Top 7 crypto wallets [Expert review]

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Bitcoin emerged as the initial cryptocurrency in the 2008-2009 financial crisis. Over the years, many other cryptocurrencies like Ethereum and Dogecoin have emerged in the sector. These cryptocurrencies are highly volatile. Many traders have identified an ample opportunity to profit by buying and selling cryptocurrencies when they surge or plunge.

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With cryptocurrencies like Bitcoin racking up momentum often, many new people are looking to own a cryptocurrency. Rookie traders should always research reputable and transparent, regulated platforms before starting their crypto journey. However, one needs to understand how crypto wallets work to keep their assets safe.

What is a crypto wallet?

The success of many cryptocurrencies is based on the host blockchain technology. Blockchain serves as a public ledger where each transaction is recorded permanently.

A beginner will need private and public keys to buy, hold and sell various cryptocurrencies. The public key will enable you to receive crypto assets from other traders. On the other hand, you can use the private key to access your account or send crypto assets to another account.

However, ensure you keep your private key safe because you can lose your assets if you misplace it. Many crypto wallets such as hot wallets and cold wallets have emerged in the crypto sector that helps to keep your assets safe.

Hot wallets or online wallets are provided through various crypto exchange services. Online wallets are convenient for traders since they hold user’s private keys. However, they are prone to multiple security-related risks such as hacking.

Cold wallets or offline wallets are considered safe against cyber hacks and suitable for buying and storing a digital coin for a prolonged period. Cold wallets can include a paper wallet.

Paper wallets became reputable during the early days of Bitcoin and are still common in the crypto sector. In general, paper wallets involve writing down your private key on a piece of paper and keeping it in a secure location within your residence or deposit box in a bank.

Although a paper wallet is one of the safest methods to keep your private keys, it can get misplaced, or the ink can fade away.

Top crypto wallets

Coinbase

One of the reputable crypto wallets is Coinbase. Coinbase is a crypto exchange platform that facilitates investors to trade different cryptocurrencies. Coinbase provides an in-built digital wallet that holds cryptocurrencies. Also, the platform holds your private key, meaning you don’t have complete autonomy over your account.

Coinbase has user-friendly features making it easy for beginners to begin their crypto journey. Also, the exchange provides a diverse option of many cryptocurrencies to their large user-base.

Coinbase has shown better security protocols over the years and stores over 90 percent of users’ assets in cold storage and the other percentage in hot storage.

Exodus

Exodus is a hot wallet with accessible features to use. Exodus wallet provides an option to choose between a mobile app and a desktop app. Although users can exchange cryptocurrencies, Exodus was developed as a crypto wallet at the beginning.

However, Exodus lacks some security protocols, such as two-factor authentication, essential to boost your account security.

Electrum

Electrum is another crypto wallet for experienced traders and beginners as well. Electrum is an online wallet with great features suitable for professional traders.

Electrum is well-known for providing better security features. However, only Bitcoin holders can take advantage of the Electrum wallet.

Ledger

Ledger is a hardware wallet. Since its launch in 2014, Ledger has developed several reliable hardware wallets that have earned prestige in the crypto sector.

For example, Ledger Nano X is among the best hardware wallets and supports over 1000 cryptocurrencies. The advantage of Nano X is that you only need a USB to connect it to your device.

Mycelium

Mycelium is reputable for its mobile-based app. Security is highly prioritized on Mycelium wallets. Its mobile app supports QR-based payments making Mycelium wallet a safe tool to hold crypto assets.

The mobile app is designed with easy-to-use features. However, you can only hold Bitcoin, ERC-20 tokens, and Ethereum on Mycelium wallet.

Sofi

Sofi is considered one of the best online wallets for crypto traders. Sofi is an exchange platform that allows traders to buy and sell different cryptocurrencies.

However, a 10 percent fee is charged to open a Sofi account, including other transaction fees.

Sofi only supports Bitcoin, Ethereum, Bitcoin Cash, and Litecoin. Also, you can use Sofi to diversify your investment portfolio on other assets like mutual funds or stocks.

Robinhood

Robinhood is a hot wallet and suitable for both beginners and investors. Robinhood offers a great app that enables investors to invest in cryptocurrencies and other securities.

Also, Robinwood is an exchange platform that allows traders to buy and sell different cryptocurrencies.

Moreover, users have the opportunity to transfer crypto assets from Robinwood wallet to another wallet.

Conclusion

Owning a cryptocurrency and keeping it safe will require using reliable crypto wallets with better security protocols like two-factor authentication. When identifying a suitable wallet, ensure you choose one that has shown significant security measures over the years.

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