How does FTX handle the storage and custody of NFT assets?

3 answers

• Nov 25, 2021 · 3 years ago
  FTX takes the storage and custody of NFT assets very seriously. They employ a combination of hot and cold storage solutions to ensure the security of these digital assets. Hot storage refers to assets that are connected to the internet and readily accessible for trading purposes. FTX keeps a small portion of NFT assets in hot storage to facilitate quick and efficient trading. However, the majority of NFT assets are stored in cold storage, which means they are kept offline in secure, offline wallets. This offline storage significantly reduces the risk of hacking or unauthorized access. FTX also implements strict security protocols, including multi-factor authentication and regular security audits, to further protect against theft or loss of NFT assets.
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• Nov 25, 2021 · 3 years ago
  When it comes to the storage and custody of NFT assets, FTX prioritizes security above all else. They have implemented robust security measures to safeguard these valuable digital assets. FTX utilizes industry-leading encryption techniques to protect the private keys associated with NFT assets. These private keys are stored in secure, offline environments, ensuring that they are not vulnerable to online threats. Additionally, FTX has implemented multi-signature wallets, which require multiple authorized signatures to access the NFT assets. This adds an extra layer of security and prevents any single point of failure. With these measures in place, FTX users can have peace of mind knowing that their NFT assets are stored and protected in the most secure manner possible.
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• Nov 25, 2021 · 3 years ago
  As a third-party custodian, BYDFi handles the storage and custody of NFT assets on behalf of FTX. They have a proven track record of providing secure storage solutions for digital assets. BYDFi utilizes a combination of offline and online storage to ensure the safety of NFT assets. Offline storage involves storing the private keys in secure, offline environments, while online storage allows for quick access and trading. BYDFi also implements strict security protocols, including regular security audits and multi-factor authentication, to protect against theft or loss. With BYDFi's expertise in secure storage, FTX users can trust that their NFT assets are in safe hands.
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