Top 5 Cryptocurrency Wallets

Top 5 Cryptocurrency Wallets

want to negotiate bitcoins or other cryptocurrencies but not sure where to start? The first step is to create a portfolio. There are several types of cryptocurrency wallets, and the main one is to choose a reliable and secure one.

In this article, we'll talk about the main types of wallets for cryptocurrencies, how they can differ from each other, and we'll also consider the most reliable cryptographic wallets today.

Main Types of Cryptocurrency Wallets

As mentioned before, there are several types of cryptocurrency wallets, each with different ways of storing keys and providing access to them.

The three main categories are software, hardware and paper. Let's consider all these types in more detail.

Desktop (local) wallets are downloaded and installed on a PC or laptop. You can log in to your account only on the same device they are installed on.

This provides a certain level of security, but at the same time it is dangerous in a situation where a PC is infected with malware or Trojan viruses.

Web (online) wallets can be accessed through a browser from any device. This is convenient, but private keys are usually stored by a third-party service provider, who can hand them over to hackers.

Mobile cryptocurrency wallets are applications for mobile platforms. They are very convenient as you can make a transaction anywhere at any time.

But they have a minimal level of functionality and are the least protected.

Hardware cryptographic wallets store user keys on an external device, similar to a USB flash drive — this is its main difference from software ones.

With the help of such devices, you can store cryptocurrencies offline, connecting to the Internet only when you need to make a transaction. If you have lost your wallet, the locator will not be able to use it as access is protected by a PIN code.

Paper cryptocurrency wallets guarantee a high level of security and are very easy to use.

This definition can refer to two concepts: a simple physical copy of the printed public and private keys, as well as the software that is used to create the keys, which can be printed.

How to Choose the Best Cryptocurrency Wallet?

Which cryptographic wallet to choose? Well, it depends on many factors. Most important is security, as well as the ability to save a private key or seed phrase.

Brief Explanation of Seed Phrase in Cryptocurrencies

The concept of a seed phrase refers to a specific string of 12, 18, or 24 simple English words that are used to access and protect your wallet. moedas digitais.

You can often hear the terms “mnemonic seed” or “mnemonic phrase” used to describe the same idea, however some believe these terms are inconsistent as they imply that the phrase needs to be memorized, which is not necessarily true.

Seed Phrases provide its users with an easier and more practical way to support their wallets. If you've used a wallet before, you've probably been asked to write 12 to 24 random words, like these:

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If you lose access to your wallet, it can be loaded into any BIP39 compliant wallet to recover your funds.

There are 2.048 possibilities in the word list of the BIP network39, which means that a 12-word string would have 128 bits of security.

Therefore, an attacker would need to perform 2.128 operations to guess a 12-word seed. This may seem like a small number, but it certainly isn't.

Even for state-of-the-art criminals, it's virtually impossible to decipher what those words are and the order in which they are ordered. The longer the seed phrase, the greater security it will have.

Seed phrases — as opposed to private keys — leave less room for human error when it comes to backups, as they are easier to record and transmit.

With a single seed, the user can create a seemingly infinite number of cryptocurrency addresses to receive.

You should choose a software-type cryptocurrency wallet if:

  • You don't store large amounts of money;
  • It's important to you that the wallet is free;
  • Confidentiality is not important to you;
  • You are interested in the most convenient storage option.

And here are the situations where it's best to choose a paper or hardware wallet:

The top priority is security — for example, if you're about to store a large amount of cryptocurrencies for a long time;

  • You don't need to make frequent transactions;
  • You don't trust third parties and want to control private keys yourself;
  • Confidentiality is important to you;
  • you're ready to pay $50—100 for a device.

There's nothing to stop you from using two options at the same time, using a software portfolio for long-term investments and a hardware portfolio for quick small transactions.

Top 5 Cryptocurrency Wallets to Know

No matter what type of portfolio you choose, they all perform the same function of storing your assets.

As a large number of blockchain wallets appeared on the market, we selected the 5 best cryptocurrency wallets. Now you can easily decide which encrypted wallet to choose.

Exodus Cryptocurrency Wallet

Exodus is a multi-currency cryptocurrency wallet. In fact, this is a slim desk wallet integrated with ShapeShift Swiss Exchange with a user-friendly interface. Beginners quickly get help from technical support, and this is one of the benefits of the service.

Exodus wallet

Exodus wallet

Here you can set complex passwords, use SEED phrases and make wallet copies with a special utility developed by service programmers.

Coinomi Cryptocurrency Wallet

It is another multi-currency and multilingual mobile wallet for Android with HD wallet function but without two-phase confirmation.

Coinomi wallet

Coinomi wallet

But if a virus that has entered the phone is able to get the secret keys from assets, it will know how to get authentication ciphers. So, in this regard, the absence of this function does not matter.

Electrum Cryptocurrency Wallet

This cryptocurrency wallet managed to gain confidence. It can be installed on smartphones and various operating systems like a thin wallet.

It works on the principle of open source, and those who value anonymity choose it, because it works perfectly on the Tor network.

electrum wallet

Electrum Wallet

Unlike other cryptographic wallets, multiple Bitcoin addresses are available for each user. It is possible to define complex SEED phrases and passwords, and individual keys are maintained by their owners.

If you have questions or difficulties at work, technical support responds quickly to requests.

Cryptocurrency Blockchain Wallet

It's a perfect online Bitcoin wallet. It has two-step verification, SEED codes and complex passwords, making it very secure.

blockchain wallet

Cryptocurrency Blockchain Wallet

But if you sync with a cell phone using a QR code, the security level drops instantly. Technical support tries to quickly fix any problems that arise.

Ledger Cryptocurrency Wallet

You can buy famous Ledger hardware wallets on their official website. If we talk about possible risks, the list includes the loss of a SEED code or spoofing addresses during a money transfer.

Ledger wallet

Ledger wallet

None of these options can be considered a serious problem. In order not to lose your wallet and SEED code, you just need to be careful and attentive.

Summarizing About Cryptocurrency Wallets

In any case, when choosing a cryptocurrency wallet, you should pay attention to all the factors mentioned in the article.

To choose the right one, you need to determine the purpose and frequency of use. Even so, when choosing a wallet, pay attention to its safety, convenience and functionality.

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