The history of cryptocurrency is littered with cautionary tales of exchange failures that wiped out billions in user funds. From the Mt. Gox collapse in 2014 to the downfall of FTX in 2022, custodial platforms have demonstrated a painful reality: when you hand your private keys to a third party, you are trusting them with everything. As recovery processes inch forward, the stories emerging from these collapses offer critical lessons. With over $3.4 billion stolen from cryptocurrency platforms in 2025 alone, understanding custodial risk has never been more urgent. The Mt. Gox Saga: Over A Decade and Still Counting Mt. ... (full story)