First of all, we must understand what cryptocurrencies are, then we would definitely understand the importance of choosing the right cryptocurrency wallet for the cryptocurrency you are holding. Cryptocurrencies are the digital currency which can be sent or received, without the intervention of any third parties, through the advanced blockchain technology, with the help of a wallet address, which stores your private and public keys. Now, lets quickly move onto why a cryptocurrency wallet is needed. Currently, we are in great need for good cryptocurrency wallets, as many crypto exchanges are getting hacked, so keeping your funds in a secure wallet is the only solution to protect your funds from hackers.
A cryptocurrency wallet is a safe digital wallet used for storing, sending, and receiving digital currency like Bitcoin. Most of the coins have an official wallet or a few officially recommended third-party wallets. In order to use any of the cryptocurrencies, you will need to use a cryptocurrency wallet. Cryptocurrency itself is not “stored” in a wallet actually. Instead, a private key (secure code known to you and your wallet) is stored that shows ownership of a public key (a digital code connected to a specific amount of currency). Therefore, your wallet stores your private and public keys, allows you to receive and send coins, and also acts as a personal ledger.
More and more cryptocurrencies are evolving with a specific set of uses, and so are the wallets, but there are wallets that can store multiple cryptocurrencies, also.
Cryptocurrency wallets work similarly to the digital keys, which takes the form of hexadecimal codes, that can be written down or stored carefully somewhere. You will need your private keys to access your wallets and authorize transfers. Just store somewhere safe, which can be retrieved when necessary.
Hardware wallets are physical devices that store private keys offline. They are connected to the computer to sign in and gain access to the blockchain. This being offline ensures the private keys never leave the device. Hardware wallets are considered the most secure cryptocurrency storage method since they are considered to be unhackable. Examples of the best hardware wallets are Ledger Nano S and Trezor and many more. (Cryptocurrency wallets hardware)
Ledger Nano S is a USB sized crypto hardware wallet which is best for most of the altcoin transactions. It is multiple asset hardware that looks like a folding flash drive. The advantage is that it can store more than 40 other digital currencies. It works like a USB device, which after connected to the device needs the device to confirm the transaction. Its features supported cryptocurrencies and user reviews make it one of the best cryptocurrencies to look out for 2020 as it has been unique in terms of its security and uses.
Pros: It is very safe and can run multiple apps, is relatively inexpensive, unhackable and malware proofed. It is a hardware wallet so there is no risk of the private keys to get exposed to the web. This is one of the best cryptocurrency wallets available these days. It can store and support more than 40 cryptocurrencies and can integrate with multiple software wallets. Even, it is one of the affordable OLED-based hardware wallets.
Cons: It is a bit high priced.
Click here to Get Ledger Nano S
Trezor is a hardware altcoin wallet which also acts like a USB device, which operates mainly on “Zero Trust Approach”, which cuts down the compromise by a third party. It is one of the best multiple cryptocurrency wallets as per cryptocurrency wallet reviews.
Pros: Trezor is protected by a password or a PIN and provides you with recovery seed if your wallet is lost. It’s easy-to-use interface and hack and theft free characteristic makes it fall under the top cryptocurrencies list.
Cons: It limits its communication with other devices and when the USB device isn’t connected, it’s turned off.
Click here to Get Trezor
Keep Key secures Bitcoin, Ethereum, Litecoin, Dogecoin, Dash, and Namecoin. They claim to be virus or malware proof, and assets are secured from hackers. Keep Key is a Bitcoin hardware wallet with advanced security against virtual and physical theft. Now, a lower price tag means more users can give it a try. In addition to Bitcoin, the wallet enables the storage and transaction of a variety of cryptocurrencies.KeepKey integrates with the software wallet on your computer by taking over a private key generation, a private key storage, and transaction signing.
Pros: Its top-notch security almost makes it impossible for hackers to steal the private key. It is attractive, professionally designed OLED display makes using the device easier than other similar products.
Cons: A lack of web wallet means users must add software such as Electrum or MultiBit to make use of its applications. The setup process is fairly straightforward but doesn’t allow users to save their progress.
Click here to Get KeepKey
Desktop wallets are the ones which are stored on either your laptop or desktop computers. The private keys reside on the computer’s local hard drive. These wallets are not secure like hardware or paper wallets since computers are susceptible to thefts and cyber-attacks which can lead to stolen private keys. The desktop wallet versions include Windows, Mac, Linux. Some of the best desktop wallets are Exodus and Electrum.
Exodus is a desktop supported cryptocurrency wallet which supports nearly three dozen cryptocurrencies including Litecoin, Dash, Zcash, Ethereum among the popular ones.
Pros: As Exodus is a lite wallet, you don't have to store the entire blockchain in your desktop.
Exodus galore with its pros over its cons. It has a very good interface with excellent access to the wallet, i.e full control, hence one of the best cryptocurrency wallets as per the cryptocurrency wallet comparison. Transactions can be made directly through the Exodus wallet over a crypto network. The transaction fee is paid to the network instead of Exodus.
Cons: Lack of two-factor authentication, which has raised some security concerns.
Click here to download Exodus
Electrum was initially known for supporting Bitcoin, but now it forked the Electrum wallet codebase to supporting altcoins and made some adjustments so that it becomes compatible with the Verge blockchain. Electrum Wallet is a lightweight and easy cryptocurrency soft wallet to store your cryptocurrency holdings securely.
Read more: Top 22 Best Bitcoin Wallets Comparison 2020
Pros: It uses the Simple Payment Verification(SPV) method, which can verify the transaction in five seconds and the positive part is that you don’t have to download the entire blockchain. Electrum uses 2 separate levels of encryption to protect your funds and it is much easier for new users to navigate as it has an intuitive interface.
Cons: Not ideal for beginners as the user interface is not easy, and it doesn’t support much of the cryptocurrencies.
Click here to download Electrum wallet
To be honest, Online wallets are the least secure wallet as they are owned by third parties, that store your private keys. One good thing about an online wallet is that you can access it from anywhere, from any device via the internet. Ideally, online wallets are used for regular transfers and active trading and are available in chrome and firefox versions. Guarda qualifies as one of the best online wallets.
Guarda is the first multi-cryptocurrency wallet, that supports the most popular crypto coins and tokens including BTC, ETH (+ERC20 tokens), ETC, Zcash, Ripple, DASH, latest EOS, and other multiple altcoins. It is known to be safe and reliable and can be easily handled from any device, hence regarded as one of the best cryptocurrency wallets for all coins.
Pros: Unlike many other wallets, Guarda doesn't store any wallet data, client information or private keys, which is stored in the device’s safe memory and deletes itself if you log out from the wallet. Guarda enables you to smoothly shift your assets from one coin to another without registration, limits and complex verification procedures.
Cons: Risk of online security such as hacks and scams, Risk of personal protection such as computer viruses
Click here to Use Guarda wallet
Mobile wallets are one of the most convenient types of wallet for fast and easy trading. Most mobile wallets usually have an accompanying desktop app, hence the same security rules apply here. There are mostly two versions: Android and ios. Mobile wallets are ideal for small purchases. Jaxx and Mycelium are some of the examples of mobile wallets.
Jaxx is relatively a new crypto which believes in simplifying the blockchain and attracting the masses to its unique selling proposition. Jaxx is a multi-chain wallet which offers support for dozens of altcoins, namely Ethereum, Dash, Ethereum Classic, DAO, Litecoin, Bitcoin Cash, REP and many more.
Pros: Jaxx gives you total control over the wallet, which is highly accessible with desktop and mobile compatibility. It enables you to quickly convert between the cryptocurrencies and has been tagged as one of the best multi-currency wallets in the cryptocurrency wallet review. Its available in the form of a desktop app, Android and iPhone apps and Chrome extension, has the best cryptocurrency wallet app.
Cons: Risk of losing your crypto assets if your phone is lost or damaged, Risk of mobile viruses and malware.
Click here to download Jaxx wallet
Freewallet a developer of more than 20 crypto wallet apps for a variety of coins and tokens, has launched the world’s first dedicated Bitcoin Gold Wallet. Free wallet supports multiple cryptocurrencies like BTC, ETH, DOGE, and many other digital currencies.
Pros: It is a Multi Wallet app, which is currently available both on iOS and Android. Just like any other Free wallet app, the new wallet allows not only to store and conveniently transfer cryptocurrencies safely but also to exchange smoothly to and from other coins right in the app, with only a couple of taps.
Cons: Freewallet does not provide the wallet private keys to its users. It's a custodial wallet service.
Click here to download Freewallet
Infinito Wallet is the first universal cryptocurrency wallet in the world which provides easy and fast application access with utmost security and 24/7 maintained and regularly updated gateway to the blockchain, allowing fast transactions. It also helps the user by storing the list of frequent address for hassle-free transactions and even includes messages with transactions for improved record keeping. It is available on both Android and ios devices.
Pros: Infinito Wallet Android is reasonably safe and secured as your cryptocurrency data is not stored on servers.
Cons: Risk of losing your crypto assets if your phone is lost or damaged, Risk of mobile viruses and malware.
Click here to download Infinito wallet
Paper Wallets are normal documents in the form of paper, where you can store your private keys. The software application will typically generate the keys, which can be printed using an offline printer. Most paper wallets usually come with an embedded QR code that can be signed and scanned to conduct transactions on the blockchain. Paper wallets are categorized as cold wallets because the keys are stored physically offline. Verge paper wallet is one of the most secure and best cryptocurrency wallets in 2020.
A cryptocurrency wallet is something where you can store your cryptocurrencies.
You just have to create a wallet and store your coins, from where you and send and receive cryptos as and when you prefer to.
The cold wallets are preferably safer, as you are not connected to the internet. But you can store after knowing about the wallet, its history, and credibilities.
We have already discussed those above.
Online wallets are the ones, which you can store online, as in extensions or browsers, eg: Metamask
Desktop wallets are the ones that are stored on either your laptop or desktop computers.
Paper Wallets are normal documents in the form of paper, where you can store your private keys.
Hardware wallets are physical devices that store private keys offline.
Mobile wallets are one of the most convenient types of wallet for fast and easy trading., with an app.
A good crypto wallet is where the cryptocurrencies are stored safely, without the risk of getting hacked, with good ease of access.
You first need to choose the specific wallet and go to their website, and the steps will help you open a crypto wallet.
Just log into the specific wallet, then go to the send or receive screen, as and when it's needed.
An on-chain transfer requires some fee. Anyway, Bitcoin transactions are not that costly, so nothing to worry about.
There are certain exchanges that will help you withdraw money from the respective blockchain to your bank account.
CoinSwitch.co is the world’s largest cryptocurrency exchange aggregator which supports 300+ coins and over 45,000+ pairs. It provides an easier way of trading through the global exchanges like KuCoin, IDEX, Changelly, Cryptopia, ChangeNow and Changer without creating an account on them. If you are interested in buying cryptos, do give it a try!