Non-Custodial Solutions

Definition ∞ Non-custodial solutions are systems or services that allow users to retain full control over their digital assets and private keys, without entrusting them to a third party. This means that users are solely responsible for the security and management of their holdings. Such solutions are central to the ethos of self-sovereignty in the cryptocurrency space.
Context ∞ The current discourse surrounding non-custodial solutions emphasizes their role in enhancing user security and privacy, particularly in contrast to centralized exchanges. Discussions often focus on the usability of hardware wallets, decentralized exchanges (DEXs), and smart contract-based asset management tools. Regulatory scrutiny and the need for user-friendly interfaces remain critical challenges for the broader adoption of these solutions.