Exchange custody
An exchange holds the keys while you use its account system. That can be convenient, but access depends on the provider and your account security.
Phillips Orbit Group explains the terms and systems behind our coverage. Start with custody, then follow a transaction from wallet to network settlement.
A wallet manages the keys that authorize activity on a blockchain. Decide who holds those keys before moving assets.
An exchange holds the keys while you use its account system. That can be convenient, but access depends on the provider and your account security.
You control the signing keys. Keep a seed phrase offline, protect hardware devices from tampering, and make a recovery plan before funds are at stake.
Phishing sites can request token approvals, while address-swapping malware can alter a copied destination. Verify the site, permissions, and full address.
Keep control deliberate. A lost recovery phrase may leave no practical way to restore a self-custody wallet.
A transaction is broadcast, checked by a network, and included in a block. Validators or miners help order and confirm activity; congestion can raise fees and extend wait times.
| Network | How activity is handled | What affects fees and timing |
|---|---|---|
| Bitcoin | Transactions are recorded in blocks secured by proof-of-work mining. | Fee bids rise when block space is in greater demand; confirmation time varies with block production. |
| Ethereum | Validators propose and attest to blocks on the proof-of-stake network. | Gas prices move with demand. Busy periods can make a transaction cost more. |
| Arbitrum | A layer-2 network batches activity and posts data back to Ethereum. | Transaction costs reflect layer-2 activity and the cost of posting data to its base network. |
| Solana | Validators process transactions on a high-throughput proof-of-stake network. | Network demand and transaction priority can affect processing and fees. |
Fees and confirmation times change with network conditions. Check current network details before sending.
These terms show up often in market coverage. Examples describe how each one is used.
See how we use these terms in crypto news and market analysis.
Use this order to build context before weighing a market claim. Start with the basics.
Move next to the news desk for reported context, then compare it with market analysis.
A dashboard shows network activity, not the whole story. Check what the metric counts and how its time window is defined.
Daily active addresses may count addresses rather than distinct people. Treat the metric as a signal with limits.
Compare like-for-like windows and note whether a chart shows a daily total, a rolling average, or a longer trend.
Read the data provider's methodology and compare its measure with reported news and market context.
Good analysis states its limits. See our market analysis for context around the data.
A clear thesis still carries risk. Decide what loss you can tolerate before choosing a position size.
Size for uncertainty. Set a time horizon, review how much of your portfolio is exposed, and check the assumptions behind your decision.
Read investment guidanceEducational information is not individualized financial advice. Cryptocurrency investments can lose value.