What is Custodial?
A wallet in which the private keys are kept by a third party is known as a “custodial wallet”. This means that while you simply need to grant authorization to send or receive payments, the third party has complete authority over your money.
An alternative is a non-custodial crypto wallet, a form of blockchain wallet that enables you to act as your own bank. It follows that users have complete control over their money and the corresponding private key.