Since the first bitcoin was launched in 2009, the world of cryptocurrencies has continued to grow, with new types popping up almost every day. Even with news about the possible collapse of cryptocurrencies, they have continued to exist and appreciate in value, making them an exciting asset for most investors.
While most people see bitcoin as a private and secure currency, it is not without risk. To ensure bitcoin for privacy and security, users have to choose a suitable wallet to protect their finances.
What is a crypto wallet?
Cryptocurrency wallets are safety vaults that store private keys or passwords needed to access your cryptocurrency. These safe and reliable wallets make it possible for you to receive or send cryptocurrencies like dogecoin, bitcoin, or Etherium. They are available in different forms, including hardware options that look like USB sticks and mobile apps like the Coinbase wallet.
Safest cryptocurrency wallets
Hardware cryptocurrency wallets
With new-age hardware cryptocurrency wallets, you can store at least 22 cryptocurrencies and more than 500 ERC-20 tokens.
A hardware wallet is simply a hardware device specifically made to store public and private keys. These are usually USB devices with an OLED display and tap buttons that can be used to navigate the user interface.
Some hardware cryptocurrency wallets come with desktop applications that make it easy to connect the device to a computer when you need to access your cryptocurrencies.
Rated as the most secure cryptocurrency wallets to use, hardware wallets are highly recommended for long-term investors interested in buying and storing their cryptocurrencies for a prolonged period.
The most popular hardware cryptocurrency wallets include Safepal, Cobo Vault, Ledger, and Trezor.
Paper cryptocurrency wallets
Even though they are not as popular as they were a few years ago, paper cryptocurrency wallets are the second most secure cryptocurrency wallet option.
To store your cryptocurrency on a paper wallet, you first need to print the security keys on paper then transfer the keys to the paper wallet. This is a form of cold storage you can use for offline storage of your cryptocurrency.
Most people do not like using paper crypto wallets because they require high technical knowledge and caution to use. This is why most cryptocurrencies do not offer paper wallets.
Desktop cryptocurrency wallets
Rated as the third safest method of storing cryptocurrency security keys, desktop wallets include brands such as Electrum, Bitcoin Core, and Exodus.
Desktop cryptocurrency wallets are defined as hot wallets available in the form of software packs that can be installed on a desktop. They support most computer OS like Windows, Linux, and Mac.
To use a desktop crypto wallet, there are some basic security guidelines you need to adhere to, especially since your computer is connected to the internet. Among these guidelines, the most important ones are ensuring your firewall is set up and using the best anti-malware program.
Whichever cryptocurrency wallet you choose, always perform regular backups of your wallets to guarantee their safety.