Crypto wallet is designed to keep your cryptocurrency secure. Crypto wallet is the most important tool for every crypto investor.
Cryptocurrency is designed to be an alternative to the current fiat currencies like US Dollar (USD) or the European Euros (EUR), and like any money out there, cryptocurrency also needs a wallet. Wallets that are used to store cryptocurrency are called crypto wallet.
Every Crypto Investor Must Have a Crypto Wallet
Crypto wallet is one of the most important tools for a crypto investor because it is where investors store their assets. Not only does crypto wallet store cryptocurrency, but it also has many other functions like crypto trading, buying, staking, investing, and access to DEFI (Decentralized Finance). Crypto wallet is a one-stop tool for investors to manage and invest in their BTC, ETH, DOT, XRP, ATOM, and more.
How does a Crypto Wallet Work?
When you want to create a new account on a crypto wallet, you will be asked to create a new private key. Most wallets will automatically generate a private key for you once you set your username and password.
Private keys are a unique set of randomly generated numbers and letters that is unique only to your crypto account. It is used, like a key, to verify every of your transaction on the blockchain. Because it can verify whatever happens to your crypto account, the private key is very confidential and must only be known by the account's owner.
From the private keys, public keys are generated. Public keys are then derived to become your crypto addresses. This is where your crypto is stored and how other accounts will send crypto to you.
With the combination of the private key and public key, your crypto account is complete. The public key allows you to deposit crypto into your account and the private key allows you to send crypto out of your account.
Crypto wallets carry out these functions for you seamlessly while making sure that your private keys are always safe.
Popular Crypto Wallet Brands
Crypto wallets can come in many forms. Cold Wallets, Hardware Wallets, Hot Wallets. You can learn more about types of wallets in another one of our blogs HERE.
Here are some popular crypto wallets that are used worldwide.
Trust wallet is one of the most used crypto wallets in the world thanks to its simple design and abundant functions. Trust Wallet comes as a free APP that you can download from your smartphone's APP store. APP wallets are called crypto hot wallets.
The convenience does have some letdowns. Because Trust Wallet is installed on the smartphone, the security of the private keys solely depends on the security of the phone. However, smartphones are very easy to hack and are not very secure.
Ledger Hardware Crypto Wallet
Due to insecurities in using a hot crypto wallet, more serious investors opt for a more secure solution which is hardware wallets. Hardware wallets are devices that are designed especially to store your private keys and keep them secure.
The Ledger is one of the most popular hardware wallets in the market. It has a small and portable design and can be connected to a computer via USB cords to perform transactions on the blockchain.
Most of the time when the Ledger is not connected to a computer, the private keys are secure because there is no connection from the outside world to the Ledger.
ELLIPAL Cold Wallet
Cold wallets are the next generation of hardware wallets and crypto wallets in general. With new technology, cold wallets can stay 100% offline at all times, even during a transaction. Unlike hardware wallets, cold wallets do not need to be connected to a computer to carry out a transaction. Despite the added security, cold wallets remain the functionality just like any other crypto wallets.
The most popular cold wallet in the market is the ELLIPAL Titan Mini crypto cold wallet. The ELLIPAL Titan Mini has a very portable size. It has a clear color 4 inches touch screen that makes it very easy to use. The ELLIPAL Titan Mini uses QR codes to communicate with a smartphone App to carry out transactions on the blockchain.
Crypto Wallet - Use One Before It’s Too Late
Cryptocurrency is a decentralized currency, meaning there is no central entity to help regulate and protect your assets. Crimes, theft, and online hacks happen every day and every crypto investor needs to store their crypto properly in a crypto wallet.
Using a secure and proven crypto wallet can mean the difference between losing all of your cryptos in a crisis or keeping all of your cryptos through a crisis.