The cryptocurrency world has emerged in the last few years, and with its development and increasing demand, crypto investing is taking the world by storm. This is probably the reason that you are here after all. As crypto becomes more valuable, it also becomes more attractive to malicious individuals looking to make a quick buck but too lazy to invest themselves. These mother chukkas will stop at nothing to steal an investor’s hard-earned crypto. This is why having a secure wallet you can trust to keep your crypto safe is paramount when investing in cryptocurrency. But don’t worry because I got you covered. Within the next few minutes, I’ll be showing you some of the best wallets out there and spoiler alert telling you exactly which one should go in your pocket, if you carry it in your pocket. Let’s get it. Alright, guys. Today, we are looking at wallets. Now, let’s start simple. A wallet is just a piece of software or a device that contains and manages your private keys, which give the holder access to the crypto stored in a wallet. These private keys keep your crypto safe from hackers but only if you keep them safe. If someone gets your private keys, then they get your crypto. This is why choosing the right wallet for you is crucial to maintain a positive experience with cryptocurrency. After all, you don’t want an intruder accessing your information the same way you don’t want a robber coming into your house in the middle of the night while you sleep, right? Unless you are that lonely and desperate for human interaction, which most of us normal people are not. It’s why we install security cameras and alarms to keep them away, just as a secure wallet does for crypto. Okay, so back to the topic at hand. The two types of wallets are software and hardware wallets. Software wallets are also known as hot wallets due to being connected to the internet, which means they theoretically could be hacked. Yeah, that may not sound like the best choice for someone who has bad cybersecurity habits, unless they trade in low volumes and aren’t losing sleep over the safety of their crypto. These wallets have the advantage of being quite easy to set up and to access at any given time, making them a convenient choice for most traders. Software wallets can be divided into smaller categories. The most common and important being web wallets, desktop wallets, and mobile wallets. Their names explain what each one requires to function. Web wallets are used to access blockchains through a browser interface, without having to download or install anything. You may either be able to set a personal password to access your web wallet, but, in other cases, the service provider holds and manages your keys on your behalf. This is risky. We don’t recommend it, even for experienced users, because no one wants to hand over all their money to a stranger. You shouldn’t either. stranger danger. Your parents warned you when you were little, and I’m reinforcing their wise advice to be aware of strangers, but ever feel like you’re the stranger?
Anyways, desktop wallets require you to download software, which you can execute locally on your computer. This is a better option because you will have full control over your keys and funds. Once you generate a new desktop wallet, a file called wallet.dat will be stored on your computer. This file contains a private key for you to access your crypto address and you will have to encrypt it with a personal address. You will need to provide your information every time you run the software. So I beg you do not forget this password. If you forget it, you’ll lose access to your funds. A smart idea is to backup your wallet.dat file and keep it somewhere safe. And no, I don’t mean that suspiciously large memes folder you got on your computer. Come on. Who do you think you’re fooling with that? Everybody knows what’s in there. What are you, 20?
Alright, guys. Mobile wallets are similar to desktop wallets, with a slight difference that it is designed specifically as a smartphone app. These are more convenient because you can send and receive cryptocurrencies through the use of QR codes, and your phone is glued to your hands all day long, so mobile wallets are suitable for performing daily transactions, payments, quickly and easily. However, do stay aware that your smartphone is vulnerable to viruses,
or it can easily break. To stay safe, you should encrypt your mobile wallet with a password and backup your private keys as well. Okay, so let’s go with a list of popular hot wallets you might want to consider using. The good news is that all of these are free and so far have not been victim to any vulnerability. Who doesn’t love a bargain? However, charges for transactions will apply when moving your crypto due to gas prices, which, that’s been fun lately. Also, be aware, I’m talking about wallets that support more than just Bitcoin here. One of the most popular software wallets is Coinbase. Known by many users as an exchange, it has also offered up a crypto wallet.
Coinbase wallet offers both a mobile and web version with Android and iOS support. It’s important to note that having your crypto in Coinbase’s wallet doesn’t equal having it on the exchange, which means it’s more secure, as keeping crypto on an exchange is not recommended. Trust Wallet is another wallet supported by one of the big exchanges, in this case, Binance. It has over 5 million users, has integration with the Binance exchange, just like Coinbase’s wallet with its own exchange. Trust Wallet has the added benefit of offering a decentralized Apps Marketplace, which allows you to take more advantage of the benefits of the blockchain world. It also offers staking options built in, allowing users to make passive income.
Another favorite is the Exodus wallet. It offers advanced features like live charts, built-in exchange, support for over 100 cryptocurrencies, and an Apps Marketplace. It’s available in a mobile and desktop version. Honestly, there are too many options when it comes to software wallets, with names like Edge, ZenGo, Dapper, Mycelium and Jaxx, offering different features.
The second main type of wallet though is called a hardware wallet. They are known as cold wallets because it is a form of offline storage, making them much more secure and resistant to online hacking attempts.
Ding, ding, ding!
We’ve got a winner.
Okay, maybe I shouldn’t get so ahead of myself here, but in my opinion and in that of most experts, these are really the best wallet type simply because they present the safest way to store your crypto investments.
Cold wallets use a physical medium to store the keys offline. This method is the best and only choice for long-term investors but can be equally suitable for beginner users who want a safe option right from the start.
Hardware wallets use a random number generator to generate both public and private keys, and these are then stored in the device itself. Keep in mind that at no point are these connected to the internet. That’s what makes them so safe! For the internet is the Wild West, and you can never be too sure who might be accessing your information. Although its security is a huge advantage, hardware wallets aren’t all beauty but contain a beastly side, as it as a physical device, you must purchase it. It’s high price is a downfall for many crypto fans. Prices can range from $70 to $100, and they may even go up in some cases to $2,000. Yikes! I know it’s a bit costly, but it is a one-time purchase and will protect all your funds. So how much is that worth? So will you invest in a hardware wallet? Or is a potential hacker attacking the price you’re willing to pay? Remember, you can easily lose serious money if your account is hacked. Hardware wallets also require you to set up a recovery safe password that you must keep safe. If not, you won’t be able to recover your coins if your wallet is lost, damaged or stolen. And the goal here is to make money, not lose it.
Within the hardware wallets, the two biggest brands currently on the market are Ledger and Trezor, both always featured at the top hardware wallet rankings. Trezor supports Windows, Linux, Mac, and has one of the best Android wallet apps, if you like that kind of thing, available for cold storage crypto investment. It has a full two-factor authentication and a password manager app that’s compatible with ERC 20 tokens. It’s easy to use, you can connect via the computer, and reset the management software.
Wow! I know. It’s got so many features and it could be a potential option for you. Trezor Model T is £169.99. Although the price is quite high, the features, some people say, are worth it. Now, let’s see what Ledger has to offer. Now, if you ever want to get a Ledger, you can do so by heading over to our store. It’s my hardware of choice. I’ve got several of them and they have never let me down. Ledger Nano S is probably the most popular and recommended hardware wallet because it’s extremely reliable. Not only does it present the best security, but it also supports more than 1,500 cryptocurrencies, and the list just keeps expanding. So it’s quite possible that you will be able to store your coin of preference in the wallet. While setting up your device though, you will select a PIN code and get a 24-word recovery phrase in case you forgot your PIN or lose the device. These things happen quite often, so make sure to store your recovery phrase in a secure place. In addition to Nano S, Ledger presents the market with an improved version called Ledger Nano X. They work similarly, but Nano X presents a bigger screen and a few additional functions to improve usability. Both are made out of stainless steel, and they resist physical damage–in fact, they guarantee it. A Ledger Nano S costs $59, while the Nano X costs $119. Not only are both Ledger wallets more affordable than Trezor’s Model T, but they also present more features and provide you with better security, giving you the best overall experience. This is why Ledger is my pick, as I use it myself. It has alternatives for every kind of user and is just too dang reliable. But now it’s your turn.
Which wallet are you using to store your crypto?
Which of these wallets do you think is the best?
Let us know down below in the comment section and always guys! Peace out!
“not your keys, not your bitcoin”