Crypto wallets are tools for users to interact with the blockchain network. Crypto wallets are divided into software wallets and hardware wallets, which can also be divided into hot and cold wallets.
Software wallets are easier to use than hardware wallets, but hardware wallets are more secure.
A crypto wallet is a tool for users to interact with the blockchain network, it does not store assets. When a wallet is generated, one or more pairs of public and private keys are created.
Based on the public and private keys, a public address is also generated, which is a string of letters and numbers. Users can tell others the address to use to receive funds.
With the private key, anyone can access the crypto in the wallet on any device, so the user must not reveal the private key to anyone.
All users need a wallet address to store and trade cryptos. Users can use hot wallets provided by centralized crypto exchanges, browser plug-ins, software wallets on mobile phones or computers, or hardware wallets.
Software wallets recommend imtoken and Tokenpocket. The browser plugin recommends metamask. Hardware wallets recommend Ledger and Trezor.
Crypto wallets can also be classified as "hot wallets" or "cold wallets" according to the way they operate.
A hot wallet is a wallet connected to the internet. A hot wallet is a wallet connected to the Internet in any way. For example, in exchange, the exchange's hot wallet is used to send and receive crypto. These wallets are easy to set up and suitable for high-frequency traders.
In contrast, cold wallets are completely disconnected from the internet. They store keys offline and can effectively defend against online attacks by hackers. Therefore, cold wallets are more secure to protect crypto assets. This method is suitable for large and long-term investors.
Software wallets can be divided into web wallets, desktop wallets, and mobile wallets.
Web wallets, such as metamask
Users can use the web wallet to access the blockchain network through the browser interface without downloading software such as browser plug-in wallets and exchange wallets. Some service companies may hold and keep private keys for users, and users enter through account passwords. Although this method is convenient, it also has huge risks. Metamask is a good open-source wallet. People can store private keys by themselves, not store them in a centralized company.
At present, most network wallets support users to manage their own private keys, and can also set up multi-signatures to share control rights. Before choosing a web wallet, you should check the security of your wallet.

desktop wallet
A desktop wallet is a software that can be downloaded to a computer. With desktop wallets, users have access to keys and funds control. The creation of the desktop wallet will generate a file named wallet.dat and save it locally. This file can be used to access private key information, or it can be self-encrypted. If you forget your password after encryption, you may lose your wallet and the funds in it cannot be withdrawn. Therefore, users must be careful to back up files or export private keys or mnemonics. Typically, desktop wallets are safe without malicious attacks.
Mobile wallets like imtoken, tokenpocket
Mobile wallets are similar to desktop wallets but run on mobile phones. These wallets are highly portable and can also receive funds via QR codes. Mobile wallets are often ideal for everyday transactions and payments. Like desktop wallets, if the phone is maliciously attacked, or the phone is lost, the security of private keys and funds will also be compromised.

such as Ledger, Trezor
A hardware wallet is a physical electronic device that generates public and private keys through a random number generator. The private key is stored inside the device and is not connected to the internet. Therefore, hardware storage constitutes a kind of cold wallet and is one of the safest solutions.
Although such wallets provide better protection, they may also face certain risks if they are maliciously cracked. At the same time, the portability of hardware wallets is not high, and some hardware wallets need to be used in conjunction with computers, which is relatively troublesome to deposit and withdraw funds.
As long-term holders or large holders of cryptos, hardware wallets should be considered.

Losing the private key can lead to loss of access to the wallet and cause serious financial losses, so a backup of information is crucial. In most cases, the software will backup wallet.dat or user backup mnemonic phrase. If the software has set a password, you also need to back up the software password.
For high-frequency traders who trade frequently, the use of online wallets for some funds can make it easier for users to access the blockchain network and trading market. For large long-term holders, cold wallets are more recommended. The security of cold wallets is better, and the feature of not being connected to the Internet can resist network attacks.
Crypto wallets are an integral part of the crypto usage process. Users need to use a wallet to enter the blockchain network to send and receive tokens. Different wallets have different advantages and disadvantages, users need to understand the wallet and choose according to their own needs.
Written by: Lucio Lyu
Twitter: @imLucio_eth
Crypto wallets are tools for users to interact with the blockchain network. Crypto wallets are divided into software wallets and hardware wallets, which can also be divided into hot and cold wallets.
Software wallets are easier to use than hardware wallets, but hardware wallets are more secure.
A crypto wallet is a tool for users to interact with the blockchain network, it does not store assets. When a wallet is generated, one or more pairs of public and private keys are created.
Based on the public and private keys, a public address is also generated, which is a string of letters and numbers. Users can tell others the address to use to receive funds.
With the private key, anyone can access the crypto in the wallet on any device, so the user must not reveal the private key to anyone.
All users need a wallet address to store and trade cryptos. Users can use hot wallets provided by centralized crypto exchanges, browser plug-ins, software wallets on mobile phones or computers, or hardware wallets.
Software wallets recommend imtoken and Tokenpocket. The browser plugin recommends metamask. Hardware wallets recommend Ledger and Trezor.
Crypto wallets can also be classified as "hot wallets" or "cold wallets" according to the way they operate.
A hot wallet is a wallet connected to the internet. A hot wallet is a wallet connected to the Internet in any way. For example, in exchange, the exchange's hot wallet is used to send and receive crypto. These wallets are easy to set up and suitable for high-frequency traders.
In contrast, cold wallets are completely disconnected from the internet. They store keys offline and can effectively defend against online attacks by hackers. Therefore, cold wallets are more secure to protect crypto assets. This method is suitable for large and long-term investors.
Software wallets can be divided into web wallets, desktop wallets, and mobile wallets.
Web wallets, such as metamask
Users can use the web wallet to access the blockchain network through the browser interface without downloading software such as browser plug-in wallets and exchange wallets. Some service companies may hold and keep private keys for users, and users enter through account passwords. Although this method is convenient, it also has huge risks. Metamask is a good open-source wallet. People can store private keys by themselves, not store them in a centralized company.
At present, most network wallets support users to manage their own private keys, and can also set up multi-signatures to share control rights. Before choosing a web wallet, you should check the security of your wallet.

desktop wallet
A desktop wallet is a software that can be downloaded to a computer. With desktop wallets, users have access to keys and funds control. The creation of the desktop wallet will generate a file named wallet.dat and save it locally. This file can be used to access private key information, or it can be self-encrypted. If you forget your password after encryption, you may lose your wallet and the funds in it cannot be withdrawn. Therefore, users must be careful to back up files or export private keys or mnemonics. Typically, desktop wallets are safe without malicious attacks.
Mobile wallets like imtoken, tokenpocket
Mobile wallets are similar to desktop wallets but run on mobile phones. These wallets are highly portable and can also receive funds via QR codes. Mobile wallets are often ideal for everyday transactions and payments. Like desktop wallets, if the phone is maliciously attacked, or the phone is lost, the security of private keys and funds will also be compromised.

such as Ledger, Trezor
A hardware wallet is a physical electronic device that generates public and private keys through a random number generator. The private key is stored inside the device and is not connected to the internet. Therefore, hardware storage constitutes a kind of cold wallet and is one of the safest solutions.
Although such wallets provide better protection, they may also face certain risks if they are maliciously cracked. At the same time, the portability of hardware wallets is not high, and some hardware wallets need to be used in conjunction with computers, which is relatively troublesome to deposit and withdraw funds.
As long-term holders or large holders of cryptos, hardware wallets should be considered.

Losing the private key can lead to loss of access to the wallet and cause serious financial losses, so a backup of information is crucial. In most cases, the software will backup wallet.dat or user backup mnemonic phrase. If the software has set a password, you also need to back up the software password.
For high-frequency traders who trade frequently, the use of online wallets for some funds can make it easier for users to access the blockchain network and trading market. For large long-term holders, cold wallets are more recommended. The security of cold wallets is better, and the feature of not being connected to the Internet can resist network attacks.
Crypto wallets are an integral part of the crypto usage process. Users need to use a wallet to enter the blockchain network to send and receive tokens. Different wallets have different advantages and disadvantages, users need to understand the wallet and choose according to their own needs.
Written by: Lucio Lyu
Twitter: @imLucio_eth
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