Collodion is hazardous but can be handled safely. It is extremely flammable, but so is gasoline. Because of the ether involved, care must be taken to avoid concentrating the fumes around an ignition source like a furnace inside a residence, a sparking refrigerator or exhaust fan motor.
Raw ether has a short shelf life (3-12 months under ideal conditions), especially once the bottle is opened and the contents exposed to oxygen. Over time, ether in contact with air forms explosive peroxides and old containers should be considered extremely dangerous and disposed of via proper channels. Googling ether and peroxides will bring up several incidents of old bottles of ether going off.
One key to safely handling this stuff is to purchase minimum quantities that will be used quickly thus avoiding extended storage issues.
It turns out that additional ether may not actually be required in compounding wetplate formulas. Grain or denatured alcohols may be substituted in several formulas thus reducing the hazard somewhat.
The alcohol used in the collodion stabilizes the ether and extends the shelf life. It should still be kept in a cool, dark place away from ignition sources.
The nitrocellulose is also extremely flammable and in the early days of photography was a concern since many practitioners made their own. That is an extremely hazardous task that is avoided in modern times by purchasing the collodion solution already mixed.
Finally and most importantly, anyone handling this stuff should consult the MSDS and an expert chemist/hazardous waste officer and not rely on internet hearsay for information.
Joe