What can be learned from FTX?

7 Dec 2022

What Can Be Learned from FTX?

Every major outlet is covering the FTX story, so in this blog post we’re going to focus on Gridlock and why it’s a smart choice for crypto enthusiasts.

As you have likely heard by now, the cryptocurrency industry has suffered another unfortunate occurrence due to the irresponsible and unethical business practices of one of the industry’s largest centralized exchanges, FTX.

FTX declared bankruptcy. Their customers are unable to withdraw their funds and it has been revealed that there are in excess of a million creditors that will likely never be made whole. This has caused a chain reaction that is propagating throughout the industry and the markets, and will continue for the coming weeks, months or perhaps even longer.

The events of FTX will likely spark new legislation across the industry and underscores the importance of utilizing even the most basic principles of security and good judgment. 

And so it is a good time to review your personal approach to security regarding cryptocurrencies and NFTs.

Gridlock – The Most Secure Crypto Wallet

Gridlock is a non-custodial cryptocurrency wallet, which means that we do not hold or have access to user funds. What is happening to FTX users is not possible in the wallet we provide. Gridlock builds the tools so you can secure your assets and ensure they are recoverable only by you, if something unplanned happens. 

After the FTX collapse, we started seeing an uptick in signups and user activity. This is why we started Gridlock. We focus on the basic principles of non-custodial wallet architecture and we prioritize security. Whether you are a free or Gridlock Pro user, we utilize threshold signatures and social verification to ensure maximum protection from threats, while delivering to each user, the unwavering ability to always recover their assets.

Total security for your crypto and NFTs

Gridlock is the industry’s first non-custodial wallet utilizing threshold signatures and social verification. When using a Gridlock wallet, only you control your funds. Gridlock cannot access, use, leverage, invest, or spend your funds. It is simply not possible due to the system architecture.

  • Gridlock has been operating since 2018 without a security incident and secures tens of thousands of wallets.
  • Gridlock does not rely solely on a password or seed phrase that can be lost or taken over by a 3rd party, and instead utilizes more advanced recovery methods like social verification.

FTX provided little if any transparency to their users which enabled them to temporarily get away with utilizing user assets and funds without consent. FTX had full custody and access to use, leverage, invest, and spend user funds, which they did liberally.

Gridlock was completely unaffected by the fall of FTX and did not have any relationship or exposure to FTX or Alameda Research, or any of their other companies or services.

Check out our blog on How to Secure Crypto Assets and Private Keys

If you need assistance, reach out!

Real security means that you know exactly how someone or something is backing you up. At Gridlock, you can take comfort in your Guardians. Although the FTX implosion and bankruptcy does not affect Gridlock directly, we are part of the greater cryptocurrency and blockchain ecosystem, where markets are interconnected being supportive really matters.

Join our community on Discord if you have questions or want to chat.

Our vision of transparency and security is shared by the leading and most influential voices in the industry. We believe only you should control your assets, and our mission is centered around empowering cryptocurrency users to safely and securely participate in Web 3.

Protect yourself from crypto loss and Download Gridlock today.

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Written by Reid Zedkongor

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Reid Zedkongor is peeling away layers of confusion around blockchain and cybersecurity. With a computer engineering background, he can dive into the details of crypto complexities to make crypto adoption easy for everyone. In his free time, he often reads fiction or enjoys a good laugh over a beer.

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