What does NYKNYC mean?
If you’re in the crypto space, you’ve probably come across the acronym NYKNYC. This stands for “Not your keys, not your coins” and is a basic and important rule for dealing with cryptocurrencies. But what does it mean and what can you learn from it as a cryptocurrencies user?
The phrase “Not your keys, not your coins” refers to the fact that you must have the private keys for your cryptocurrencies. The person who holds the private keys decides how the crypto assets associated with them are spent. This means that if you do not own them yourself, you trust a third party not to transfer them against your will. This is the case, for example, when storing cryptocurrencies on an online exchange. Here, the private keys are held by the operator of the exchange.
However, possession of the keys also means that you yourself are responsible for its security. Therefore, there are hardware walletthat ensure secure generation and storage of private keys.
A more widespread manufacturer is Ledger. Their devices, like those of all other manufacturers, store the private keys without ever revealing them to the computer or smartphone. This means that even a hacker with access to the PC would not have access to the valuable cryptocurrencies. Ledger uses only the highest quality security chips, known as Secure Elements, to withstand even the most sophisticated physical attacks on Ledger hardware wallet.To the Ledger Hardware Wallets