Get The Best Crypto Wallet For You
There is no one best cryptocurrency wallet. Rather, the best crypto wallet for you depends on what you intend to do with your crypto. If you want the most secure way to hold cryptocurrency, its undoubtedly with a hardware wallet.
If youre looking for a secure way to interact with the growing decentralized finance industry, Coinbase Wallet may be the best choice to hold ethereum tokens. They offer industry leading security with a wallet that can actually earn you interest on your crypto holdings.
For beginners who are looking for an easy and safe way to buy a large variety of coins, Gemini and Coinbase are the best options. If youre looking for a more involved user experience and less expensive fees, you should consider Coinbase Pro.
Best Software Crypto Wallets
Software wallets are a more secure means of storing cryptocurrency while making it instantly accessible at any time. Unlike online exchange wallets, software wallets are managed entirely by the user, including private keys â but remain connected to the internet.
A software wallet is typically installed on a PC or smartphone, and allows users to record and store their private key, set up recovery phrases, and remain in control of their crypto at all times. A significant drawback of software wallets is that they are only as secure as the device that they are installed on â if the laptop you install a software wallet is hacked, for example, itâs likely that your software wallet will be compromised.
Many software wallets offer direct compatibility with hardware wallets, streamlining hardware wallet management.
Best Hardware Wallet For Durability: Ledger
- Fees: N/A
Highest-end mobile version includes Bluetooth
Complex setup for less tech-savvy users
Extra steps may be required to buy and load currency into external hardware wallet
The Ledger Nano X and Ledger Nano S are hardware wallets that keep your bitcoins safe in an offline device. About the size of a USB flash drive, Ledger devices connect to your phone or computer to store and access your digital holdings. The device is surrounded by a stainless steel cover, which makes it very durable.
With included Ledger Live software, you can check your balance, and send and receive currencies. Ledger supports over 1,800 digital coins and tokens, so you are far from limited to Bitcoin. Ledger Live even supports coin staking, in which you can earn rewards based on your balance.
The basic Ledger Nano S and Bluetooth-enabled Ledger Nano X cost $59 or $119, respectively. Nano S has capacity for up to three applications at a time, while Nano X holds up to 100 applications at a time. Apps may be needed for certain currencies and other purposes, which means you may not be able to use all supported currencies at the same time with one device. Both use highly secure chips similar to the ones used in a chip-based credit card or passport.
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Best Cryptocurrency Wallet: What Is A Cryptocurrency Wallet
A cryptocurrency wallet is a software program, online platform or a hardware device that holds the keys you use to send and receive various blockchain cryptocurrency tokens. It literally stores your private keys and your public keys the secure way wallets communicate with blockchain cryptocurrency ledgers.
It also lets you look at your cryptocurrency balances. The interface, the way the software looks, helps users to understand their cryptocurrency holdings .
The way blockchain works are that ledgers get updated across all nodes on the blockchain network. This means all individual ledgers are updated at the same time a wallet doesnt hold crypto money, but a record of transactions.
Note: A ledger is another word for a database. The word ledger is much more common than database in the crypto world, so youll hear it often!
Also: A node is what we crypto geeks call the individual computers that run and maintain the blockchain.
Unlike the wallet in your pocket, your cryptocurrency wallet doesnt store money in the same way a PayPal account stores funds. This is the crucial difference between cryptocurrency wallets and other online money accounts.
Coinomi: Best Software Wallet For Smartphones
Coinomi is a smartphone-focused crypto wallet that supports over 200 different cryptocurrencies, making it the ideal solution for a mobile multi-currency wallet. Coinomi isnât the most secure crypto wallet on this list, as older versions of the Coinomi app have been targeted by hackers, but recent changes to the Coinomi code appear to have fixed this problem.
Coinomi functions as a reasonably secure mobile wallet for iOS and Android, but itâs best used in combination with a hardware wallet for storing large amounts of cryptocurrency in a secure manner. Importantly, Coinomi allows users to hold their own private keys, and offers a relatively easy to understand user interface.
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Best Crypto Wallets: Hardware Wallets Vs Software Wallets
The most important thing to know before choosing one of the best crypto wallets is that there are two main categories: hardware wallets and software wallets, also referred to, respectively, as cold and hot.
Hardware wallets are physical electronic devices and have a cost to purchase software wallets are free and make it more convenient to access your funds, but they are less secure because they are connected to the internet.
Think of hardware wallets like savings or investment accounts, and software wallets like the leather wallet you carry around in your purse or pants pocket theyre not for holding your life savings in crypto, just what you may need or want to transact on a daily basis.
Within the software wallet category, there are three types of wallets: web, desktop, and mobile. Below we explain the similarities and differences between all four kinds of wallets and note our favorites of each, which of course will vary depending on personal preferences.
Things To Check Before Choosing Where To Buy Bitcoin
Buying Bitcoin for the first time could be exciting. But, if you choose the wrong crypto exchange, things could go very wrong. So, it would help if you kept some factors in mind before choosing a place to buy Bitcoin. Here is what we suggest you should check before you decide where to buy Bitcoin.
- Availability in Your Country
Finding this information will help you if you want to avoid scams and fraud. If the physical office is in your country, you can visit them and take your money back. Moreover, it is easy to contact them for support or give the office a visit, if necessary, to clear your issues. That also includes the acceptance of the cryptocurrency with the bank account you have. If your countrys banks are not accepting cryptocurrencies, then you cannot withdraw the amount.
Cryptocurrencies are entirely digital, so you cannot keep them in your house. You have to get a digital wallet to carry these currencies. If the exchange you choose has a bad reputation, it might take away your digital assets, leaving your wallet empty. And in most cases, you cannot do anything about these companies since they will not respond to your calls.
- Mobile Apps
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How Does A Bitcoin Wallet Work
A blockchain is a shared public ledger where all Bitcoin transactions are conducted, from Bitcoin wallets. When a transaction occurs, there is a transfer of value between more than one Bitcoin wallet. Typically, a single party is exchanging some value of Bitcoin for another asset or service with another Bitcoin wallet. When this occurs, every individual Bitcoin wallet will use its secret data to sign and validate transactions, providing mathematical proof that the buyer or seller is the owner of their Bitcoin wallet. Your wallet can safely keep as much Bitcoin as youd like without any limit.
Ledger Best Cold Wallet
Platforms: Mac OS, Windows, Linux, iOS, AndroidCoins: 1184
|Ease of use||Not mobile-friendly|
Ledger has produced the first and the only certified hardware crypto wallet which has been created for token owners for whom the security of their assets is critical. It is the company which has produced 4 wallets which are sold in 165 countries. The hardware wallet can be accessed both from PC and mobile devices since there are free apps to download and install. There are the latest security features which are constantly updated, a possibility to check real-time balances, and multiple counter values supported. Wallet owners can manage the account as well as look through the full transaction history and add new or existing accounts.
The latest and most advanced model of the wallet Ledger Nano S Experience is a small and compact device with a metal casing. When you plug the wallet into your computer for the first, you will set up a PIN and get a 24-word phrase that serves as a private key to it. When you install the software, it is ready for use. It will take only a couple of minutes to get used to it thanks to the simplicity of its interface.
The wallet is operated by two buttons which can be used for typing your PIN, inputting recovery words, checking your balance, and confirming transactions.
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Best For Beginners: Sofi
- Fees: Up to 1.25% of transaction
- Cloud Storage: Yes
SoFi is a brokerage platform. While the company does not meet the strict definition of a bitcoin wallet or cryptocurrency exchange, it does help users who want to invest gain exposure to cryptocurrencies. However, SoFi users are not able to deposit or withdraw cryptocurrency from their account, and do not have the same security as some other bitcoin wallets.
Manage investments and crypto with one account
Many additional free finance tools and features for customers
Limited currencies available
SoFi is a financial company that offers investing, student and personal loans, a , and other financial products. Within SoFi Invest, you can buy, sell, and hold bitcoins and other cryptocurrencies. There is a $10 minimum to open an account. When buying crypto, SoFi charges up to 1.25% of the transaction as a markup.
SoFi supports only 21 crypto currencies. Thats not as impressive as some of the digital wallet providers and dedicated crypto exchanges that offer hundreds or more. With SoFi, you can buy Bitcoin, Ethereum, Dogecoin, Cardano, and 17 others.
SoFi offers a great user experience and works well for crypto beginners. Its good for buying and selling, but not for transfers to or from other wallets. Advanced users may find the platform and trading system at SoFi limiting, but its a good choice for someone completely new to Bitcoin.
Are Mobile Bitcoin Wallets Safe
A mobile bitcoin wallet is not very safe, generally speaking.
This is because they’re connected to the internet through your smartphone, leaving them vulnerable to hackers. Your mobile phone also has a lot of sensitive personal data and geolocation data , so it could be very bad if this data got into the wrong hands.
Desktop and cold storage wallets are best.
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How We Chose The Best Crypto Wallet
We looked at over 15 crypto wallets and evaluated them based on security, functionality, and cost. Because crypto wallets come in hot and cold varieties, we had to evaluate certain factors differently among them. For instance, the cost of using a hot wallet is hard to establish due to variable exchange, network and wallet fees, but cold hardware wallets are physical products that must be bought from a store.
The wallets included in our list scored high in the following categories:
- Safety – Safety is our top concern when dealing with crypto wallets. We favored wallets with 2-factor authentication, biometrics, multi-signature support, open-source code, and strong security protocols for transactions.
- Features – Features focuses on the general functionality of each wallet. Wallets with a larger number of tradable assets, live charts, staking and lending capabilities, and hardware wallet compatibility scored higher with us.
- Cost – The cost of a crypto wallet depends on the type of wallet. We favored reasonably priced cold wallets and hot wallets with exchanges that charge less for processing transactions. We also considered wallets with customizable transaction fees.
The Best Bitcoin Wallets Of 2021
- Best for Beginners: Exodus
- Best For Advanced Bitcoin Users: Electrum
- Best for Mobile Users: Mycelium
- Best Bang For Your Buck: Ledger Nano S
We picked Exodus as best for beginners because it is free and comes with good customer support and optional support for cold storage.
Closed source software
Exodus is a desktop and mobile wallet with a very simple user interface and an exchange built-in. One of Exoduss most popular features is the ability to swap between a growing number of cryptocurrencies. Exodus currently allows for swaps between over 100 different cryptocurrencies.
With its simplicity, this wallet is great for beginners just getting into the crypto space. It also has great support, which is an essential feature for beginners getting into what many would consider a confusing market.
While it is great for beginners, more advanced users may find it lacking in some features. First, Exodus is a closed source wallet. This goes against the ethos of the idea of Bitcoin and blockchain and can create some security concerns as its code is not open for everyone to see. Instead, users rely on the Exodus team to ensure there are no holes in the security of its wallet.
Exodus has an option to set custom fees to keep costs down in addition to the option of automatically setting a fee that ensures the transaction completes quickly.
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The 8 Best Software Crypto Wallets To Store Your Assets
If you own any amount of cryptocurrency, you may be wondering how to store it most safely and securely. Given that a cryptocurrency is a digital form of money, you can’t just pop it in your bedside drawer or a safe. Instead, it needs to be stored on a piece of hardware or software.
So, let’s talk about crypto software wallets that allow you to store crypto using a laptop, computer, or similar device. So, what are the best software wallets out there, and what do they cost, if anything?
Are Bitcoin Wallets Worth It
This depends on how much security you’re looking for. Crypto wallets were created to protect your private key and crypto assets against security breaches. While most wallets give you complete custody over your coins, not all cryptocurrency exchange platforms do .
If you’re looking for external storage for your assets, cold wallets are probably the best option for you. Hot wallets could be a better fit if you prefer online software storage.
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Best Crypto Wallets: Best Hardware Crypto Wallet
A hardware wallet is a physical electronic device that contains your personal cryptocurrency private key and allows interaction with various blockchain networks. Most of the leading hardware wallets can support hundreds of different cryptocurrencies.
Hardware wallets connect to your computer through a USB port or Bluetooth . These are the most secure crypto wallets because they are not connected to the internet.
One drawback to a hardware wallet is that since youll want to keep it in a safe place and not connected to your computer or mobile device, it wont be as readily available as a software wallet would be for making transactions. Hardware wallets are therefore best suited to the buy-and-hold crowd, those dealing with very large sums of crypto, and the ultra-paranoid.
What if you lose the device or forget your PIN code? Dont worry as long as you are using a hardware wallet from a respectable brand , your seed phrase will enable you to recover your PIN or transfer your funds to a new device.
Our recommendation: The Ledger Nano X is small, moderately priced , and easy to setup and use. It features a Bluetooth connection to manage your crypto on the go and supports over 1,500 different crypto assets. For security it features a PIN code and 24-word recovery phrase.
Why Use A Hardware Wallet
Why would you want to choose a hardware wallet over a desktop or online wallet? The main advantage of hardware wallets is simple: theyre widely considered to provide the most secure storage option for crypto coins and tokens.
Unlike web wallets and desktop software wallets, which are exposed to risks like hacking, malware and phishing scams, hardware wallets provide offline storage. Your coins will be safe even if your computer is hacked your private keys are stored securely in your hardware wallet, not on your PC and lost or stolen wallets are PIN protected.
In addition, if you lose your wallet, you can restore your coins by using your recovery seed. This is a unique passphrase that you can write down and store in a separate place. This recovery seed allows you to recover your funds if something goes wrong.
There has been a myriad of well-publicized examples of hackers and cybercriminals stealing coins from exchanges and hot wallets, so opting for a hardware wallet is all about peace of mind. If youre planning on storing a large amount of crypto for any length of time, moving them into a hardware wallet could be well worth your while.
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Other Crypto Wallets We Considered
- No hardware wallet integration
- Not many coins are available for the atomic swap feature
Atomic Wallet is a hot storage wallet with plenty of things going for it. Users dont need to open an account to use it, customer support is available 24/7, and it supports a considerable amount of assets. One highlight is its Atomic Swap feature, which uses a decentralized crypto exchange housed within the wallet itself to exchange currencies without third parties. It didnt land on our list of the best cryptocurrency wallets because other wallets offered better versions of most of its features.