Is my cryptocurrency secure when stored on an exchange?

Cryptocurrency stored on exchanges carries inherent risks. While major exchanges implement security measures like encryption and insurance funds, they remain attractive targets for hackers. If an exchange is compromised, your funds could be lost. Additionally, you don't control the private keys—the exchange does—meaning you're trusting a third party with your assets. For large holdings or long-term storage, most experts recommend using self-custody wallets where you control your private keys. Exchanges are better suited for active trading rather than secure storage. Always enable two-factor authentication and use reputable, well-established platforms with strong security track records.