The phrase “Not your keys, not your coins” holds significant importance in the realm of cryptocurrencies, emphasizing the critical role of owning your private keys for true control over your digital assets. To comprehend why, let’s explore the concepts of public and private keys.
Cryptocurrencies are transferred to a receiving address, akin to a bank account number, known as the public key. It’s labeled “public” because you can share it without compromising your crypto security. However, linked to this public key is another key, known as the private key, which is indispensable. Possession of the private key grants access to the funds associated with the public key, serving as a password and authenticating you as the rightful owner. The saying “not your keys, not your coins” underscores the significance of possessing and safeguarding your private key for ultimate control over your cryptocurrency holdings.