Crypto Analyst MartyParty Tells Investors to Buy Layer-1 Tokens and Stash Them in Self-Custody Wallets

Crypto analyst MartyParty is telling investors to buy Layer-1 (L1) tokens—think $SOL, $SUI, $XRP, $ADA, $ETH, and $BTC—and stash them in self-custody wallets.

Crypto analyst urging investors to buy Layer-1 (L1) tokens ($SOL, $SUI, $XRP, $ADA, $ETH, $BTC) and store them in self-custody wallets.

In a post on February 25, prominent crypto analyst MartyParty issued an urgent warning to investors, advising them to withdraw their assets from centralized exchanges (CEXs) and into personal wallets, effectively ditching those offshore trading platforms.

The full tweet reads:

PSA: Buy all the spot $SOL $SUI $XRP $ADA $ETH $BTC and all precious L1 tokens and store them in self custody in your own network wallet. I’m not a tribalist. I believe in all L1 blockchains and want to see them all benefit the masses. But this is a critical time. IMO: Within…

Highlighting his preference for self-custody and decentralized finance (DeFi), MartyParty stated that CEXs are currently in “damage control mode,” prioritizing the well-being of their own reward systems and tokens over the needs of retail investors.

According to his analysis, exchanges are actively draining liquidity from users, rendering them less suitable for long-term storage of crypto assets. His message to investors was concise: “Drain the exchanges and move the L1 assets to Self Custody and DeFi.”

The Case Against Centralized Crypto Exchanges

As MartyParty raises concerns about CEX practices, some experts have pointed out a strategy that market makers allegedly employ to generate substantial profits from exchange listings.

According to this theory, market makers secure token deals at a discounted rate and proceed to dump the acquired tokens for a quick profit. This selling pressure triggers liquidations and ultimately crashes the token’s price, creating a distorted chart pattern that misleads regular investors.

Once the prices bottom out, these players reportedly buy back the tokens at a lower cost, only to repeat the process of dumping them again after the exchange listings drive the token’ сър price up once more.

This strategy allows them to avoid paying hefty listing fees while engaging in a rinse-and-repeat cycle that is legal but raises questions about the fairness of the market. In his analysis, MartyParty believes that CEXs and market makers come out on top, leaving retail investors at a disadvantage.

As an alternative to centralized platforms, DeFi is gaining momentum, thanks to its ability to provide users with the capability to trade L1 tokens on decentralized exchanges (DEXs) without the involvement of CEXs.

Moreover, he anticipates that within “nine months,” licensed and regulated platforms will integrate in-kind L1 token trading, further reducing the reliance on offshore CEXs.

In his opinion, the growing adoption of stablecoins is rendering CEX services less essential, as users can now transact and spend their crypto freely without the need for intermediaries.

Is the Crypto Community Moving Towards Self-Custody?

While the push for self-custody has been gaining traction for some time, MartyParty’s urgent call for investors to take ownership of their crypto is adding fuel to the movement.

His warning, coupled with his claims of having “on-chain evidence of predatory CEX practices,” could catalyze a larger-scale shift away from centralized exchanges.

As the crypto market continues to mature, a transition towards controlling your own crypto seems bound to happen if CEXs persist in what he terms predatory actions.

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