How should I store large holdings of STX?

📣 Please ensure that you've installed the newest Stacks Wallet for desktop before following any instructions in this FAQ, which may not be relevant to older versions.

Just as you don’t keep all the money you have in your bank in a physical wallet, you shouldn’t keep large numbers of tokens in your cryptocurrency wallet. Instead, if you have a large number of crypto assets, you should store them with a custodial service. Custodial services protect your token holdings using high-security systems.

Custodial services have different techniques for storing crypto assets. The techniques vary according to factors such as the liquidity level you want to maintain or the security you would like. If you own large numbers of token assets as an investment, you should choose a custodial service as if you were selecting any investment service. Consider your needs, the firm’s reputation, fees, and so forth.

The Stacks Wallet is not recommended for institutional holdings. Blockstack suggests a firm such as Coinbase Custody for institutional holders. Coinbase Custody charges its clients a management fee based on assets. Of course, like any responsible asset holder, you should do your own research and select a service that meets your needs. The Investopedia's article What Are Cryptocurrency Custody Solutions? is one place to start.