[Pollard]

“There are some platforms that have agreements which essentially say that ‘by depositing your crypto with us, you are granting us the authority to use, transfer, invest, do whatever we want with your crypto,’”

Don't banks do the same thing? Isn't that why they never have everyone's money and why the phrase Bank Run exists?

[catnipman]

“Don’t banks do the same thing? Isn’t that why they never have everyone’s money and why the phrase Bank Run exists? “

the difference is that your money is FDIC insured, so if the bank fails or steals your money, you’ll get it back ... plus, FDIC banks must meet a plethora of FedGov regs regarding reserves and what they can and cannot do in terms of loans and overall operation ... AND the FedGov routinely audits FDIC banks to make sure they’re meeting the requirements of their FDIC insurance ...