> For the complete documentation index, see [llms.txt](https://docs.solflare.com/solflare/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.solflare.com/solflare/overview/the-power-of-self-custody.md).

# The Power of Self-Custody

With Solflare, you can embark on the worthwhile journey of **self-custody**. Self-custody is an immensely powerful, cryptographically secure way to manage your assets without involving an intermediary. It's made possible with [non-custodial](https://academy.solflare.com/what-are-non-custodial-wallets/) wallets.

The benefits of self-custody range from **convenient** to **essential** depending on your financial situation and physical location. Crypto's role widely varies depending on whether you're in a developed, emerging, or frontier nation.

In any case, Solflare Wallet will be there to support you.

### Custodial vs Non-Custodial

When you open and fund a crypto account on a centralized exchange you’re creating a **custodial wallet** and trusting that the exchange will grant you access to your funds as they are in the custody of your keys. As we’ve seen time and again – with even the biggest, most regulated centralized exchanges ([Coinbase](https://www.independent.co.uk/life-style/gadgets-and-tech/crypto-crash-coinbase-down-bitcoin-b1915793.html), [Binance](https://www.cnbc.com/2021/08/19/cryptocurrency-traders-seek-damages-from-binance-after-major-outage.html), [Gemini](https://www.reuters.com/article/us-health-coronavirus-cryptocurrencies-idUSKBN2160SD), [Voyager](https://piunikaweb.com/2021/07/26/voyager-app-not-working-down-or-crashing-issue-acknowledged-fix-in-the-works/), [Robinhood](https://www.cnbc.com/2021/02/17/robinhood-faces-lawsuits-after-gamestop-trading-halt.html)) – when the volatility picks up, users are often unable to place any trades or withdraw their capital. 

Non-custodial wallets are blockchain accounts that remove the need for an intermediary like an exchange. They can serve many purposes and they're primarily used as a decentralized bank and/or investment account. Assets within a non-custodial wallet remain on a blockchain at all times and if proper safety measures are practiced, you and **only** you will have access to the assets within it. 

This is made possible with the use of public key-private key cryptography and mnemonic phrases. 

> Its important to note that you can access a near infinite amount of blockchain accounts/wallets from a single mnemonic phrase.

Refer to the following to learn more. 

* [Non-Custodial Wallets](https://academy.solflare.com/what-are-non-custodial-wallets/)
* [What are mnemonic/recovery phrases?](https://academy.solflare.com/what-is-a-mnemonic-phrase-and-how-does-it-work/)
* [Derivation paths & my Solflare wallet](https://academy.solflare.com/derivation-paths-my-solflare-wallet/)

### Primers on Self Custody

{% embed url="<https://academy.solflare.com/course/crypto-fundamentals/self-custody-1/>" %}

{% embed url="<https://academy.solflare.com/course/crypto-fundamentals/self-custody-2/>" %}