Having a complete knowledge about crypto wallets is crucial to choose the best one for your crypto trading needs. In this guide, we’ll let you know what a crypto wallet is. Also known as e-wallet, a crypto wallet is a virtual place where you keep your payment and identification information. Digital wallets can be used with a number of mobile payment systems. As a crypto user, you need to use the right wallet that best suits your needs. To find a right wallet, you first need to distinguish between different kinds of wallets. Let’s have a look at different types of digital wallets:
Different Types of Crypto Wallets
There’re five types of e-wallets available in the market: Online, Mobile, Hardware, Desktop and Paper wallets. Let’s take a look at them below:
Online Wallets – This wallet type employs cloud technology, and therefore it can be accessed from a number of devices using internet connection. Like cloud services, online wallets are convenience and practical. However, they are more prone to theft compared to paper wallets.
Mobile Wallet – Mobile wallets are phone apps making it easier for you to make transactions on the go. They can also be used in physical stores as a means of payment. All you need is to download an app to our phone and set up your account. They are considered much safer than cloud wallets.
Hardware Wallet – These wallets store users’ private info on a device, usually a USB drive. Since they are offline most of the time, the risks associated with hardware wallets are almost zero. However, they are quite expensive compared to other wallet types.
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