What Is Cryptocurrency Wallet? Types of Wallets
Owning a cryptocurrency is exciting. The excitement comes from the fact it has created the biggest revolution in the history of mankind. Many people around the world own cryptocurrency. The question is that where cryptocurrency owners store their cryptocurrencies? A cryptocurrency wallet is a place where users can store their public and private keys. A public key is a cryptographic key used to encrypt a message. While a private key is also a cryptographic key, but it is used to decrypt the message. There are different kinds of cryptocurrency wallets.
Hardware Wallet
A hardware wallet is connected to the internet only for cryptocurrency transactions. But it is stored offline. It is actually a USB-like device. TREZOR One Wallet, Ledger Nano S Wallet, and KeepKey Wallet are some of the hardware wallets. Both keys are stored in a protected area of a control device called microcontroller. The main purpose of the control device is to incorporate a microprocessor. It is difficult to transfer them out of the control device in unencrypted form. TREZOR One Wallet: It supports cryptocurrencies like BTC, BCH, BTG, LTC, DASH, DOGE, ETC, ETH, ERC20, NEM, NMC, ZEC, EXP, and UBQ. It has features like PIN protection, Recovery seed, Single-purpose device, and Limited attack surface. Its wallet type is Hardware. Ledger Nano S Wallet: It supports cryptocurrencies like BTC, XRP, ETH, BCH, EOS, XLM, LTC, TRX, ADA, MIOTA, BNB, XMR, DASH, NEO, ETC, ZEC, XTZ, WAVES, DOGE, VET, etc. It is compatible with operating systems like Operating Systems. Windows (7+), Mac (10.8+), Linux or Chrome OS. Requires Google Chrome or Chromium. It works with software wallets like Copay, Electrum, Mycelium, MyEtherWallet, etc. It has features like Offline Storage, Secure PIN Code, Backup and Restoration, and Advanced Passphrase Options. Its wallet type is hardware. KeepKey Wallet: It supports cryptocurrencies such as BTC, BCH, DASH, DOGE, ETH, LTC, and NMC. It is compatible with operating systems like PC, Mac, Linux, and Android. It is compatible with software wallets like Electrum, MultiBit, and Mycelium. It has features like Recovery Sentence and PIN Code. Its wallet type is hardware.
Desktop Wallet
A desktop wallet is an application downloaded and installed on a desktop or laptop. It is actually stored on a hard drive. If a customer downloads and installs an application from an XYZ computer, then he will have to use the XYZ computer only for every transaction. Make sure to protect your hard drive from viruses, otherwise, you can lose your cryptocurrency. Armory Wallet, Exodus Wallet, and Electrum Wallet are some of the desktop wallets. Armory Wallet: It supports cryptocurrencies like BTC. Its wallet type is Desktop Client. It is compatible with Microsoft Windows, Apple Mac OSX, Linux Ubuntu, and Raspberry Pi. It has advantages like Hierarchical deterministic (HD), Multi-signature support, and Open-source. Its wallet type is Desktop Client. Exodus Wallet: It supports cryptocurrencies like BTC, BCH, BTG, LTC, ETH, DASH, ETC, VTC, FUN, DCR, EOS, ANT, GNO, OMG, BAT, etc. Its wallet type is Desktop Client. It is compatible with Windows (64-bit), Mac OS and Linux. It has advantages like Interface with charting tools, Tutorials & videos support, and Multi-currency. Its wallet type is Desktop Client. Electrum Wallet: It supports cryptocurrencies like Bitcoin (BTC). Its wallet types are Desktop Client and Mobile. It is compatible with Windows, Mac, Linux, and Android. Electrum can be set up easily. A seed phrase is used by Electrum wallet as a backup measure. Its wallet types are Desktop Client and Mobile.
Mobile Wallet
A mobile wallet comes in the form of an app. You have to download and install the app. The mobile wallet has a feature like a QR code. You have to scan the QR code for payments. Mycelium, Airbitz, and Bread are some of the Mobile wallets. You have to safeguard your mobile wallet against keylogging, viruses, etc. Coinomi Wallet: It supports cryptocurrencies like BTC, ETH, ETC, BTG, DOGE, LTC, LCC, BCH, DASH, NBT, PPC, RDD, MONA, DGB, DGC, NEOS, XVG, VTC, BTA, ABN, etc. It has features like Multi-coin support, Simple setup, Easy asset trading, Privacy first, and Translations available. It is compatible with Android and iOS. Its wallet type is Mobile. Airbitz: It supports cryptocurrencies like BTC, BCH, ETH, LTC, XMR, XRP, DASH, REP, WINGS, IND, XZC, FTC, etc. It is compatible with Android and Apple iPhone. It has advantages like Beginner friendly, Open source, Two-factor authentication, and Decentralised servers. Its wallet type is Mobile. Bread: It supports cryptocurrencies like Bitcoin (BTC). It is compatible with iOS and Android. Its advantages are easy to use, Touch-ID login option, and new wallet address generation for every transaction. Its wallet type is Mobile.
Paper Wallet
A paper wallet is an offline wallet. It is actually a piece of paper. Public and private keys are printed on the piece of paper. They can also be printed on either a plastic material or any other material which is durable. They are printed in the form of QR codes. Customers can scan QR codes for transactions. They have to keep their paper wallets in a safe place, otherwise, there is a chance of funds losing. BitAddress.org, BitcoinpaperWallet.com, and WalletGenerator.net. are wallet generation programs used to generate paper wallets. Once the keys are generated, then the customers must delete their history on the internet. All these three programs use JavaScript technology. They are open open-sourced.
Web Wallet
A web wallet is an online wallet. Third parties or cryptocurrency exchanges manage web wallets. Private and public keys of customers are held by them. Crypto exchanges such as BuyUcoin, Zebpay, and WazirX provide web wallets. It runs on the Cloud. You can use the web wallet from any parts of the world. Service providers store all data on central servers. BuyUcoin Wallet: It is a New Delhi based cryptocurrency exchange. It was founded in 2016. Customers can buy, sell, and exchange cryptocurrency. It supports cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), Ripple (XRP), Bitcoin Cash (BCH), Litecoin (LTC), Neo (NEO), Dash (DASH), OmiseGo (OMG), NEM (ZEM), etc. It supports fiat currencies like INR. While it supports payment options like Cryptocurrency, Immediate Payment Service (IMPS), National Electronics Funds Transfer System (NEFT), Real Time Gross Settlement (RTGS), and Unified Payment Interface (UPI). Zebpay Wallet: Customers can buy, sell, and trade cryptocurrencies. It supports fiat currencies like AUD and EUR. It supports payment options like Bank transfer and Cryptocurrency. The CEO at Zebpay is Ajeet Khurana. It is headquartered in Singapore, a country in Asia. Sandeep Goenka, Saurabh Agrawal, and Mahin Gupta are founders of Zebpay. It was founded in 2015. It supports cryptocurrencies like BTC, ETH, XRP, LTC, BCH, and EOS. WazirX Wallet: Customers can buy, sell, and trade cryptocurrencies. It supports fiat currencies like INR. It supports payment options like IMPS, UPI and Paytm. Nischal Shetty is the CEO and Founder of WazirX Mr. It was founded in 2017. It is headquartered in Vashi, Mumbai, Maharashtra, India. It supports cryptocurrencies like Bitcoin (BTC), Ripple (XRP), Ethereum (ETH), Tron (TRX), and Bitcoin Cash (BCH).
Hot Wallet
A hot wallet is an online wallet. It is having a connection of the Internet. Cryptocurrency exchanges such as CoinCDX, Unocoin, and BitMEX store funds of customers within their own infrastructure and servers. CoinDCX Wallet: It supports payment options like cryptocurrency. It supports cryptocurrencies like BTC, ETH, LTC, XRP, EOS, OMG, SNT, TRX, REQ, BAT, KNC, SNT, DNT, MCO, ICX, CND, DGD, and ZIL. The Co-Founder and CEO of CoinDCX are Sumit Gupta. Customers can buy, sell, and trade cryptocurrencies. It was launched in 2018. It is headquartered in Powai, Mumbai, Maharashtra, India. Unocoin Wallet: Customers can buy and sell cryptocurrencies. It supports cryptocurrencies like BTC, ETH, LTC, BCH, XRP, BTG, XLM, BAT, BRD, FUN, GNT, ZIL, CVC, REP, ZRX, and OMG. It supports fiat currencies like INR. It supports payment options like Bank transfer and PayU Money. It was founded in 2013. It is headquartered in Tumakuru, Karnataka. The Co-founder and CEO of Unocoin are Sathvik Vishwanath. Unodax is a blockchain and cryptoasset company of Unocoin who has introduced cryptocurrency trading. BitMEX Wallet: It is a peer-to-peer crypto exchange. Customers can buy, sell, and trade cryptocurrency. It was founded in 2014. Arthur Hayes is the CEO of BitMEX. Arthur Hayes, Ben Delo, and Samuel Reed are Co-founders of BitMEX. It is headquartered in Seychelles. It supports cryptocurrencies like BTC, BCH, ADA, DASH, ETH, ETC, LTC, XMR, XRP, XLM, and ZEC. It supports payment options like cryptocurrency.
Cold Wallet
A cold wallet is an offline wallet. It is not having a connection to the Internet. Users will have full control over their funds. It is easy to protect the cold wallet from unauthorized access. Paper wallets and hardware wallets are examples of Cold wallets.
Software Wallet
A software wallet is an application stored on a computer’s hard drive. Users will have full control over their funds. Copay Wallet, MyEtherWallet, and Atomic Wallet are some of the software wallets. Copay Wallet: It supports cryptocurrencies like Bitcoin (BTC) and Bitcoin Cash (BCH). Its wallets types are Desktop Client, Mobile, and Web. It is compatible with Windows, Mac OS X, Linux, Android, and iOS. Its advantages are Multi-signature wallet and Open source. MyEtherWallet: It supports cryptocurrencies like ETH, ETC, EOS & ERC20 tokens. Its advantages are easy to use, Free, Open source, hardware wallets Compatibility, and Offline transactions support. It works with Jaxx Wallet, Ledger Nano S hardware wallet, and TREZOR wallet. Its wallet type is Web. Mycelium Wallet: It supports cryptocurrencies like Bitcoin (BTC). Its wallet type is Mobile. Its advantages are Open-source, Multiple Services Integration, and Several Account Types Support. It is compatible with Android and iPhone. Read the full article
