Custodial
Custodial describes an arrangement in which a third party controls the private keys or operational access to crypto assets on a user's behalf.
✦ Key Insight
Wallet and key concepts directly affect custody, transaction safety, recovery, and the risk of irreversible loss.
✕ Common Misconceptions
Verify the network, address, permission, and signing details carefully. Never disclose private keys or recovery secrets.
Detailed Explanation
In Practice
Dig Deeper
Private Key
The secret number that authorises spending from a crypto address.
Public Key
The key derived from your private key that others use to verify your signatures and send you funds.
Wallet
Software or hardware that stores your private keys and lets you sign transactions.
Transaction
A blockchain transaction is a signed or authorized instruction that changes blockchain state or transfers value when accepted by the network.