Anyone trading cryptocurrencies and exchanging Bitcoin, Ethereum, and other altcoins would know about the crypto wallet. It is the Wallet used to keep transactions safe and secure. The passwords that help you to access your Wallet will be safe and accessible.
They have many forms, online and physical mode. Your crypto wallet is in your hand daily, like your bike keys. It will be a USB stick in which all your cryptocurrencies and passwords will be present. These hot wallets work directly by being connected to the internet.
Cold wallets are online applications that will save your private key with the help of the internet. Moreover, you can pay using cold wallets like online payment applications owned by banks.
IS A CRYPTO WALLET MANDATORY TO OWN?
Crypto wallets make it easy for you to have a password in a safe place. Unlike a real wallet, crypto wallets don’t hold any currencies.
They only have your private keys saved, which are needed to prove your ownership of digital money and allow you to make transactions. So if you lose your Wallet, it means you lose your private key; it means you lose ownership of your digital money.
Even though the crypto lives on the blockchain, you cannot access your holdings. So it is important to keep your crypto wallet safe, or you should use some trusted wallet providers to get your online crypto wallet. You don’t need to carry it anyway. It just stays on mobile like all other applications.
TYPES OF CRYPTO WALLETS:
Crypto wallets range from simple to complex security types.
Online Wallets: This is similar to our Google pay or Online transaction apps. You can link your bank account to it and access them using your private key. The same procedure is getting followed in online wallets. Two-step protection will secure your private keys or passwords in apps or software.
First, it makes the crypto exchange accessible and easy to send and receive crypto. It is one of the safest to use because it will not get lost like any other physical wallet.
Hardware Wallets: It is like your pen-drive device in which we store all our software and documents. The thumb-drive device contains the private key for your holdings which can be connected to your computer when you want to access your cryptocurrency. However, it has the drawback of getting lost. If the pen-drive-like stick gets lost, everything is at stake. This feature makes it hard to access.
Paper Wallet: This is like going back to our grandpa’s age. It stores the private key on any paper medium and keeps it safe. Unfortunately, this Wallet will make crypto harder to use.
WHAT ARE THE BEST CRYPTOCURRENCY WALLET AVAILABLE:
There is a lot of online and offline cryptocurrency wallet available all over the world. But when searching for the menu’s safety, security, trustability and accessibility, only a few can serve your plate.
These awesome wallets are available in India, making your crypto exchange easier and faster. These are the best crypto wallet in India.
Binance is a safe place to put your digital currency. This has the customer service provided along with it. This app works in the centralized mode to build trust for the entities. And also, Binance Wallet doubles up your exchange – this gives you access to over 1000+ markets. Binance nearly covers 90% of the market and cryptocurrencies of all shapes and sizes, from large-cap to Defi tokens.
People love this for its flexibility and the very little commission for each transaction. The charge is just 0.10%. It is available for both iPhone and android users. Using a Binance wallet is as easy as using online money transferring apps.
You need to download the app, log in using your phone number or email address and then connect your bank account to the Wallet. Binance steps forward to make their customer feel safe. Binance implemented IP address and device whitelisting to ensure unauthorized access and prohibit scammers.
Coinbase is one of the best Wallet in India. It is trustworthy and accessible for beginners. If you consider yourself a complete newbie and want more safety and security for your Wallet, you should save your bitcoin in the coin base wallet.
It is a separate, stand-alone app that allows you to store crypto, custody and explore the decentralized web. Coinbase wallet is software that gives access to a wide array of decentralized innovations. In addition, they can allow you to collect rare digital arts and other collectability.
The coinbase website has the highest protection, like 90% per cent of their client’s funds will be stored offline. Every login needs you to go through the two-step verification.
eToro stands out from the crowd for its feature, security and asset diversity. eToro got its funds managed by brokerage firms regulated by SEC, ASIC and CySEC. This feature also makes the exchange easier and also supports over 500 pairs. So, nearly any crypto exchange is possible in the eToro wallet.
eToro provides the very essentials that should go into the crypto wallet. You can contact the team for help regaining your access if you lose or misplace your private key. In that case, this is not fully decentralized.
You need to submit your personal and government proofs as you do in the physical banks. Anyone who likes to start trading with the minimum amount to avoid risk can fall for eToro. eToro allows you to trade with only $10
It is a crypto exchange based in India. It is one of the best crypto wallets found in India. This is available both as web-based software and mobile-based application. They partner with Binance, one of the market’s finest crypto wallet service providers. So, along with them, WazirX strengthens their feature and security.
Even though they are partners of Binance, WazirX’s transaction fee is far lesser than Binance. Indian Crypto traders love to go for the WazirX. As like in Binance, this also has the P2P transaction mode. They also cancel the deposit charge.
Zebpay works differently than other crypto wallets. They store your cryptocurrency in a secure pool and not in individual wallets with a private key. It also allows you to transfer crypto coins to another exchange or your Wallet. Zebpay has 0 transactional charges, and trending in Zebpay is free after all. But if you fail to trade or they sense no activity in your Wallet, you have to pay a fee of 0.0001 BTC as a maintaining charge.
Vauld Wallet is not as famous as other crypto wallets. It is an online wallet that works along with the Vauld crypto platform. The familiarity is much lesser because they are still developing the product and not so into the advertisements. You can store more than 55 cryptocurrencies in Vauld Wallet. The 55 includes all the important happening cryptocurrencies.
The biggest tread of Vauld Wallet is they provide an option to treat your asset as a fixed deposit and earn the interest upto 12.68%. And the long-term investors can get extra returns in the form of interest-earning passively using the Wallet. You can also get a crypto loan using the Vauld Wallet; they offer 150% collateral directly from your Wallet.
HOW TO PROTECT THE CRYPTO WALLET:
Crypto wallet comes up with multi-step verification processes and high security. However, the scammers also employ the technique to circumvent security. Therefore, protecting your Wallet from hackers and online scammers is important.
USE A COLD WALLET:
It is safe to go for the cold Wallet. Because it functions without the help of the internet, it is difficult to hack. On the other hand, the hot wallets only run with an internet connection, making it easy for hackers to get into the system. In the cold Wallet, the private keys are safe, and one can connect it to the computer when they plan to access their cryptocurrency.
USE SECURE INTERNET;
Internet connection many times leads to a lot of problems. While trading or making crypto transactions, make sure you have a secure internet connection. Always use your mobile network for your transaction, don’t use any public wifi networks. If you are using your home wifi, then use a VPN for additional security. The VPN can change your IP address and location for better protection.
All the cryptocurrency works in a decentralized mode. So you will be fully responsible for your crypto and your holdings.
SECURE YOUR DEVICE:
The device you use should be well designed, and the software should be hard to hack. Make sure your device is virus-free and updated.
MULTIPLE WALLETS FOR GOOD:
Don’t use only one Wallet for all your cryptocurrency. If conditions worsen, this might make things even worse. Instead, diversify your cryptocurrency in multiple wallets. For example, make daily transactions in one Wallet and keep the rest of your holdings in other wallets. You may safeguard your assets against any loss in this method.
CHANGE YOUR PASSWORD REGULARLY;
Have a very strong password for your crypto wallet. Don’t use the same password for your wallets and devices. Change your password regularly. Always opt for two-factor authentication or multi-factor authentication.
BEWARE OF EXCHANGES:
The common mistake most crypto buyers make is holding the cryptocurrency in the same platform they bought it from. They do provide protection and security, but they are not completely immune. The lack of security is because all the exchanging platforms are hot Wallet which uses the internet on performance.
GO FOR TWO-FACTOR AUTHENTICATION:
Go for two-factor authentication if you hold your crypto in the hot Wallet with a regulated exchange. Some exchanges use cryptographically hashed keys to verify and sync online accounts.
So, you better opt for a good exchange platform.
It would be a lesser risk and keep your funds safe if you have backups for your crypto wallet. For example, if you lose your private key to your Wallet, eventually, you will lose access to all your cryptocurrency. But if you have your backup, you can still restore your Wallet and access your cryptocurrency even if the private key is lost.
For example, suppose you are using a hot wallet for holding your crypto and translation. Also, have a cold Wallet or hardware wallet to save your private keys. So if your online Wallet loses access to your cryptocurrency, you can still access it from your hardware wallet. If you think you can still have some more backups. Don’t think much; go for a paper wallet.
The crypto wallets are important for all crypto traders. Be wise while choosing the wallets because all your funds will be present there. The type of crypto wallets you choose is also important to keep your funds safe. Before using any crypto wallets, always do your research.
And to get the exposure of crypto trading world, ABinvesting can prove to be of service, you can get hands on experience and plethora of information to kickstart your crypto trading journey.
We evaluated a lot of Bitcoin wallets worldwide and selected the best hot and cold wallets based on aspects including security, price, and user feedback. Since security is a major concern, selecting a well-established wallet with numerous protection measures is crucial. Furthermore, selecting a wallet compatible with bigger exchanges is crucial to quickly complete transactions on the open market.