Why would I mind if other people hold their money themselves or use a custodian as long as I have the option to custody my own money? Let people choose
Perhaps I wasn't clear: There's no reason at all for you to mind what other people choose to do with their money, and I'm fine with exchanges offering it (that is, holding customer balances on file privately instead of recording everything on the public blockchain) as an optional service. It's just shocking to me that so few people seem to regard the small cost and inconvenience of "doing it properly" as being worth it, when in some sense the entire blockchain machinery was designed and built to enable exactly that guarantee.
It's like watching someone buy a padlock to secure something, but then immediately cut through it with a boltcutter "to make it easier to get my stuff out".
It's like watching someone buy a padlock to secure something, but then immediately cut through it with a boltcutter "to make it easier to get my stuff out".