on specific accounts it does matter that it takes consensus and time to make any changes that could impact your funds.
Many people underestimate the genius of Hive due to being able to keep your money ON the blockchain and transact with many applications, a much more decentralized and secure approach to utilizing your funds while retaining possession of the keys!
People like to ask.. "What's in your Wallet".. but a more relevant question right now is "WHERE IS YOUR WALLET".
Be careful out there, high return investment comes with high risks. 100 percent of the time.
Other Times I've written about Celsius.
Lending Giant Celsius Halts Withdrawls.