Bitcoin wallet is used to store your Bitcoins. Without a special wallet, you can’t send or receive Bitcoins payments. So before you even think of buying Bitcoin, get your Bitcoin wallet first.
There is no such thing as best Bitcoin wallet. It depends on your needs and technical backgrounds. Some users prefer online wallets, other prefer hardware wallets. Continue reading to understand which type of Bitcoin wallet is right for you.
There are 3 main types of Bitcoin wallets:
Every Bitcoin wallet type has own advantages and disadvantages. So we cannot say that hardware wallet is necessary better than online wallet. Every person has unique needs and preferences, that is why every user chooses Bitcoin wallet that has features important for him/her. The only thing that every Bitcoin user is looking for is security.
So if you are earning or plan to earn a lot of Bitcoins, security must be your first priority when selecting Bitcoin wallet. We selected most secure Bitcoin wallets that you can see below:
A hardware wallet keeps you private keys in encrypted hardware device away from internet. Such Bitcoin wallets prevent hackers from accessing your private key. That is why hardware wallets are regarded as most secure Bitcoin wallets. You don’t have to be a tech genius to setup hardware wallet. Everything is simple and straightforward. See our rating of the best bitcoin hardware wallets below:
Online Bitcoin wallet, or web wallet, is used to store your private keys online. If you are not tech savvy, online wallet is the best solution – you register on one of the online wallet websites, set login and password, receive your Bitcoin address and that’s it. Bitcoin wallets online can be accessed any time via Internet.
GreenAddress is a popular multisignature Bitcoin wallet that you can use on Chrome, Android, and iOS. GreenAddress can work in combination with hardware wallets is compatible with hardware wallets like TREZOR and Ledger Nano. This wallet is very popular. It’s free and secure.
Schildbach Wallet (also known as Bitcoin Wallet) was the first mobile Bitcoin wallet. Many believe this is the safest mobile wallet, because it connects directly to the Bitcoin network with SPV. This wallet is very easy to use, which makes it a great choice for beginners.
LocalBitcoins is not just a wallet, it’s rather a platform where you can store, sell and buy Bitcoins anonymously! It has high level of security with 2 factor authentication. But what really makes it unique is the fact that you get new bitcoin address each time you receive or send Bitcoins. This way hackers won’t be able to track your transactions. Your transactions will seem too small for hackers and they won’t have any interest in hacking your wallet. In fact, you may earn hundreds of Bitcoins and nobody except you, will know about this. So if you have or plan to have a, you want to trade Bitcoin for profit, LocalBitcoins is the most secure and hassle free solution.
A paper wallet is a free, secure and not so popular solution for securing Bitcoins. You simply print or write down your private key on a piece of paper. Nobody can hack the paper. So it’s definitely very secure. Yet it has many other disadvantages: you can lose your paper wallet, it can be stolen, it can be easily destroyed and you can’t actually back it up. There will be no way to restore your private keys if you lose this important paper.
If you decided to go for paper wallet, check this tutorial:
Bitcoin is an open source solution, meaning nobody owns it and nobody is responsible for it, only YOU. You are responsible your Bitcoin wallet security and your financial privacy. Follow these steps to ensure your privacy and security:
Always create multiple backups of your wallets. Keep them in a separate secure locations, so you know that if one backup will get damaged, you still have a spare backup that you can use.
LocalBitcoins and Coinbase offer Bitcoin wallets, and I personally use them a lot, but the truth is controlling your private keys is always a better idea than relying on 3rd parties such as bitcoin exchanges. This is the only way to have full control of your funds.
Buy reusing address, you put yourself under threat of hackers. Bitcoin transactions are public, so hackers can easily group them and understand that payments belong to one person. And if you have big transaction, they will definitely try to steal your Bitcoins. But using new addresses for every transaction, you secure your financial privacy and money. Most Bitcoin wallets today automatically create a new address for each transaction. Make sure your wallet offers this.
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