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Different types of Bitcoin wallets that you need to know about

If you are interested in investing in Bitcoins so that you can send and receive bitcoins, one of the most important things that you need is a Bitcoin wallet.

A Bitcoin wallet will enable you to keep your bitcoins safe and secure. With multiple rumours and cases of hacking and spamming, people get worried about making a choice for a Bitcoin wallet. In this article, we have come up with knowledge and information about different types of Bitcoin wallets that you can choose. The Bitcoin wallet works by interacting with the Bitcoin’s ledger that is also known as the blockchain.

If you know nothing about Bitcoin wallets, you can understand the working of a Bitcoin like an email. For example, if you want to send and receive emails, you need the email ID of the person concerned. In the same way, to send and receive Bitcoins, you need an address that is also known as the Bitcoin wallet. If you have the Bitcoin address of a person, you can easily send and receive bitcoins from the person concerned.

In this article, we have come up with different types of Bitcoin wallets like so that you can make a convenient choice

Bitcoin wallets are divided into two major parts that are called the: Cold storage and the hot storage wallets.

Types of Bitcoin wallet

Cold storage wallets

The cold storage wallets are the one that can work without an internet connection. The biggest benefit of using the Cold storage wallet is that your wallet is safe from all sorts of hacking activities. Some of the major types of cold storage Bitcoin wallets include:

Hardware wallets

These are a type of physical devices that can safely store the private keys to your Bitcoin wallet. The hardware wallets can be available in the form of a flash drive that can be easily connected with the computer so that they can interact with them.

Paper wallets

Paper wallets are considered to be the safest option when it comes to Bitcoin wallets. These are just a simple piece of paper that stores the private keys to your Bitcoin wallet. Only people who can view the paper can know about your bitcoins. Thus, it is important to keep the paper wallet at a safe and secure place.

Hot storage wallets

The hot storage wallets are the ones that are connected to the Internet. These wallets can be connected to any web service or they can also be installed in a computer with proper internet connectivity. Most people opine that hot storage wallets are prone to hacking and spamming. But, if proper safety measures are taken, these incidents can be easily avoided.

Some of the major types of hot storage wallets include:

Desktop wallets

These are called the hot storage wallets as the desktop in your home or office has internet connectivity. If your computer has protection from malware or other cyber-attacks, you don’t have to worry about losing your bitcoins. Thus, make sure to keep your desktop protected from all types of attacks.

Mobile wallets

Mobile wallets are one that can enable you to store the bitcoins in your mobile device. If you stay in a country where you can use Bitcoins for everyday transactions, using mobile wallets can be the best option. Using a mobile wallet has safety and security threats from thieves, and spying eyes of the people around you.

Web wallets

As per many researches, it has been found that the web wallets are least reliable in terms of storing Bitcoins. Many markets, exchanges, and betting platforms may ask you to deposit bitcoins from your web wallet. Try not to complete these transactions, as you may lose your bitcoins.

With the availability of all these Bitcoin wallets, making choices for users have become quite convenient. If you are someone who believes in making Bitcoin transactions every other day, try to use the hot wallets. If you want to keep your Bitcoins safe and secure for a long time, try using old storage wallets. In terms of privacy and security, Cold storage wallets are considered to be the better choice. But, in terms of ease of use, the hot storage wallets are a better choice. So, make your choice wisely.

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