Holding bitcoin yourself can be safer than leaving it with a third party, but it will never be risk-free, wallet makers said at a Bitcoin Amsterdam panel titled “Will Self-Custody Ever Be Safe?”, Crypto Insiders reported on November 6. The article says four makers took part but names three.
Moti Joseph of Wesatoshis Labs said most problems stem from human error, such as lost recovery words, phishing links and wrong actions, and said he is building a separate device that can use bitcoin without Apple or Google systems. Francesco Madonna of BitVault listed three risks: physical attack, digital hack and loss of the private key, and suggested wallets with a waiting period or a required second key so one stolen key cannot empty the wallet. Douglas Bakkum of BitBox said researchers should be able to review software code and report bugs, that AI could speed up such reviews, and that no device is fully secure, so regular updates are needed.
The panel stressed that self-custody gives control but makes the owner fully responsible, since transactions cannot be reversed. Spreading bitcoin across a small payment wallet, a second wallet for regular amounts and a heavily secured vault was recommended. A workable setup matters too, because extra keys help little if heirs cannot understand the system, so an inheritance plan is part of security.
The article concludes that these measures can reduce the chance of loss or theft but cannot eliminate risk.
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