custodially held cryptocurrency is not on the ledger. When you own cryptocurrency custodially with someone, what that usually means that they hold all the crypt

custodially held cryptocurrency is not on the ledger. When you own cryptocurrency custodially with someone, what that usually means that they hold all the cryptocurrency and they have their own database of IOUs. This is why it is unsafe to keep too many funds custodially with untrustworthy parties and why it is a good idea to minimize the amount you have custudially (e.g. on exchanges see mt gox fiasco)