Which is Safer: CeFi or DeFi? YouHodler's Unique Proposition

Lesson 2: Which is the Safest - DeFi or CeFi?

In the world of crypto trading, projects and platforms are typically separated into two categories: centralized finance (or CeFi), and decentralized finance (or DeFi). These terms can refer to trading platforms, financial organizations, and certain protocols. They differ from each other in a variety of ways, from their methods of handling money to the level of human involvement throughout their operations. But one question that many traders find themselves asking is, “which is safer?”.

This question often gets asked when people are trying to decide whether they want to place their money on a centralized platform or a decentralized protocol, but with YouHodler, users can actually engage in both aspects of the industry via its application. This is because YouHodler acts as a bridge between CeFi and DeFi. Specifically, while mainly employing a CeFi model, DeFi options can be accessed from its Web3 wallet. This means that traders get the best of both worlds, in terms of both innovation and safety.

In fact, when it comes to safety, YouHodler has got you covered. This is a sustainable and self-sufficient FinTech platform that does not receive backing from Initial Coin Offerings. It is focused squarely on one thing: providing the best trading experience for its entire customer base. And to do this, YouHodler ensures that it follows EU regulations, partakes as an active member of the Blockchain Association of Financial Commission and the Crypto Valley Association, and it even makes sure that all customer funds are locked away and stored via Ledger Vault, a leading standard in crypto protection.

To return to our initial point, YouHodler engages with both CeFi and DeFi concepts, and applies appropriate safety measures to each.

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