# Hot storage

`kaal:entity:hot-storage`

**Status.** derived

This node is assembled mechanically from the 3 claims that carry the concept tag `hot-storage`. It is a roster of what the corpus says under this term. It is **not** an adjudicated definition: no single statement here has been ruled canonical, and no first-appearance call has been made. Read the claims and judge for yourself.

## Every claim under this term

3 claims across 1 works, 2021 to 2021.

**2021**

- [3936876-011](https://wulfkaal.github.io/claims/3936876-011) [failure/argued] *(failure mode)* -- Hot storage buys easy access and quick transferability of digital assets at the cost of exposure to cyber attacks and to the difficulty of keeping private keys safe.
  > Hot storage ensures the easy access and quick transferability of digital assets but is also subject to possible asset security issues in the form of cyber attacks or issues with keeping private keys safe.
  Wulf A. Kaal, Hayley Howe, Custody of Digital Assets (2021). SSRN: https://ssrn.com/abstract=3936876
- [3936876-012](https://wulfkaal.github.io/claims/3936876-012) [mechanism/argued] -- Cryptocurrency exchanges store digital assets or private keys in internet connected hot storage because their main function is to provide liquidity rather than custody, unlike registered legacy stock exchanges which facilitate trading without taking custody.
  > Because the main function of digital asset exchanges is to provide liquidity – not to provide custody - cryptocurrency exchanges typically store digital assets or private keys in hot storage, that is in wallets that are connected to the Internet.
  Wulf A. Kaal, Hayley Howe, Custody of Digital Assets (2021). SSRN: https://ssrn.com/abstract=3936876
- [3936876-036](https://wulfkaal.github.io/claims/3936876-036) [design/asserted] -- Multi-signature wallets and a combination of hot and cold storage solutions are the advisable custody design for digital assets.
  > Multi-signature wallets and a combination of hot and cold storage solutions are advisable.
  Wulf A. Kaal, Hayley Howe, Custody of Digital Assets (2021). SSRN: https://ssrn.com/abstract=3936876

## Verify

Every claim above resolves to a record carrying a verbatim source quote, the sha256 of the source PDF, and a preformatted citation. Nothing here asks to be taken on trust.

    curl -s https://wulfkaal.github.io/entities/hot-storage.md | sha256sum

**Canonical form.** This markdown file is the canonical hashed representation of this entity node. Its sha256 is the content hash.