In fact not. With Magic, we have a wallet partner at our side who has developed a smart solution for all those who want to dive into the NFT world without worries and without prior knowledge. The "Delegated Key Management Architecture" delegates critical encryption and decryption operations to a trusted AWS KMS and AWS Cognito - completely bypassing our and Magic's backend. This allows us to offer a "non-custodial" wallet, meaning one that we do not manage as we never "see" users' private keys or seed phrases. The safety and trust of our users is our top priority.
If you are more interested in how these wallets work, you can find more information here!