Cold Wallet Vs Hot Wallet: Which One Should You Choose?
If you are starting off as an investor in the world of cryptocurrency, you may have come across the terms cold wallets and hot wallets. The first thing you should decide as an investor is where you should be storing your cryptocurrency. There are quite a few options available including online wallets as well as physical wallets.
What are hot and cold wallets?
The most important distinguishing factor between both types of wallets is internet connectivity. A cold wallet is kept completely offline and is only accessible with explicit authorization at the end of the cryptocurrency holder. Online wallets or a hot wallet can be accessed anytime. When it comes to storing your cryptocurrency, you need to balance your needs between accessibility and security to help choose the right type of wallet.