Many new investors are unaware of crypto wallets and why they need to choose the right one for themselves. There are many cryptocurrencies, such as Litecoins, bitcoins, Ethereum, and lots more. Investing in these currencies requires you to choose the right cryptocurrency wallet for safe storage.
A crypto wallet has a private key and a public address. You can categorize your cryptocurrency wallet depending on where and how you want to store your digital money. Let’s find out some widely used crypto wallets here.
Mobile-based crypto wallets are one of the most secure ways to store your digital currencies. They provide easy access to your digital asses. These wallets are available for Altcoins and Bitcoins. Since they are mobile-friendly, they offer easy use of the wallet. Mobile wallets for popular cryptocurrencies are compatible with Android and iOS.
It is vital to do the due diligence of a mobile wallet before you get the one for you to store your crypto. Look for its compatibility, security and backup, ease of use, and private keys. Some of the trustworthy mobile wallets are Coinomi, Mycelium, Safepal, and Trust Wallet.
These crypto wallets are software packs that you can install these wallets on most desktop operating systems, including Linux, Mac, and Windows. Using desktop-based crypto wallets requires you to keep primary security measures, such as anti-malware and anti-virus software. You can choose from a range of desktop crypto wallets instead of storing your digital money on exchanges. Exodus, Electrum, and Bitcoin Core are some of the most secured desktop crypto wallets.
Paper wallets tended to be the only way to keep your Bitcoins after the digital currency came into existence. For that reason, only a few investors could buy and store Bitcoin in these wallets in the past. Paper wallets allow you to get a printed paper containing your necessary details, such as private keys and public addresses, and start storing your cryptocurrencies on it. Thanks to advanced technology and a broad trend of Bitcoin trading, there is now a significant number of crypto wallets that allow you to store your digital currency safely. Paper wallets make a secure way to keep your private keys offline and store your crypto coins, but they do not accompany all cryptocurrencies. Also, not everyone finds a paper wallet suitable for their particular requirements because of its technical complexity.
Most people prefer to have hardware wallets, especially those willing to invest in cryptocurrencies for the long term. Factually. Hardware crypto wallets are the most secure medium to store your cryptocurrency. As the name suggests, this type of cryptocurrency wallet comprises hardware devices to handle private keys and public addresses. They look like a USB-like device that has an OLED screen and navigation buttons on the side. Hardware wallets have their native desktop applications to serve various digital currencies. You can connect this gadget to your personal computer or mobile phone using a USB. Hardware wallets can also store your private keys to help you make sure your digital coins are secure on the device.
This type of crypto wallet tends to be the least secure yet usable option to store your cryptocurrencies. Also known as hot wallets, these storage mediums stay connected to the internet at all the time and are accessible through different internet browsers. You can store your private keys on web wallets in your internet browser, although they are vulnerable to DDOS attacks. Crypto exchanges make a perfect example of web wallets. These sorts of wallets do not provide you with access to your private keys. It means if the crypto exchange shuts down or gets hacked, you will lose your cryptocurrencies. Web wallets are only feasible for active cryptocurrency traders.