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Which Is The Best Crypto Wallet To Store Cryptocurrencies Securely? [ The Ultimate Guide In 2021 ]

 Best Crypto Wallets to Secure Our Digital Currencies [The Ultimate Guide in 2021] If you are interested in holding bitcoin and other crypto...

 Best Crypto Wallets to Secure Our Digital Currencies [The Ultimate Guide in 2021]

Crypto-Wallet


If you are interested in holding bitcoin and other cryptocurrencies to get returns on them in the near future, you have to be very careful about the security of these cryptocurrencies. So the first question that arises is how to store these new currencies securely.

To store these cryptocurrencies you need to have a very secure and reliable thing called crypto wallet.

Crypto wallets are available in many shapes and sizes along with desktop, mobile and hardware wallets for almost all coins in the market.

In this article you will learn about the many different types of wallets. What are these wallets? And how do these wallets work? And most importantly, how will you safely use these wallets to secure your valuable cryptocurrencies.

We are going to cover the following topics as follows:
  • What is a crypto wallet?
  • What are public and private keys and what are their uses?
  • How can you keep your wallet safe & Secure?
  • What are the different types of Wallets?

What is a crypto wallet?

Simply put, a crypto wallet is an application or software where you keep your cryptocurrency safe and secure using a secure password. It also allows access using your private key-password to send and receive bitcoin and other cryptocurrencies.

There are two types of wallets used to store and access cryptocurrencies. One is "Hot Wallet" and the other is "Cold Wallet".

Hot Wallet is hosted on an internet-enabled device which make it easy to use.  But at the same time it is risky too.

Whereas Cold Wallet is stored offline, which is more secure than hot wallet. Since the Cold Wallet is not connected to the internet, make it more secure and it is almost impossible to hack. And this is the reason why it is preferred by most of the individuals who want to hold cryptocurrencies for long term.


What are public and private keys and what are their uses?

You must know about Public and Private Keys and its usage. Without using your public and private keys you can not access to your crypto-currencies. If someone sends you some crypto-currencies through a wallet, then he authorise the ownership of the crypto-coins from his wallet to yours by-way-of the keys.

And at the same time you also need to provide your public key for receiving the crypto-coins. You can say that the public key is just like an account number and it can be shared freely with everyone.

Since the bitcoin wallet address is a hashed version of your public key, and that's why this wallet address is utilized for sending and receiving the crypto-currencies.  Since this public key does not reveal the identity of the owner, and therefore the blockchain is considered to be "pseudonymous" (meaning a false name).

You should always keep in mind one thing which is very common nowadays, do not share this thing which is very important and confidential for you. And your private keys are also very important and confidential, and that is why it should never be shared with anyone.

Your private keys are not stored on a blockchain, but can be saved anywhere and stored offline via an encrypted file. These keys must be secured with paper (by taking a printout on the paper) or using some kind of hardware devices such as a hardware wallet.

Now, the question may arise, how do your keys interact with your wallet?

It is very easy to understand from the above information as your wallet is an encrypted key which contains all the information needed to access your crypto-currencies. And your wallet associates and keeps your wallet address along with your public and private keys.



How can you keep your wallet safe & Secure?

As the popularity of cryptocurrency is increasing day by day, hackers are trying to hack it more. So keeping it safe from hackers has become a challenge. 

So it is very important to keep it safe from hackers and for that you have to choose the best and high level of security to keep your wallet safe and secure.  Since there are different types of wallets available with different levels of security. So you have to decide for yourself which wallet is more secure for your crypto-currencies.

It has been observed that storing your keys online is always a high risk and an invitation for hackers. Whereas storing offline is more safe and secure.

You should also be careful and cautious to keep your wallet more secure. To increase the security of your wallet, you should follow the following points:-
1) Be regular to back up your wallet
2) Keep the software updated
3) Add some additional security features such as 2FA and
4) Verify your identity

Now it is up to you what type of wallet you use, but remember that if you lose your private key, you will lose access to your crypto-currencies forever.

I have the top 13 security tips for you to improve the security of your crypto-currencies.

With the increasing popularity of bitcoin and other cryptocurrencies, it has become more important for users to understand how to keep their valuable assets safe.


What are the different types of Wallets?

There are different types of wallets available to you. To help you choose the best out of it, I have provided here some of the most important wallets available for bitcoin and other cryptocurrencies.

To select the best crypto wallet you should be aware of the availability of different types of wallets. It matters according to your usage intent, security, mobility and cost factor. So before using any of them you should also be aware of the advantages and disadvantages of all the crypto wallets available in the market.

In this post I will try to provide every detail about each type of wallet and help you find the best fit for you as per your requirement.

There are 3 different types of crypto wallets in both hot and cold wallet categories. And the 3 main types of crypto wallets are as follows:
1) Software Wallet
2) Hardware Wallet
3) Paper Wallet



Let's talk about software wallets.

1) Software Wallet:

Crypto-Software-Wallets


As the name 'software' suggests, because they are connected to the Internet. Therefore, most of the 'software wallets' fall under the category of "hot wallets". Since there are many types of software wallets, but the most common of them are:
i) Web Wallet
ii) Desktop Wallet
iii) Mobile Wallet


i) Web Wallet:

As the name suggests, the web wallet is accessed through a web browser. Since the web wallet can be accessed through a browser, you do not need to download any kind of software on your computer or smart mobile phone.

Since the web wallet is accessed through a web browser, it can be accessed from anywhere. But you only need to have your password and device with web browser.

Since the websites often holds the key to your crypto, with a web wallet, therefore, you have a little less control over your cryptocurrencies.

There are some sites that provide Multisig Wallet (Multi-Signature Wallet), there are 2 keys. One is hold by the website and the other one is by you. Here you have more control over your web wallet.

Even though the keys to your assets are partially held by the website that provides the wallet, it is advisable to choose the site which is more safe and secure. Because at the end you are putting your assets or funds in their hands for safeguard.

ii) Desktop Wallet:
In a desktop wallet, you need to download an app to your computer. After downloading and installing it, the next step is to generate a data file that will hold your keys. And one more thing you'll need to do, to create a password to access the keys.

But before installing the app for desktop wallet on your computer, you should check beforehand whether your computer is free from any virus or malware. You will need to scan your computer and keep it updated.

One advantage of a desktop wallet is that you are the holder of your keys. But at the same time it is also important that you do not lose your password.

It is highly recommended to keep a backup of your data and store it elsewhere when using a desktop wallet. Not only will this provide an added security feature but you can still access your assets from anywhere else, or if anything happens to your computer, in that situation too, you can access it.


Example of Desktop Wallets:

There are many desktop wallets, but I will provide details about 2 best desktop wallets as follows:
a) Exodus Wallet
b) Atomic Wallet


a) Exodus Wallet:

Exodus Wallet is one of the most famous desktop wallets in the market, developed and maintained by the Exodus Movement Inc.  It is working since the year 2016, publicly traded company in the US. It provides the best security features for your assets.

Since Exodus Wallet is a non-custodial application for managing one's cryptocurrency funds and keys.

As a non-custodial app, Exodus Wallet stores the public and private keys for transactions, not cryptocurrencies.

However, Exodus and other apps are successful as they provide the best features to the users.

Exodus Wallet, not only protects your assets but also provides full support for your assets from multiple networks.


b) Atomic Wallet:

Atomic Wallet is also an example of one of the best desktop wallets available to crypto users.  Atomic Wallet also provides high level security and management of your funds.

Along with Windows, Mac and Linux systems, it is also available for Android and iOS apps.

Keeping in mind the simplicity and user-friendly interface, it has been designed for the users with all the knowledge and experience of cryptocurrency. It has been created enough to make it a perfect wallet to store your assets.

Atomic Wallet has an inbuilt swap function (Atomic Swap), which allows its users to swap their crypto coins to other coins. This is a great feature that everyone might like.


iii) Mobile Wallets:

Just like a desktop wallet, Mobile Wallet work exactly the same way.
The only difference is that the application that was installed on your computer as a large screen, will now be installed on the mobile device (using the mobile application) which is more comfortable to use. You can easily take your mobile anywhere.

Mobile wallets are more convenient and user-friendly. It is perfect for managing your portfolio while moving from one place to another. And it is very simple and easy to send and receive crypto assets to friends, family or anyone else.

Since mobile wallet provides more flexibility. Hence, you can exchange your funds or assets from anywhere and at any time as per your requirements. To buy and sell cryptocurrencies, you can simply use your QR code that comes with it.

If you can get more benefits by using a mobile wallet, you need to be careful about its security. Similarly 'Desktop Wallet', your 'Mobile Wallet' also needs to make it virus free and keep it updated to keep your assets more secure.

Since the mobile phone is more comfortable to use and portable to carry, it needs more attention so that it does not get lost easily.


Example of Mobile Wallets:

There are few mobile wallets, which have managed to prove themselves as the best and reliable mobile wallets for their holders.


i) Trust Wallet:

Trust Wallet is one of the most famous mobile wallet for cryptocurrency. It allows its users to always have complete control of their private keys with them.  It also provide security to their assets.


It Has over 5 million users. Over 3 million reviews, and 4.5 ratings on the Google Play Store. It has an average 4.7 rating and over 87k reviews on the App Store.


You can store crypto coins from all major networks. It also provides an additional layer of security which is the backup facility, in case something happens to your crypto wallet, you have the option to recover your assets or money.

There is an inbuilt web3 browser that allows to interact with popular DApps through Trust Wallet, it also provides the facility to access various exchanges.

Trust Wallet available on the following platforms:

1) Website: Trustwallet.com

2) Android: Google Play Store

3) iOS: App Store


ii) Ledger Live:

Ledger Live was founded in the year 2014 in Paris, and is known for its Ledger Nano X and S. It is a mobile associate to Hardware.

You can easily configure Ledger Nano X with Ledger Live, of the hardware approach of storing your cryptocurrencies. 

Ledger Live is available on the following platforms:

1) Website:ledger.com

2) Android: Google Play Store

3) iOS: App Store


iii) Coinbase Wallet:

Coinbase Wallet is one of the largest crypto exchange and has millions of users around the world. Its mobile wallet is one of the best and decent which is very widely used by its users.

It provides backup facility to its users, they can backup their private keys to the cloud. In case of losing equipment or keys, they can easily recover their money or assets.

This DApp facilitates the browser, and using it the users can access more in the app.

Ledger Live is available on the following platforms:

1) Website: wallet.coinbase.com

2) Android: Google Play Store

3) iOS: App Store


iv) Blockchain Wallet:

Blockchain Wallet is one of the favourite wallet. You can estimate the reputation of this wallet in the crypto world from the fact that it has over 72.8 million users.

It provides two options to its users which is custodial and non-custodial version. As you all know, private keys in custodial are owned by trusted third parties, whereas in non-custodial your sole control of your private keys is in your hands.

It offers many features like buying and selling and swapping. It is available in 25 languages, 22 currencies supported.

Ledger Live is available on the following platforms:

1) Website: blockchain.com/wallet

2) Android: Google Play Store

3) iOS: App Store


v) Freewallet:

It was the first who considered the need for a mobile wallet first for crypto wallet development. It is designed keeping in mind the mobile users and because of this it is a perfect wallet for mobile.

It offers many features like top-up mobile phone with bitcoin, multi-signature confirmation for each transaction. To reduce the risk of theft, it limits transactions per day or week. It offers the convenience of buying crypto with any cryptocurrency, with a credit card or gift card.

Ledger Live is available on the following platforms:

1) Website: freewallet.org

2) Android: Google Play Store

3) iOS: App Store



Hardware Wallet:

A hardware wallet is completely different from a software wallet. In a hardware wallet, your keys are saved on a physical device.

Hardware Wallets, work as a flash drive and it stores the private keys.  Since the hardware wallets are more secure and more convenient to store the cryptocurrency. Therefore, the first preference is given to this wallet.  Since the private keys are stored in a secure physical device, the cryptocurrencies stored in the wallet can be kept offline.  And whenever you require, it is easily available to use at any time and anywhere.

Since the device is kept offline, then it can't be hacked in that situation. It is so secured that it can be used with a device you don't rely on it.


Crypto-Hardware-Wallets


To use the Hardware Wallet you have the following benefits:

a)The first thing that makes it unique, you can keep it disconnected to the net where the hackers' keen eyes on your assets.   And as simple as you can keep it into your pocket or bag or some other place where you find the safe place.  

b) Any time whenever you require to send your assets, simply connect the device to the computer or any other device, enter your pin or password and send the funds or assets.

And after the work done, simply disconnect it and keep it once again in your pocket or anywhere else which is more safe.

The Ledger hardware wallet is more compatible with multiple apps and blockchains. This way, you can work with multiple cryptocurrencies using a single device.

As hardware wallets cost more than software wallets, it is advisable to use them in case there is a large amount of cryptocurrency, or to hold the asset for a longer period of time.


Example of Hardware Wallets:

Here are some examples of hardware wallets. From which you can choose the best for you.

i) TREZOR Wallet:

Trezor is one of the oldest and most trusted hardware wallets. The word 'Trezor' is Czech which means 'Vault', now you can understand about the security features. Trezor Wallet provides multiple layers of security for your funds.

Trezor Wallet is that which allows you to store, send and receive the various types of cryptocurrencies with full security feature.

In a Trezor Wallet, the private keys are stored on a physical device and not on a mobile, laptop or desktop computer.

The Trezor Wallet is a very small device that connects to your computer via a USB cable. It stores private keys offline and signs transactions to various types of cryptocurrencies such as Bitcoin (BTC), Bitcoin Cash, Ripple, Zcash, Cardano (ADA), Ethereum (ETH) etc. And the most important feature is that it can be used safely even on a computer or laptop infected with malware.

In Trezor Wallet, you need a PIN code after setup.
It provides top-notch protection against physical as well as virtual theft for bitcoins.

The Trezor Wallet can be backed up with a seed of 24 words generated upon setup. The seed of the original 24 words is generated from the device and computer or laptop using RNG. Since the seed is generated offline and displayed on Trezor's screen, it ensuring that the seed is never on an internet-connected device.

It provides an additional security feature where you can add a passphrase to the 24-word seed. After adding a passphrase to the 24-word seed, which becomes the 25th word, you must remember it because without it you can never recover the wallet. Since passphrase provides more security feature, but at the same time if you forget the passphrase, the wallet can never be recovered.

If you have lost your Trezor wallet, or it has been damaged in any way, you have a chance to recover it with another Trezor or other wallet such as Mycelium, or Electrum.

Trezor's screen allows you to confirm that you're sending to the correct recipient, but at the same time it doesn't prevent phishing attacks.

But the buttons in the Trezor Wallet, assure that hackers can't automatically send transactions from your device. To confirm each outgoing transaction, the button in the Trezor Wallet must be physically pressed.


ii) TREZOR Model T:

TRAZOR-Model-T
Source By: TRAZOR.IO

TREZOR offers the Model T, and it was launched in the year 2018. It supports over 12 major crypto coins and any ERC20 token.






TRAZOR-Model-T
Source By: TRAZOR.IO
It is designed keeping in mind the priority of safety. It has made it more secure with PIN protection, PIN lockout, touchscreen and with double verification for transactions.



TRAZOR-Model-T
Source By: TRAZOR.IO

It provides the facility to store Bitcoin (BTC), Bitcoin Cash, ERC20 tokens and 10 other currencies on the Model T. The only thing is that as of this writing it was available for pre-order in April' 2018.

TRAZOR-Model-T
Source By: TRAZOR.IO

Security is the first thing to consider when buying any crypto wallet device. Whenever you load up your Trezor Model T, your device will send a Firmware Verification request which will verify that your firmware is both official firmware and doesn't contain some malware lurking, and that it is also up to date.





iii) BitBox:

You can understand by the tagline of this Swiss hardware wallet- Bitbox as "Minimal Design. Maximum Security". It is very compact and portable. It provides the convenience of plug-and-play utility. Bitbox Wallet supports Bitcoin, Ethereum Classic, Ether, Litecoin and ERC20 tokens on the Ethereum network.

It offers 2-factor authentication, touch buttons and an LED indicator. It is considered more secure than desktop, web and mobile wallets. It provides control of your private keys. You can recover your coins if you lose your wallet or it is stolen. It supports wide range of coins and tokens. It costs about $71 plus a $23 shipping fee.


Paper Wallet:

A Paper Wallet is another type of Cold Wallet, printed on a piece of paper containing keys and QR codes and that facilitates cryptocurrency transactions. Since the QR code and keys are stored on a paper, they are automatically separated from the Internet connection. In the early phase of bitcoin cryptocurrency, Paper Wallets were considered the most secure as compared to any other form of crypto wallets.
Paper-Wallet

Since cold wallets are considered more secure, there is an inability to send partial funds or assets in the case of paper wallets. Incidentally if you lose the paper, you also lose your funds.

And the work process is done, but it takes time. All these vulnerabilities did not like the use of paper wallets. And it was considered obsolete in use.



Conclusion:

After reading this article you are knowing that there are different types of crypto wallets available that offer different types of security and features. And you have to choose the best one which will not only secure your crypto but it will also help you to focus on your profit.

Hardware wallet is the best and safest in my opinion to store your cryptocurrency investments. These wallets are known as cold wallets, which means they are offline, and which provide more security than hot wallets.



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  2. A: Wallets can be $9.95 to hundreds of dollars. OK how much do you love or not love your Dad...kidding aside, don't spend less than $20 on a gift wallet unless it is a card case wallet. That is a decent baseline figure for a decent enough very affordable wallet-anything beyond that and you are a great child! Lower than that, then the end product will usually reflect its price, and your Dad will likely leave you out of his will and spend more time with your brother or sister... NFT Mint Calenda

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