Different Types of Crypto Wallets

What’s up CryptoPeeps it’s your girl, Kyla, here to deliver your daily dose of Bitcoin news! By now you should know that bitcoin is not like most traditional currencies so the approach of acquiring and storing this digital currency is completely different Like physical money, where you use a bank account to store it, you also need a place to store your bitcoin- this is called a ‘Wallet’

A bitcoin wallet resembles, as what I said, your bank account and it lets you send, receive and store bitcoins It holds the private key that allows you to access your bitcoin address There are different types of Bitcoin wallets that caters for different requirements In this video we'll discuss these wallets and their features and hopefully you can choose one that suits you It is important to remember the Bitcoin wallets can be classified as either hot or cold What's the difference? A hot wallet is online and connected to the Internet while a cold wallet is offline and disconnected from the internet Generally hot wallets are easier to set up and access however this makes them more susceptible to hackers and other technical vulnerabilities A ‘cold’ wallet being not connected to the internet is more secure thus is recommended for storing large amounts of bitcoin

Think of it this way, a hot wallet is your pocket wallet that you can bring anywhere While you're cold wallet is like your bank vault that is too valuable that you can actually bring everywhere So there are several different types of Bitcoin wallets catering for different needs in terms of security, convenience, accessibility and so on One is a paper wallet These are printed documents which contain a public address and a private key The public address is used to receive bitcoins The private key on the other hand allows you to spend or transfer bitcoins stored at that address The main advantage of a paper wallet is that the keys are not stored digitally anywhere, which makes it immune to hacker attacks malware and basically any form of digital theft Hardware wallet is a unique cold storage type of Bitcoin wallet that stores the users private keys in a storage hardware device It is the most secure way of storing any amount of Bitcoin Since they are offline and it generate the keys on the device Another is a desktop wallet This is designed to be downloaded and installed on laptops and personal computers for storing your private keys on your hard drive The desktop software gives you complete control over your coins Meaning you don't have to trust a third party to lose or steal them if you are actively using bitcoins on a daily basis Then the mobile wallet might be for you

A mobile Bitcoin wallet is an essential tool that runs as an app on your smartphone Storing your private keys and allowing you to pay for things directly in your smartphone, but take note Despite being on the go solution for Bitcoin storage, mobile wallets are very prone to hacker attacks online Wallets are the easiest to use among all different types of hot wallets Generally, you can access your Bitcoin from any device If you have the right passwords and internet connection There are third-party wallet service companies that lets you store your private keys The wallets on these platforms allow their users to access their funds on the go One of the leading Online wallet provider is Paxful It is a peer-to-peer marketplace with over 300 ways to buy Bitcoin When you create a Paxful account You also enable your free Paxful wallet That's everything you need to know about bitcoin wallets Did you find a wallet that would suit you? Let us know in the comments section below

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