How do exchanges manage their bitcoin/crypto? It only takes 1 employee with private keys to steal it all So hear me out. I understand exchanges have hot/cold wallets and mostly use their hot wallets. But at some point they need to send crypto from their cold wallet to their hot wallet.
Who does this? The CEO &amp; only the CEO? Technically whoever holds the password to these keys could send it to any address and it not be retrievable. The person would be in a lot of trouble but the crypto would probably be unobtainable.
Even if that crypto is &quot;insured&quot; the insurance company would probably only be able to payout in fiat.
Basically, how do exchanges keep your crypto secure?
Nice question. I assume the following:

Most of the funds are stored in &quot;Cold wallets&quot;.
All the transactions are made from &quot;Hot Wallets&quot;
There is an automatic system that detects that the hot wallets need to be recharged.

I don't think such operations are made by a human. Maybe there is a human who checks such transactions. But everything is done automatically.
We can also assume that the CEO has access to the keys and funds. But we will never be 100% sure. It's crypto. That's why different decentralized platforms like UniSwap are popular right now.