wallets.com Open in urlscan Pro
51.77.126.232  Public Scan

Form analysis
1 forms found in the DOM

POST /

<form action="/" method="post" data-ajax-url="https://wallets.com/wp-admin/admin-ajax.php">
  <label class="hidden" for="q">Search for</label>
  <input type="search" name="q" id="q" value="" placeholder="Search for..." class="search__field ui-autocomplete-input" autocomplete="off">
  <input type="submit" value="GO" class="search__btn">
  <button class="search__close">×</button>
</form>

Text Content

Wallets.com Menu
 * Wallets
   Guides
   
   What is a Wallet and Which are the Best Ones?
   
   Wallets Types & Reviews
    * Desktop Wallets
      Desktop Wallets
      
      List of the Best Desktop Cryptocurrency Wallets
      
      Reviews
       * Exodus
       * Jaxx Liberty
      
       * Bitcoin Core
       * Electrum
      
       * Daedalus
       * Coinomi
      
       * Coinpayments
       * Copay
      
       * Neon
       * Toast
      
       * MyMonero
       * Eidoo
      
       * Green Address
       * Parity
      
       * Electrum LTC Wallet
       * Waves
      
       * MyCrypto
       * Litecoin Core
      
       * Armory
       * Agama
      
      ‹›
      
      Our Recommendation
      
      Best Multicoin and Multi-Plattform Wallet
   
    * Mobile Wallets
      Mobile Wallets
      
      List of the Best iOS and Android Cryptocurrency Wallets
      
      Reviews
       * Exodus
       * Jaxx Liberty
      
       * Electrum
       * MyEtherWallet
      
       * Mycelium
       * Coinomi
      
       * Coinpayments
       * Copay
      
       * Toast
       * Cryptonator
      
       * MyMonero
       * Bread
      
       * Xapo
       * Blockchain
      
       * Bitpanda
       * Eidoo
      
       * Green Address
       * Waves
      
       * Lobstr
       * imToken
      
       * ETHOS
       * Enjin
      
       * Agama
       * CoinSpace
      
       * TenX
       * Trust
      
       * Samourai
      
      ‹›
      
      
    * Hardware Wallets
      Hardware Wallets
      
      List of the Best Hardware Cryptocurrency Wallets
      
      Reviews
       * Trezor
      
       * KeepKey
      
       * Ledger Nano S
      
      ‹›
      
      
    * Web Wallets
      Web Wallets
      
      Full List of the Best Web Cryptocurrency Wallets
      
      Reviews
       * Jaxx Liberty
       * MyEtherWallet
      
       * Metamask
       * Toast
      
       * Cryptonator
       * MyMonero
      
       * Xapo
       * Blockchain
      
       * Bitpanda
       * GreenAddress
      
       * Waves
       * MyCrypto
      
       * Lobstr
       * LiteVault
      
       * NEO Tracker
       * OmniWallet
      
       * DogeChain
       * CoinSpace
      
       * Counterwallet
      
      ‹›
      
      
   
   Best Wallets
    * Bitcoin Wallets
    * Ethereum Wallets
    * Other Coins and Tokens
      Wallets by Coins
      Ripple
      Litecoin
      Bitcoin Cash
      Monero
      Iota
      Neo
      Zcash
      SiaCoin
      Dogecoin
      Cardano
      Tron
      Verge
      Dash
      Stellar
      Bytecoin
      EOS
      Vertcoin
      Bitcoin Gold
      Nano
      NEM
      Zclassic
      Digibyte
      Burst
      Decred
      Waves
      VeChain
      Ethereum Classic
      ZenCash
      Steem
      NXT
      Reddcoin
      Aeon
      Ark
      Stratis
      Qtum
      ICON
      Lisk
      BitShares
      Pivx
      Factom
      Ubiq
      Ravencoin
      ‹›
      
      
      Wallets by Tokens
      Golem
      OmiseGO
      Tether
      Eidoo
      TenX
      ‹›
      
      
      Download Jaxx Liberty now for Mac OS X, Windows, and Linux.
   
    * More Topics

 * Exchanges
 * Coins
 * Tokens
 * Mining
 * Staking

 * Blockchain
 * Nodes
 * Algorithms

 * Security
 * Regulations
 * Glossary

Search for ×


THE BEST CRYPTOCURRENCY WALLETS – GUIDE AND REVIEWS

….

There are so many wallets in this wide crypto sphere and users frequently ask
themselves the question how to choose the best one. If you’re a beginner and
you’re interested to better understand the topic before you make a final
decision, I strongly recommend you start with the guide first. Anyway, right
after it, you’ll find also a table of all our cryptocurrency  wallet reviews. 
Finally, this webpage aims to show you everything you need to consider when it’s
up to a wallet’s features, such as security, anonymity and privacy. Scroll down
and absorb all the know-how necessary to choose the best wallet for your crypto
coins.

The Best Crypto Wallets

and how to find them

Find Your Wallet Here!
 * Starting GuideWhat is a Wallet and why I do need one?
 * Wallet TypesOverview of Applications with all their Pros and Cons
 * FAQ and FactsCommon questions answered and some interesting facts

Back to top
 * Starting Guide: What is a Cryptocurrency Wallet and Why do I Need One?
 * The Best Crypto Wallet and How To Find It
 * What You Can Do With a Wallet
 * Overview and Comparison of the Different Types of Wallets
 * Basic Security Measures You Should Know
 * FAQ

Close


01.STARTING GUIDE:
WHAT IS A CRYPTOCURRENCY WALLET AND WHY DO I NEED ONE?

For the purpose of using crypto coins, you need to have your own wallet.
Differently, to the pocket wallet, you’re not actually keeping your assets
inside. Cryptocurrencies and all the transactions related to them are stored in
the blockchain. So, basically, the wallet is the key to access your funds.

If you’re interested to know some more about the wallet’s features and what else
you can do with it, then jump directly to the dedicated  section.  Anyway, in
order to find the most suitable wallet, you should first think of the coins you
want to interact with. Let me invite you to check on my  coin list  to have a
better overview how proceed. Some of you might be interested in how the wallet
works to get more aware with the basics – if this is the case just keep reading.


WALLET ACCESS: THE IMPORTANCE OF PUBLIC & PRIVATE KEYS

At the moment of initially creating your wallet for the cryptocurrency, you
receive a couple of public and private keys to enter the blockchain
database. Think of your public key as your bank account number – this is your
wallet ID, also called address. Whenever someone would like to send you a number
of coins, he’ll need your public key. The private key is another story. Here, we
observe a different nature – it’s strongly recommended to keep it safe and only
for yourself. Why? Use it as your password to protect your funds. It gives you
all the control to sign transactions via cryptographic signature, which is a
must-have condition to send it to another user. The one who owns the private key
has all the funds in the public one.



A bit worried about your funds’ safety? No need – the consensus method,
implemented in the cryptographic process ensures that nobody can fake
transactions in the blockchain. There is no room for any manipulations, no
central authority to change the rules. Simply the blockchain technology, which
makes us all so excited, that we can’t hide it.

Safety hints:

Safety

Threats aren’t just theoretical. The digital nature of crypto is open for scams
on a daily basis. What is more, wallets are the entry point to your wealth,
which makes them a target group for hackers. Here’s the time to feel responsible
for everything you might want to do. There’s no institution to protect you,
respectively no restrictions to rely on. It’s the freedom to send or receive
funds, which comes with the heed to preserve them. 

Key

Losing your private key, means completely dropping control of the assets in your
wallet. If you’re not some kind of a mnemonist who’s able to memorize a 40-digit
alphanumeric public address and 64 symbols of a private key, then you’re
completely done with ever accessing your coins. Having your credentials – you
and only you might be a bit too much of a load to carry on. If you somehow lose
it – there’s no recovery, no support and no way back.

Backup

For the sake of avoiding such cases, you should always backup your wallet. You
know what? Even when I backup, I print multiple copies of my pass phrase and
password and hide them in different locations. I really don’t like the idea that
someone may have unlimited access to my funds, so I always do a backup of my
backup. This and much more details find in the  backup section.

Jump Ahead to Learn More About

What can I do with a wallet?

or

Check the Top Wallets Below


02.THE BEST CRYPTO WALLET AND HOW TO FIND IT

There isn’t a universal wallet, matching all kind of user needs. Depending on
what you’re planning to do with it, there are different types of crypto wallets
to satisfy your expectations. First and foremost is the question “What coin you
want to use?” because wallets are compatible to a limited number of blockchains
only, sometimes they are compatible to only one coin. If you know the answer to
that question, click in the following table the coin/token you are interested in
and you can read crypto wallet reviews that would make your choice easier.


POPULAR COINS AND THEIR MATCHING WALLETS

Bitcoin (BTC) Ethereum (ETH) Ripple (XRP) Litecoin (LTC) Bitcoin Cash (BCH)
Monero (XMR) Iota (IOT) Neo (NEO)

There is an alternative Option to find the best cryptocurrency wallet for you.
You can also first think about the wallet type you most likely want to use,
which means how you want to handle your coins. After that decision there is
still the question what coin(s) you want to use but we will present you already
a nice option suitable for most of the important coins.

WALLETS BY TYPE

Type Use Case Top Performer Essentials Get Wallet Desktop Wallets

A software to install on your PC to access your assets

Exodus Full Review

Hierarchical Deterministic

ShapeShift

Single-Factor Authentication

Download Hardware Wallets

Offline device keeping your keys with whom you access your coins

Ledger Nano S Full Review

Hierarchal Deterministic

Two-Factor Authentication

Paid Usage

See Pricing Web Wallets

A cloud service, which is reachable via any browser

Blockchain Full Review

Two-Factor Authentication

Hierarchal Deterministic

Lack of Key Ownership

Register Mobile Wallets

A mobile application serving you as an access point

Jaxx Full Review

Multi-Platform

ShapeShift

Single-Factor Authentication

Download

Learn More on the Different Wallet Types

or

Continue With Learning How to Use a Wallet


03.WHAT YOU CAN DO WITH A WALLET

Here, I would like to start with a short summary on everything you’re about to
read in this section, for the purpose of feel completely free to jump directly
to what interests you most. Check it out:

Standard Use Cases and Wallet Features

 * Check Your Balance, Send and Receive Funds
 * Create a New Wallet Address
 * Backup and Restore Your Wallet
 * Fee Control
 * Create QR-codes for Sharing Your Wallet Address
 * Staking for Passive Income
 * Exchange Coins Within a Wallet or Trading Website
 * Act as a Full Node to Support the p2p Blockchain Network

How to Use a Cryptocurrency Wallet?



Something’s missing? Let me guess, you’re probably thinking of the so-called
mining? Well, in order to mine, you’re not supposed to have a special kind of a
wallet, but simply one to keep your mined coins it.


CHECK YOUR BALANCE, SEND AND RECEIVE FUNDS

As you might suggest, these are the basic functionalities a cryptocurrency
wallet should give you the opportunity to use. Checking your balance is an easy
to perform action, which requires you to simply start the wallet and login.
Starting up sometimes might be via browser, software or app, depending on the
wallet type. And logging is related with entering either a password or a pin. It
all comes to the security features and level. If that is what you are mostly
interested in, jump directly to the Security section. Back to balances, when you
start your wallet, usually you’re about to see your balance. If it’s a
multi-coin supporting one, there will be a portfolio with all your assets and
their amounts in your possession.

 * 
 * 
 * 

Receiving funds is nothing but sharing your public key for the sake of receiving
some coins into your wallet address. Simply copy and paste it to the person
who’s going to send you a transaction to avoid any mistakes by typing it
manually. Doesn’t matter the channel you choose, you can do it via email, social
accounts or even a written letter. Instead of sharing it, you can also create a
QR-code to scan with a smartphone’s camera, in case the wallet supports this
feature.

Sending isn’t much harder when compared to receiving. Type in the amount of
coins you would like to send in the supported currency – either a coin or
national one (USD/EUR), enter the recipient’s address and hit the ‘Send’ button.
There’s only one element of this process worth discussing it and that’s the fee
control, which gives you the option to adjust fees.


CREATE A NEW WALLET ADDRESS

For the very first usage, you’ll need to create a wallet address. This a complex
and complicate to perform process, which is slightly facilitated to clicking a
single button “create address”. The software will generate you a random couple
of public and private key, based on the cryptographic algorithm, used in the
blockchain. Once you do this, you’re ready to receive funds by sharing your
public address with the person who’ll send assets to you. In the moment you
receive your first transaction, it will appear directly into the blockchain,
doesn’t matter that your address is newly created. Here the place to mention
that right after you create your wallet, you should definitely back it up, check
the following section to understand why. Nevertheless, there’s another option.
Some wallets directly create you an address with the initial set up, so there’s
no need to additionally do so. Check the review of the cryptocurrency wallet you
have choose to adopt the step-by-step guide on how to use it.




BACKUP AND RESTORE YOUR WALLET

As already mentioned, if you lose your keys you can no longer access your
wallet. So, before you put some coins in it, don’t forget to back it up.

Usually, there’s a built-in back up option in each wallet, which requires you to
simply click the button and save a file. Some of the wallets offer the
opportunity to back up once your funds, including all the different coins in it,
others – don’t.

Of course, there’s also another option, which you might consider. It’s based on
your pass phrase (generated from the seed) which is strongly related to your
private key.

Back up and restore via .dat file

Once you extract the backup file, keep it in a safe location. When the restoring
time comes, replace the .dat file with the backed up one. Consider that your
wallet should be empty when performing this procedure, otherwise your funds will
get lost.

Back up and restore via pass phrase

When the seed is generated save it well. When you decide to restore your crypto
wallet, you’ll need to enter the words from it.


FEE CONTROL

Each transaction requires some fees to get broadcast. Of course, It’s way lower
when compared to the bank’s one, but it still depends on the blockchain. If the
wallet supports this functionality, you can set your own fees. What you need to
know here is that miners are choosing transactions to put in the next block. How
do they make their choice? It’s pretty simple – they pick the transactions with
higher fees to include in the next block, so the ones with lower fees are
somehow in a pending mode. This happens because fees are the miner’s reward, so
if your transaction is truly important, you should consider setting a bit higher
fees to ensure it will get its place in the next block. However, if you want a
faster performance, you can raise it even more for the purpose of get included
as early as possible. I suggest you adjust fees only in case you’re enough
familiar with the thematic and understand how the blockchain technology works.
Otherwise you might experience some issues from avoiding the automatically
suggested fee. This dynamic model is regulating the balance between the number
of transactions loaded in the blockchain and the estimated time to successfully
broadcast them to the public ledger. A good example of fee controlling wallet is
MyEtherWallet.


CREATE QR-CODES FOR SHARING YOUR WALLET ADDRESS

In order to facilitate each transaction, wallets often offer the option to
export your wallet address in the format of a QR-code. This is a small graphic
image, created from black and white pixels, which you can print and show to
someone. The sender has to scan it with a mobile device, and this automatically
gives him your wallet ID, where he can send you a certain amount of coins. This
is considered as an easy and convenient solution for people, using mobile wallet
apps.

 


STAKING FOR PASSIVE INCOME

I won’t sugarcoat the truth – this is an option for more experienced users. The
idea behind is to aim for a passive income, while supporting the network. You’re
supposed to keep your cryptocurrency wallet online 24/7 and lock an amount of
coins for the purview of staking. For being part of the network, you’re going to
be rewarded. How do you participate exactly in the process? Well, you’re
verifying blockchain transactions without scamming or trying to manipulate the
network, because otherwise you’ll lose your funds. So, this isn’t just an
investment, but more or less a responsibility you take when becoming a full
node.

Anyway, this option is available only when speaking of coins, based on the
Proof-of-Stake consensus mechanism (this is totally different from the
Proof-of-Work, also knows for mining purposes). Some of the most profitable
project to consider for staking purposes are PivX and Particl. The number of
coins you’ll have to lock in your wallet is usually a substantial investment and
the interest rate is realistically around 1%. How to proceed in this case
scenario? Download and sync your wallet and unlock your coins for staking. Just
keep in mind you’ll need to store the blockchain’s size on your PC and this
might mean hundreds of gigabytes. As already mentioned, staking’s initial idea
is to support the network by becoming a full node but think of it also as an
investment to try your luck on. Check some more interesting details on the
website Staking.com.


EXCHANGE COINS – WITHIN A WALLET OR A TRADING WEBSITE

In multi-currency wallets, you frequently have a built-in exchange feature to
easy switch funds from one coin to another. For example, if you hold 10 bitcoins
and you decide to change one of them into ethers. You have to simply click the
exchange function in your wallet, pick the coins types and the amount you would
like to swap. Some of these implemented features support en equivalent of the
amount in a national currency (USD/EUR). A good example is Exodus, with its
feature called ShapeShift, more on which you can read in the detailed review.
Just have in mind that this easy to use service might charge you with higher
fees. So, if you’re willing to have the best price, you might want to finally
use an exchange. There you can also cash out your coins into fiat currency or
buy some other assets.


ACT AS A FULL NODE TO SUPPORT THE P2P BLOCKCHAIN NETWORK

Supporting the blockchain network is usually a principle, reincarnated in a
coin’s official wallet. I personally consider it a passive action from the
user’s side, but it might be extremely important for the project you’re
connected to. It all comes to downloading the whole blockchain to serve as a
full node. This way you’re becoming part of the peer-to-peer network by
validating transactions and working in cooperation with other nodes.

As soon as you run your wallet, the process will start automatically when you
sync the blockchain with your device. Once again, note that the blockchain’s
size might be huge, depending on the coin, so there will be a constant traffic
at your internet connection. This is the reason why most of the multi-coin
wallet are working as light nodes, otherwise it might take forever to sync with
all the coin’s blockchains.


04.OVERVIEW AND COMPARISON OF THE DIFFERENT TYPES OF WALLETS

As I reviewed in the guide section, a cryptocurrency wallet is just your access
to connect your funds, which are stored in the blockchain. You can use your
couple of public and private key via different devices – from your desktop, your
handy or a third-party service website. In this section, I would like to explore
the different types of wallets and give you some hints on all their strengths
and weaknesses in the diversity of their usages.

Type Pros Cons Desktop

Pros

Ensure privacy, easy access and TOR anonymity

Cons

Susceptible to hacking attempts

Mobile

Pros

Practical and simple, suitable for trading

Cons

Can suffer viruses, keyloggers and malware attacks

Web

Pros

User-friendly for sending and receiving

Cons

Private keys are saved on a third-party server

Hardware

Pros

Most secure for long term holding and saving

Cons

Need batteries and cost money

Paper

Pros

Best for saving and more secure than the others

Cons

Can get damaged with time or stolen


DESKTOP WALLET

As you might imagine, this is a wallet, you’re installing on your desktop,
usually in a Windows edition, but most of the wallets already offer downloads
for other operation systems, such as Linux and MacOS. This is the most commonly
offered wallet type, because each project wants to propose the option to their
users to become a full node and support their network. This happens by
downloading the software and taking up a lot of hard disk space. This is the
reason why users frequently use a third-party service – to avoid the blockchain
size issue. An excellent for a desktop wallet is the most popular in 2018 Jaxx
wallet. I want to mention also the opportunity to use a browser extension when
it comes to Chrome and Firefox.


MOBILE WALLET

Looking for simplicity and ease of use? You’re always on the go and need a
wallet to follow you anywhere at any time? You’re definitely looking for a
mobile one. Download it from your app store in either Android or iOS version.
Just keep in mind that not all the wallets are compatible to both operating
systems, so check twice before you download whatever. If the wallet doesn’t
support it, but there’s an option to download it anyway – it might be a scam.
Want a wallet name to search for? You should definitely consider Coinomi.


WEB WALLET

Sounds familiar to you? Yes, this is simply a website – an internet service to
hold and manage your coins with. An easy to use and access wallet from any kind
of device, which is connected to the internet. Unfortunately, you rarely possess
control over your private key. That’s why it’s considered a vulnerable to hack
attacks type, where you need to count on the integrated security measures and
nothing else. An example? I suggest for sure the Guarda one.


CRYPTO EXCHANGES

When you use a crypto exchange, it automatically provides you a wallet address
for respective reasons. There’s no way to operate with coins without it and
perform actions such as buying, selling or trading. You don’t have a full
control over your private keys here and this is what makes exchanges a prime
target for hack attempts. It’s safe to transfer and exchange coins, but I don’t
propose it as an option to store large amount in it. Let me point you out some
of the most trusted and reliable exchanges with lots of currencies supported:

BEST EXCHANGES FOR 2023

Exchange name Deposit methods Supported assets Essentials Try it Binance Full
Review Cryptocurrencies BTC, XRP, ETH, NEO + 150 more

Large number supported assets

No fiat deposits

REGISTER NOW BitFinex Full Review Fiat bank transfer BTC, BCH, LTC, EOS + 35
more

Very advanced platform

High trading requirements

REGISTER NOW CoinBase Pro Full Review Fiat bank transfer and CC BTC, ETH, ZRX,
LTC + 2 more

Credit card deposit

Few tradeable coins

REGISTER NOW


PAPER WALLET

Here, you’re not able to manage your coins, but just keep them offline and safe.
You’re basically printing out a piece of paper with your public and private key
(as a string or a QR-code). The thing is that you should keep this one extremely
secured and make multiple copies. They in turn should be stored in various
locations, as to make sure you’ll always have at least one safe, no matter what.


BRAIN WALLET

This isn’t really a wallet to do something with, but more or less a highly
secured idea on how to keep safe your funds. I’m talking of memorizing your seed
phrase without recording it anywhere. Literally keep it your mind using
different memory techniques. I don’t recommend you try this one, because of
something happens with you – maybe forget it or become permanently
incapacitated, your funds will be lost forever.


OTHER IMPORTANT FACTORS TO DIFFERENTIATE WALLETS

In this section, I would like to show you some classifications when it’s up to
wallets and what are the basic difference in their technical concepts. Let me
first sum it up for you:

More Ways to Distinguish Between Different Wallets

 * Single and Multi-Coin Wallets
 * Cold and Hot Wallets
 * Full Nodes and Light Nodes
 * Deterministic and Non-Deterministic Wallets
 * Custodial and Non-Custodial Wallets



SINGLE/OFFICIAL VS MULTI-COIN/THIRD-PARTY WALLETS

 

We’re witnesses of many interesting crypto projects out there born every single
day. It’s totally normal that some of you might want to support and use more
than one, so here it comes the purpose of the multi-coin wallets. Third-party
providers offer the opportunity to have larger portfolio of services for users
who doesn’t want to stick with a single coin. Official wallets are single coin
ones, which are supporting the particular project’s asset on the current
blockchain platform. Despite this restriction, these wallets are still in usage,
regarding the development of the coin and the opportunities to support its
network. In fact, there you can profit one of the most advanced function when
handling your coins. Ultimately, have a look at the  coin list, where you’ll
find a link to overview a coin’s wallet options and also the multi-coin wallet
supporting your asset. In breve, this option is perfectly described in the  Jaxx
wallet  review – one of the most popular wallets nowadays.

COLD VS HOT WALLETS

I consider this classification as one of the most frequently used, so you’ll
need to really understand the difference between these two. When you read ‘hot’
wallet, you’re supposed to think of internet connection. This is a whole the
time online wallet, which makes it vulnerable and likely to get compromised.
This is because a hacker can easily get access to your device and steal your
keys. To prevent it, you should increase your security level, which highly
depends on the overall measures of your operation system.

When people say cold wallet, you should imagine an offline for most of the time
connection. Keys here are stored in a manner which is way harder to access them.
You have to bring your device online only for short periods of time, for example
when broadcasting a transaction. A popular representative, you might be familiar
with is the hardware  wallet, which requires you to approve a transaction using
the device’s button (no hacking attempts possible). If you want a name to read
some more about, I strongly recommend you Ledger. It’s not like It’s much more
different when compared to Trezor, but it’s adapting features faster and aims
for an innovative nature. Want an example – check the cooperation between Ledger
and Particl. Just for the record – Trezor is still in negotiations with Particl.

FULL NODES VS LIGHT NODES

Every device connected to the peer-to-peer network is considered a node. There’s
a difference between the different types of nodes, their functions and purposes,
so it would be good to clear it now. A full node is verifying the consensus
rules and that’s why it contains all the blockchain information. 

Node Type MIN Free HDD Transactions Check Sync Time Support Network Full

Yes

Yes

Slow

Yes

Light

No

No

Fast

No

A light node on the other hand don’t download the blockchain locally but connect
to full nodes when need any information. This is very useful for
third-party desktop wallets and also mobiles, because of the lower disk space
requirements.

DETERMINISTIC VS NON-DETERMINISTIC WALLETS

The distinguishing here is based on how the cryptocurrency wallet is initially
created (regarding its keys). If the couple of public and private address is
randomly generated, it’s called a non-deterministic wallet. On the other hand,
if it’s based on a seed, which is reproduceable, then it’s considered
deterministic. If you’re in a situation to recover and restore a deterministic
one, then you simply use the seed. For the non-deterministic, you use the back
up before restore option. What about their usage? Well, deterministic are for
example the  hardware  wallets. If you carefully store the seed, even if you
lose the device, you’ll be able to save your funds.

CUSTODIAL VS NON-CUSTODIAL WALLETS

The classification here is concerning the way a pair is handled – your full
control or a third-party intervention. When speaking of custodial wallets,
someone else is in charge to care about your private key – you rely on the
service and use the security they provide you. Non-custodial (hosted) wallets
give you full control over your private key, respectively you’re responsible to
keep it safe. Situating the theory in practice, I observe that web wallets
and  crypto exchanges  are mostly custodial representatives. Nevertheless,
desktop and mobiles can also be custodial.


05.BASIC SECURITY MEASURES YOU SHOULD KNOW

You don’t need to be a security expert to keep you funds safe. There are several
easy to follow rules and security options you might consider using. I’m going to
stop by to the most important security features, as well as some general advices
on how to proceed if security is your most important criteria to choose the best
cryptocurrency wallet for yourself.  


GENERAL SECURITY OF YOUR DEVICE

Security isn’t always up to the wallet, but it also depends on the system,
running your device. There’re frequently experience issues such as malwares,
viruses and trojans, which can catch keystrokes and screen captures to find out
keywords. Such programs can even change the transactions you send to the network
by changing the recipient’s address. That’s why, I recommend you ensure your
firewall (keep it always up-to-date), put some virus protecting software and
everything else applicable to your operation system. Another hint I would like
to reveal you is to always check the website’s domain field: it should begin
with HTTPS, rather than HTTP and the padlock sign next the URL should always be
in green. Never open any suspicious or unknown links, sites, apps or whatever
and this way you’ll avoid any general security issues.


PASSWORD PROTECTION AND ENCRYPTION OF KEYS

For the purpose of securing hot wallets, keys are often stored in your crypto
wallet in encrypted form, which can be accessed only with a password, which
opens the software. So, always choose a strong password, but also keep your
system safe nonetheless, because any keylogger can catch and transmit your
password to a hacker. Most of the wallet types  usually use a password to
restrict the access to it.


TWO-FACTOR AUTHENTICATION

This is an additional security layer, which requires a second confirmation
before a transaction gets broadcasted to the network. If a hacker enters your
wallet and aims to steal your funds, he would need an additional information to
do so. You can put for example an email or SMS confirmation to request you each
time you send some coins. This way you’ll be always aware of what’s happening
and might try to prevent it. An example of wallet with a 2FA is Coinbase.


MULTISIGNATURE

This is considered a security feature, because it requires several people to
confirm a transaction before it gets send. This is usually used by shared or
company accounts, but you can also do it for the sake of securing you
assets. Electrum is a good example of a wallet that has implemented this
feature. Visit the in-depth review to learn more about its additional privacy
and anonymity functions.


HOW TO SAFELY STORE YOUR BACKUPS

Even if I already cleared the importance of the backup as a process itself, I
would like to one more insist on how important is it to keep your back up copy
safe. Start with making sure you have it on multiple places and ideally go
offline to rule out any possibilities to get hacked from using different data
storages. You can save this in a USB drive, SD card or even a paper wallet, just
keep the storing device offline. And again – not only putting it to different
devices, but keep it in different places, such as bank vaults. 

Finally, it’s all up to the amount you’re planning to store. If you have ten
dollars inside your device, it’s probably not worth it to hire a deposit box to
keep it safe. But if speaking for a hundred thousand, you might think in another
way, don’t you? Ultimately, don’t put on crypto more than you’re ready to lose.

In a word for paper wallets, either if you choose a tool or simple download
option, in both cases you’re using a browser to proceed. So, make sure you’re
out of the internet connection when typing your private key. And remember, even
if it looks trustworthy, even a single package send is enough to give away your
savings.

 * In case of using a web service, close the browser after you’re done and check
   if no cookies for this website were saved (if yes – delete it).
 * In case of download tool, after you close it stop all the background tasks
   running before you get online again.


06.FAQ


 * HOW TO CHOOSE A WALLET FOR TOKENS?
   
   Even if they’re not coins itself, they are based on the same blockchains as
   coins. Easily created with simple structure of establishing. Normally, you
   can use the official wallet of the blockchain, on which the token was based.
   Since tokens are developers’ implementation, you’ll also support the network.


 * WHAT HAPPENS WITH TWO USERS RECEIVE THE SAME KEYS?
   
   Creating the same public key by chance would means the same private one too.
   This is mathematically unlikely event, but it’s not completely impossible. As
   an example, let’s take an address with 32 characters – a Bitcoin address
   ranges from 26 to 34 bytes and Ethereum’s ones are around 40 chars. One byte
   has 8 bits, 32 bytes are 256 bits, which means there are 2^256 possible
   combinations. This is insanely huge number with around 77 digits – roughly
   the estimated number of nucleons of the whole observable universe. Therefore,
   you don’t need to worry about this.


 * WHAT HAPPENS IF I LOSE MY PASSPHRASE?
   
   Unfortunately, if you lose your passphrase your funds are most probably lost.
   Some wallets provide multiple recovery options of your password via pass
   phrase but if you lose the last-mentioned, you should most likely consider
   creating another wallet.


 * WHY I WOULD LIKE TO CHANGE THE WALLET’S FEE?
   
   The higher fee you place, the faster your transaction will get broadcasted.
   The reason behind is that miners receive it for their contribution in the
   network (validating and adding transactions). If you put a higher fee, your
   transaction is most likely to be added in the next block.

William Carter

I am confident that you are finding the content to be a well-balanced read that
instills confidence. Please rest assured that the most diligent care has been
taken in source selection and that no resource has been spared in performing
practical testing on the products. The goal is to establish a community of
returning visitors that trust the website as a key reference.

Follow me to know all news

 * Twitter
 * Facebook

Wallets.com
 * About Us
 * Sitemap
 * Terms & Conditions
 * Privacy policy

Follow us

 * Twitter
 * Facebook
 * Instagram
 * LinkedIn