If you are planning to purchase bitcoins, you need to learn some important aspects of it. You must know how to store bitcoin safely because only then will you be able to make secure transactions. Bitcoins are stored in digital lockers termed bitcoin wallets. There are several types of bitcoin wallets, and some of them are mentioned in the following paragraphs. You can read about them and make the best choice.
Before you learn about the advanced digital bitcoin wallets, you need to have proper knowledge about the wallet that was used in the initial stage, such as the paper wallet. It is a cold wallet as you cannot access it over the Internet and allows the users to make bitcoin transactions by scanning the QR code imprinted on the wallet. A paper wallet is a paper with a QR code in which all the private keys and public addresses are imprinted. It is not used much nowadays as there are several advanced digital bitcoin wallets, but earlier, it was the only reliable way to make bitcoin transactions. Oil Profit software and learn about bitcoin revolution software to trade bitcoin.
It stores the private keys offline, which removes the need to worry about hacking attacks, malware, etc. Paper wallets can be used for almost any cryptocurrency, but you need to be careful while using them. These wallets can get easily damaged, and if that happens, you may lose access to your bitcoins. So, you must be extra careful and store the paper wallet in an offline location such as a vault.
Hardware wallet – Most recommended
A hardware wallet is a cold bitcoin wallet and is the most preferred option when it comes to safety from cyberattacks and malware. It is an offline wallet that ensures that your funds are protected from all kinds of online threats. Basically, a hardware wallet is a USB device in which the private keys and public addresses are stored. It is like a USB flash drive that you can connect with any computer system or mobile phone and gain quick access to the crypto assets stored in the wallet. It has an OLED screen on the top, which provides you access to all the features and allows you to make easy transactions.
If you want maximum safety for your bitcoins, there is no better option than a hardware wallet, as it is tailor-made to provide protection from hackers and online attackers. The most incredible feature of a hardware wallet is that you can connect it to any device or computer system even if it is infected. These bitcoin wallets are immune to viruses which makes them highly accessible and convenient to use. But you may have to pay a bit higher price for a hardware wallet than other bitcoin wallets.
Online web wallets
Another popular type of bitcoin wallet that you can use for storing bitcoins and making easy transactions is the web wallet. It is a hot wallet that you can access over the internet by using any browser. These wallets have a certain URL where you can access the bitcoin stored in it and also make transactions all over the world. These bitcoin wallets store the private keys online with a third party which makes them a bit unsafe. It makes your bitcoins vulnerable to hacking attacks as hackers can easily gain access to the browsers in which private keys are stored.
There are different types of web wallets, as if you are storing bitcoins with an online exchange, it is also a type of web wallet. But if you are choosing a web bitcoin wallet, you must keep one thing in mind that it doesn’t offer you control over the private keys. So, if the exchange gets hacked or shuts down, you may lose your bitcoins stored in the wallet. So, you must gather proper knowledge before making any decision.
Mobile wallets are digital bitcoin wallets that can be stored on your mobile phone. You can use these wallets to make quick and easy mobile bitcoin transactions. If you are looking for maximum convenience and ease of access, a mobile wallet is a perfect option for you. You can install these wallets on your mobile phone and access bitcoins anytime and anywhere via the Internet.