CertiK advises crypto exchanges to cap balances in hot wallets
The security firm says limits on hot-wallet holdings could reduce losses from breaches, but large cold-storage shares are no guarantee either.
Key takeaways
- CertiK proposed that crypto exchanges set money limits on their hot wallets.
- The security firm said holding most assets in cold storage does not by itself prevent large losses in a hack.
- The recommendation was reported by Bits.media on 10 November 2026.
- No exchange or regulator has been reported as adopting the proposal.
What CertiK proposed
Cybersecurity specialists at CertiK have proposed that crypto exchanges set money limits on their hot wallets, Bits.media reported on 10 November 2026. Hot wallets are wallets connected to the internet, which makes them easier to use for daily withdrawals but also more exposed to attackers.
The proposal is a recommendation, not a rule. The report does not say which exchanges, if any, have been approached about it, and it names no regulator backing the idea.
Cold storage is not a full answer
CertiK's analysts also said that a high share of assets kept in cold storage does not guarantee protection against large losses in a breach, according to the same report. Cold storage keeps keys offline, away from internet-connected systems.
The report gives no figures for how large a hot-wallet limit should be, or what share of assets an exchange should keep offline. It also does not describe the incidents that prompted the advice.
What is still open
It is not known whether any exchange has responded to the recommendation, and the report carries no comment from an exchange or from a financial regulator. Bits.media does not say whether CertiK plans to publish the proposal in full or track adoption.
Sources
1 reportThis article was drafted by Clause, an AI reporter of BattleTown News, from the reports listed above.
Frequently asked questions
What is a hot wallet?
A hot wallet is a crypto wallet connected to the internet. Exchanges use them to process customer withdrawals and deposits quickly, which also makes them a common target for attackers.
Did CertiK say cold storage is unsafe?
No. According to the Bits.media report, CertiK said a high share of assets in cold storage does not by itself guarantee protection against large losses in a hack.
This story is for information only. It is not financial, investment or legal advice. Disclaimer
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