Are Bank Safe Deposit Boxes the Best Place to Store Crypto?

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In a bid to keep our crypto safe, people are always on the lookout for new and innovative ways to store it. Following the spate of exchange hackings and exchanges vanishing with people’s crypto, it’s no wonder more people than ever before are storing their crypto in cold storage. However, the question of where to place a cold storage device is one that’s plaguing the crypto world. A number of people have opted to store their private keys and hardware devices in safe deposit boxes in banks, but is this really a sensible idea?

Not Your Keys, Not Your Crypto!

Arguably, Proof of Keys was the biggest awareness movement in crypto during the first half of 2019, and it’s got people thinking about storing their crypto safely. Now, there is a small portion of people out there that have bought a hardware wallet, written down the 12-word seed phrase and driven down to their local bank. Once there, they have taken out a safe deposit box, presuming it’s safe and secure – but is it?

Modern banking is built on the principles laid down by the Knights Templar back in 1119. Back then, people heading off on a pilgrimage to the holy city would leave their gold and wealth in the protection of the Knights Templar, meaning it was safe until they returned. Swords eventually turned into guns and the gold turned into whatever people wanted to store in the bank.

Banks Own the Boxes

When you take out a safe deposit box with the bank, you’re simply renting space in the bank’s vault. The bank can revoke your access to your box at any time, and without reason if it so wishes. Additionally, if someone doesn’t pay their monthly or yearly box subscription fees, the bank will drill out the lock and pocket the contents. Every year, bank employees drill out the locks of the wrong safe deposit box – an average of 30,000 times a year to be exact. Are you still sure you want to store your valuable crypto in a bank safe deposit box now?

If you’re still going to use a bank safe deposit box – because you’re old school or think that this will never happen to you – then we urge you to keep a backup of your crypto wallet and seed phrases elsewhere. If you’re now hurriedly looking for an alternative place to store your crypto, the brand new Keevo hardware wallet is finally getting shipped. The premium subscription allows you to store your carbon key in a safe and secure Keevo location and have it shipped out to you when it’s needed. It’s certainly an alternative worth exploring if you no longer trust the bank.