Is it safe to deposit and withdraw crypto currency on CEX from cold wallet?
Is it safe to deposit and withdraw crypto currency on CEX from cold wallet?
Hi, I’ve DCAed BTC and ETH for quite some time, currently keeping my investment on Binance. Every once in a while I do trades but they are few and far inbetween, like once or twice every year when there are clear bull signal.
I am doing some research and is advised to keep my crypto on a cold wallet. But I have a fear that if I send my crypto there, then deposit it back to Binance a few months later, that crypto might be flagged as money laundry and might get locked.
What’s your thought? Is my fear reasonable?
To add more context, I am living on a country without any crypto law yet. I use bank transfer to buy crypto through Binance P2P.
Not something you have to worry about, it is easily traceable where your crypto has come from if you received it from a legitimate exchange account under your name.
That would only potentially be an issue if you were mixing legitimately purchased crypto with stolen/laundered crypto in your cold wallet.