A digital wallet is an app built leveraging blockchain technology to allow you to send and receive your cryptocurrency assets. There are several wallets, but the most popular ones are hardware, desktop, mobile, and web-based. Each type has its pros and cons, so choosing one that fits your needs best is essential.
In this post, we will review some of the best digital wallets for cryptocurrency out there today so you can decide which one suits you best. We will also list things to consider before choosing a digital wallet.
How does a digital wallet work?
A digital wallet is an app that allows users to store, send and receive cryptocurrencies. It’s like a bank account, but it holds cryptocurrency instead of storing fiat currency (like dollars or pounds). The same wallet can be used on multiple devices – so if you lose one device, you don’t lose all your money.
Digital wallets are not 100% secure, though – they can be hacked just like any other online service. So, when selecting a wallet, make sure you choose those with good reviews from existing customers before deciding which one to use. It is also important to always remember to back up your data in case something goes wrong.
Many diﬀerent digital wallets are available today, depending on what type of cryptocurrency they support and how much security they oﬀer their users. Popular ones include Coinbase Wallet, Exodus, Metamask, Trezor, and Trust Wallet. Every type of wallet has its pros and cons, so it’s essential to do some research before deciding which one suits your needs best.
Do you need a digital wallet for cryptocurrency?
That depends on what type of cryptocurrency you want to store.
If you want to store Bitcoin, Litecoin, or any other cryptocurrency that doesn’t require specific software, you don’t need a digital wallet. It may be appropriate for you to use a free online wallet like Mycelium, blockchain.com, or Coinbase Wallet.
Using an online wallet is fine as long as you understand that they can be hacked and your funds can be stolen. If this scares you, it might be appropriate to create your own oﬄine (cold storage) wallets instead. Cold wallets stores your private keys for cryptocurrency assets oﬄine in a robust physical device. This feature is almost impossible for hackers to steal your funds.
However, if you want to store Ethereum, Dash, or any other cryptocurrency that requires specific software, you will need a digital wallet that supports that asset. The good news is most digital wallets in the market today support many cryptocurrencies making it convenient to store and use your crypto assets. Also, you don’t need to download the entire blockchain on your computer – which is almost 3GB of data, so it can take some time. Once your digital wallet is set up, you can transfer, sell, convert and buy any cryptocurrency or digital asset and store it in your wallet.
What to consider when choosing a digital wallet?
When choosing the best digital wallets for cryptocurrency, you need to take a few important things into account.
The first thing to consider is security. How safe is the wallet provider? Is your money protected if something goes wrong? The best wallets oﬀer 2-factor authentication, multi-signature support, in-built exchange features, and more.
Another thing to look at is convenience. Is the wallet easy to use and navigate through? Can you access it from your phone or computer? Some of the best wallets support on-chain lending and borrowing, which helps you earn passive crypto income by adding DeFi products to your portfolio.
Finally, you need to consider the price attached to its usage. How much does the wallet cost? Most digital wallets are fees, but it makes sense to understand if there are any fees involved.
Best digital wallets for cryptocurrency
Based on the above factors, here are six of the best digital wallets for cryptocurrency:
- Coinbase Wallet – Coinbase is one of the most popular digital wallets for cryptocurrency, and it is very secure. It can also be used to buy and sell bitcoin, Ethereum, and Litecoin. It is free to use, and the website is user-friendly.
- Exodus Wallet – One of the safest wallets out there, Exodus is free to use and oﬀers incredible features like Shapeshift integration and custom trading fee options. It has a “beautiful live charts” feature available on Windows, Mac, and Linux.
- Metamask – Wallet Metamask Wallet is a digital wallet that stores Ethereum-based tokens. It’s one of the most popular digital wallets for Ethereum, and it’s very secure. You can use it on any computer or mobile device.
- Trezor Wallet – A good choice for those who want proper security, the Trezor wallet allows you to store your private key oﬄine and has a small OLED screen and two buttons so you can check transactions on the device itself.
- Trust Wallet – Trust Wallet is another excellent option for storing your cryptocurrency. It’s straightforward to use and has many features, including support for the most popular cryptocurrencies and altcoins. The application is available on Android and iOS so that you can access your funds from anywhere.
- Bitgo wallet – Bitgo Wallet is an excellent choice for those who want to store their cryptocurrency in a safe and secure place. It oﬀers two-factor authentication, multi-sig security, and HD wallet services. Plus, it has a very user-friendly interface.
Keep your cryptos safe with a digital wallet. You may be thinking, “I don’t need a digital wallet for cryptocurrency.” But here’s the thing – you do.
As mentioned above, you need a digital wallet to store your crypto assets securely and prevent your funds from getting stolen or hacked.
Digital wallets for cryptocurrency are more popular than ever before, mainly because of the boom in cryptocurrencies like Bitcoin and Ethereum. With over 1,300 cryptocurrencies currently on the market, there are plenty of options when it comes to choosing a wallet that works for you.
Crypto digital wallets are considered safe because most don’t store your private key on an internet server. Instead, they create a random key that only you have access to. This means you’re in charge of keeping your cryptocurrency safe, and there’s no third party helping a hacker gain access.
Digital wallets also provide several features that paper wallets don’t, including PIN codes and password recovery options if you forget what you’ve entered.
hi.com secure digital wallet
If you’re ready to buy some crypto but aren’t sure which digital wallet to use, check out our secure and easy-to-use hi Wallet. hi allows you – even if you have little to no IT/Crypto experience – to use/send/receive crypto and fiat within your hi Wallet. It provides the possibility to send cryptos and fiat currencies within the hi app or even chat messengers – no need to install an external application.
In addition, hi.com lets you convert your cryptocurrencies at mid-market rates. This means converting freely between fiat and fiat, crypto and crypto, or fiat and crypto. The mid-market rate is the average between the buy and sell prices of two currencies at any time and is thus the fairest rate you can get.
Lastly, you can use your hi Wallet to save (or hold) your crypto assets and earn up to 20% APY in interest. Your crypto assets will earn daily rewards, allowing you to earn a passive income simply for holding crypto.
Simply head over to Telegram or WhatsApp to register and get your own secure hi Wallet. Alternatively, you can register on the website to purchase supported cryptos and begin using your assets.