The Best Bitcoin and Crypto Wallets
The world of cryptocurrency is increasing in popularity and investors are eager to know more about the best options for storing their coins. When it comes to safeguarding cryptocurrency portfolios, wallets are front and center—making them an integral part of the cryptocurrency community.
Cryptocurrencies are digital assets that require secure storage to minimize the risk of hacking and theft. Investors and traders of digital assets choose from hundreds of different wallet options, including paper wallets, software wallets, hardware wallets, and web-based wallets. This article will explore the best bitcoin and crypto wallets available to provide an insight into the various storage options for digital assets.
What to Look for in a Bitcoin or Crypto Wallet
Before exploring the range of wallets available, it is key to understand the features to look for when making a wallet choice. Here are the essential features that you should investigate when selecting a secure wallet to safeguard your digital asset portfolio.
Private Keys: Private keys are essential to wallet security as they must be kept secure and kept private at all time. Private keys are associated with a particular address and are used to access a particular wallet and the funds stored within it.
Account Backup: The ability to backup accounts to secure a wallet is an important security feature to look for. Look for wallets that allow you to create, store, and backup accounts on a USB drive, flash drive, or other secure storage device.
Two-Factor Authentication and Multi-Signature Verification: Multi-signature verification and two-factor authentication are important security features as they can add an extra layer of protection to your wallet.
Transparency: Look for wallets that provide details on their development team and the security protocols used to protect user funds. This information could be provided on the wallet website, or via a whitepaper.
Wallet Types
Now that you know the key features and understand the elements to look for, it’s time to explore the various types of wallets available. Here is a brief overview of the most popular types of wallets for cryptocurrency storage.
Software Wallets
Software wallets are the most commonly used type of wallet, store digital assets on a personal computer or phone. Software wallets provide users with convenient access, instant transaction processing, and a variety of features such as private key storage and account backup.
Hardware Wallets
Hardware wallets are the most secure type of wallet and are designed to store cryptocurrency within the hardware itself. The hardware wallets are USB-type drives that can be carried around easily and are generally more secure than software wallets.
Paper Wallets
Paper wallets are secured by a key-pair that is printed on paper and stored in a secure location. Paper wallets provide users with the highest level of security and are popular among investors who want to store large amounts of cryptocurrency.
Web-Based Wallets
Web-based wallets are wallets hosted on the internet and are available to users on the provider’s site. These wallets are convenient and secure, but users must exercise caution when using them as they are vulnerable to hacking.
Best Bitcoin and Crypto Wallets in 2021
Now that you have a better understanding of the common types of wallets available, it’s time to list the best bitcoin and crypto wallets of 2021. Here are some of the most popular and secure wallets to safely store your digital assets.
Software Wallets
Exodus: Exodus is a free software wallet that allows users to store multiple cryptocurrency assets. It provides users with a secure platform to trade, exchange, and store coins.
Coinomi: Coinomi is an open-source wallet that allows users to store multiple cryptocurrencies. It has top-level security, an intuitive user-interface, and advanced privacy features such as coin-shuffling.
Edge: Edge is a secure multi-currency wallet that allows users to easily send, receive, and exchange digital assets. The wallet also provides users with the ability to purchase coins using debit or credit cards.
Hardware Wallets
Ledger: Ledger is a hardware wallet that offers enhanced security for cryptocurrency portfolios. The wallet comes with a physical display and buttons to verify transactions—making it difficult to be hacked.
Trezor: Trezor is a hardware wallet that is designed to securely store digital assets. The hardware wallet offers two-factor authentication, a pin code, and a seed phrase for account recovery.
Paper Wallets
MyEtherWallet: MyEtherWallet is a free paper wallet service that allows users to generate paper wallets for Ethereum and tokens ERC20. The wallet also allows users to securely store their coins offline.
Web-Based Wallets
Coinbase: Coinbase is a web-based wallet that allows users to buy, sell, store, and manage their digital currency. The wallet also allows users to purchase coins using various payment methods, including debit or credit cards.
Cryptocurrency wallets are essential for users who want to store and secure their digital assets. In 2021, there is an abundance of wallet options available. Software wallets, hardware wallets, paper wallets, and web-based wallets are the most popular types of wallets. To select the best wallet for your needs, look for wallets with private keys, account backups, two-factor authentication, and multi-signature verification.
Some of the best bitcoin and crypto wallets for 2021 are Exodus, Coinomi, Edge, Ledger, Trezor, MyEtherWallet, and Coinbase. Before selecting a wallet, make sure that it meets the security features to protect your digital asset portfolio.
