You would like to get engaged in cryptocurrency, but you have no idea what cryptocurrency wallets are and/or what is the best wallet to store cryptocurrency? This article will direct you through all the benefits and drawbacks of various digital wallets – from applications, hardware crypto wallets, to web services. We will also give you the answer regarding what is the best wallet to store cryptocurrency.
There are tons of crypto wallets of various kinds. Some cryptocurrency wallets are application based, services offered offline, and web-based. You will be able to select the right wallet platform for your own personal needs by the time you finish reading this article. In addition, knowing what is the best wallet to store cryptocurrency will also help you in trading crypto securely and worry-free!
What Is A Cryptocurrency Wallet?
Cryptocurrency wallets keep the keys you use to send or receive different cryptocurrency coins from the blockchain. It basically holds your ‘internal’ keys and your ‘public’ keys, the safe way in which blockchain cryptocurrency invoices connect with wallets. It even allows you to look at your accounts.
Your cryptocurrency wallet does not really keep money in the same way as a PayPal account holds cash or the wallet you have in your pocket. This is the main distinction between wallets with cryptocurrencies and other digital money services. If you want to know what is the best wallet to store cryptocurrency, read on.
Kinds of Cryptocurrency Wallets
You may be wondering what is the best wallet to store cryptocurrency. To answer your question, you need to know first the different types of cryptocurrency wallets. You can own different cryptocurrency wallets. The various wallet solutions available and the benefits and drawbacks associated in using them will be discussed in this portion.
- Hardware Cryptocurrency Wallets – One of the best places to put cryptocurrency assets is through hardware crypto wallets. They are what is referred to as “cold storage.” This implies that it is offline and much safer than wallets that are referred to as “hot storage.” It has advanced security, which guarantees that people who do not have the right password will not unlock the computer or your account.
- Software Cryptocurrency Wallets – If hardware crypto wallets are called “cold storage,” software cryptocurrency wallets, on the other hand, are called “hot storage.” This implies that they can be easily exploited because of Internet connectivity. But if you trade in low amounts, the best cryptocurrency wallet for you might be hot storage crypto wallets.
Less Recommended Hot Storage Crypto Wallets
Now that you have an idea as to what is the best wallet to store cryptocurrency, here are some of the less recommended hot storage crypto wallets for you to avoid.
- Electrum – It is a common wallet for desktop applications, but it is the most technical as well. This can be downloaded on Windows, Mac OS, and Linux. This software may not be the right option for you if you are unfamiliar with Bitcoin and crypto. The main benefit of software wallets, such as Electrum, is the setting of fee changes. To expedite the process, Electrum enables users to adjust the transaction charge.
- Exodus – Exodus is a brilliantly-designed software wallet that promotes multi-coin exchanges. It helps you to control your keys, displays your investment in graphs that are easy to comprehend, and is adequately personalized, which means you can make it ideal for you.
Software wallets or hot storage wallets are not applicable or suitable for everyone. Only those who do not hold a large amount of cryptocurrency can use this type of wallet. If you want to use a more secure type of wallet since you are holding a large sum of crypto, you are advised to use cold storage wallets or hardware and paper wallet.
If you are a first timer in the world of cryptocurrency, here are some of the mobile wallets that you should think twice before using.
- Mycelium – is a Bitcoin mobile wallet app that is very simple and easy to use. Bitcoin, and the blockchain industry as a whole, has a powerful background. Mycelium offers its wallet services to the users of smartphones via an application. It has a user interface that is very easy to navigate. Its greatest drawback is poor customer support and transaction cost. They will hop over Bitcoin transaction fees with some charging above market standard charges.
- Cryptonator – is a software crypto-currency wallet that is very easy to use. It enables payments and transactions between various cryptocurrencies – from Dash, Monero to Bitcoin, to be made instantly and directly. However, it has bad client service reputation which is a great drawback. Clients often wait for a long time for their money to be transferred, and when users get in touch with customer services, this can cause difficulties. The waiting does not help.
- Copay – The main advantage of Copay app is that it has an excellent security and privacy settings. The only drawback of this app, just like the other software, is that it has a poor customer service, which is an issue for clients. Get more awesome tips about cryptocurrency wallets here!
Before you end up as a victim, see to it that you think about your wallet’s security to keep it from getting hacked. You do not want others to be the one to benefit from your hard-earned cryptocurrencies for sure. Be responsible and make sure to choose what is the best wallet to store cryptocurrency and maintain the security of your cryptos.