Strike
Exchange CustodyStrike is a Bitcoin and Lightning Network payment app focused on fast, low-cost Bitcoin purchases and transfers. Known for near-zero fees and Lightning Network integration. Founded by Jack Mallers.
Quick Verdict
With a Custody Score of 5.7/10, Strike is ranked #10 of 10 among exchange custody providers. Its strongest category is Withdrawal Flexibility and its weakest is Counterparty Diversification.
Analysis
Score Breakdown
The Custody Score is a weighted average across 8 criteria, each rated 1-10.
| Criterion | Score | Weight | Weighted |
|---|---|---|---|
| Security | 6.5 | 20% | 1.30 |
| Insurance | 3 | 15% | 0.45 |
| Regulatory | 6.5 | 15% | 0.98 |
| Fee Transparency | 7 | 10% | 0.70 |
| Track Record | 6 | 15% | 0.90 |
| Withdrawal Flexibility | 9 | 10% | 0.90 |
| Reporting & Audit | 4 | 10% | 0.40 |
| Counterparty Diversification | 2 | 5% | 0.10 |
| Total | 100% | 5.7 |
Key Features
- ✓Lightning Network native
- ✓Near-zero buying fees
- ✓Instant Bitcoin purchases
- ✓International transfers
- ✓Bitcoin payment rails
- ✓Clean mobile app
Fee Breakdown
| Setup Fee | Free |
| Annual Custody Fee | None |
| Transaction Fee | ~0.0-0.99% (variable spread) |
| Withdrawal Fee | Free via Lightning / Network fees on-chain |
| Notes | Among lowest Bitcoin buying fees. Free Lightning withdrawals. |
Security Details
Key Management
Exchange-managed custody
Cold Storage
Not disclosed
SOC Compliance
N/A
Penetration Testing
Yes
Incident History: No incidents
Insurance Coverage
Coverage
Not publicly disclosed
Carrier
N/A
Details
Regulated US money transmitter. Custodial for Bitcoin held on platform.
Regulatory Status
Licenses
- FinCEN MSB
- State money transmitter licenses
US-regulated. Focus on payments and Lightning Network.
Pros & Cons
Pros
- Lowest Bitcoin buying fees
- Lightning Network integration
- Instant purchases
- Excellent mobile app
- International payment capabilities
Cons
- Limited security disclosures
- No insurance information public
- Bitcoin only — no altcoins
- Newer company
- Payment-focused — limited custody features