If you’ve decided 2018 is going to be your year, and you’re ready to invest in Bitcoin and altcoins, it’s helpful to know as much as possible about how to not only invest in cryptocurrency but keep it safe, as well. Within this article, we cover what a digital wallet is, what you use it for, and what are looking to be the best crypto wallets for 2018. There’s no time like the present to jump onboard the crypto train and start investing today.
What is a crypto wallet?
A crypto wallet, digital wallet, or just a wallet, is a piece of software that enables you to see all your investments in various cryptocurrency. While a traditional wallet is where you hold all your money, a digital wallet acts a little differently. You can see your cryptocurrency, check your balance, and transfer money into it and out of it, but it technically doesn’t exist within your wallet.
Instead, it’s used to connect to the blockchain, which is what gives you that freedom to move money out of it, and back into it. Some wallets also offer unique features, such as being able to check exchange rates to fiat currencies.
Within your wallet, alongside your cryptocurrency, are public and private keys. It’s crucial that you keep your wallet safe for the sake of these keys, as, without them, your cryptocurrency holds no value.
What kind of wallets exist?
With traditional wallets, you can choose from a range of styles such as leather with a button, or material with velcro. The same concept applies to cryptocurrency wallets. You can select from a desktop, smartphone, paper, hardware, or an online wallet. The most popular wallet is the desktop wallet, which you install on your computer. The downside to this wallet is that if you don’t back it up on an external hard drive and keep your computer free from viruses and malware, you run the risk of losing your Bitcoin or altcoins.
What are the best crypto wallets for Bitcoin and altcoins?
Choosing a digital wallet is a little harder than picking a traditional wallet. Instead of picking what you like the look of, you instead look for how safe it is, and the versatility of the cryptocurrency it can hold. In 2018, there are three that are proving to be most popular: Ledger, Trezor, and KeepKey.
Ledger is a versatile hardware wallet, which means it’s a physical item that you can hold, and store your cryptocurrency on. It’s popular not only for its price but for its ability to be compatible with 13 different cryptocurrencies. It offers a secure pin code, offline storage, backup and restoration features, and advanced security options for your peace of mind. It also has an OLED display which makes it one of the cheapest wallets with a screen and features wallet software integration.
If you’re worried about malware and hacking, Trezor might be a good option for you. This hardware cryptocurrency wallet is considered the more secure hardware wallet on the market, and it offers an easy-to-use interface, as well as use with various cryptocurrencies.
It does cost a little more than other cryptocurrency wallets, but you do pay for unparalleled levels of security. It’s protected by a pin, offers a recovery seed for if your wallet is stolen or lost, and it’s a single purpose device. This means that you cannot use apps or downloads with it that could compromise your cryptocurrency’s safety.
KeepKey is another hardware wallet that’s turning out to be a favorite with investors. It’s affordable, secure, and is suitable for a range of different cryptocurrencies such as BTC, ETH, LTC, and more. It’s kept safe via a private key, pin, and recovery sentence, and uses advanced technology for user convenience and security.
KeepKey is a preferred wallet by many, as it’s virtually impossible to steal from through hacking or viruses. It’s also a sleek design and is on-par with more expensive wallets regarding security, features, and options.
If tanking cryptocurrency values are giving you a window of opportunity to invest at a lower rate, there’s no time like now to get your digital wallet and join millions of other cryptocurrency investors. Always choose the crypto wallet that will cater to all your investment needs while being secure at the same time.