Most people who invest in Bitcoin have used Digital Wallets, but most people don't really know the wallets they use. The mainstream wallets on the market are even less understood.
Most of people are recommended by friends or people on the Internet, so they use it. Today I'm going to tell you about how to choose a Bitcoin wallet and wallet types. Let’s read carefully this article together !
How to choose a Bitcoin wallet?
Ⅰ. The wallet usually contains:
1.Public key, private key, address
2.Transaction information related to the address in the wallet
3.Other auxiliary data
Ⅱ. 4 factors to choose a wallet:
1.Amount of investment
- Trading frequency
- Understanding of network security
The core data is the key, and possessing the key has everything and the relevant information can come from it. The wallet does not necessarily need to contain the complete BlockChain data, and the wallet that does not contain the BlockChain data is called the Light Weight Wallet. For most everyday use, a light wallet is enough.
Paper wallet-As the name implies, the paper wallet records the Bitcoin address and the private key on a “paper”, but the paper can be printed and stored on the network. Since paper is used to store the private key, the paper wallet can completely prevent computer viruses from invading. You don't have to worry about Bitcoin loss due to computer security issues. The risk of accidents in third parties is completely avoided. Paper wallets are somewhat simpler than maintaining computer security with Bitcoin wallet software. For those computer whites, this benefit is especially noticeable. But you must ensure that the Bitcoin paper wallet with the private key is safely stored.
Hardware wallet-The hardware wallet means that the digital asset private key is stored separately in a chip, isolated from the Internet, and plug and play. The hardware wallet can't guarantee 100% security. For example, if a Geek gets your hardware wallet, you don't know your private key, and it may be brute force. It is only one of the safest storage methods relative to other means of storage. Of course, there are exceptions, such as your brain power is unlimited, and you will never forget. That is not as much as saving your own mind.
Mobile wallet-A mobile wallet is an app installed on your smartphone that handles all transactions for you when you need it. It is probably the most convenient wallet type: you always have it with you, you can scan transaction addresses as QR codes with your camera and check balances online. Some wallets come as a part of crypto exchange ecosystem, so you can convert your assets instantly at any time.
However, this comfort comes with a price: Mobile wallets are less secure than offline wallets, either paper or hardware. Mobile wallet apps store the private key in your smartphone’s memory. If the phone is stolen or hacked, the thieves can gain control over your private key and steal your money.
Desktop client-Desktop wallets store the private key in computer memory. The user is the one responsible for maintaining the system security because if the PC is hacked, the hacker would be able to steal the private key as well. As a rule, desktop operating systems are less secure and less immune to hacker attack than mobile OSes (if no special measures were taken like setting up a firewall and antivirus software), and as a result are considered less secure than mobile ones.
Online Web wallet-A web wallet is just a webpage that you use to manage transactions to and from your Blockchain address. The advantage of a web wallet is that you don’t need to install and set up any software. It is a website that gives you the control over your funds. You can use this wallet with any platform and device, be it your home PC, a friend’s borrowed tablet, or anything else that is connected to the Internet and has a browser. The drawback of web wallets again is security. First, online wallets hold the user’s private key, so if the service provider is hacked, all user funds are lost. Second, any device you use to access your account can have security breaches, be infected with a virus or have a keyboard spying software running in the background. This dramatically increases the risk of your account been compromised. Of course, there is antivirus software that can reduce these risks, but you will not run a full system scan if you dropped by in an internet cafe for a couple of minutes to make one small transaction from your account.
The above knowledge about the wallet is introduced here, pay attention to Bybit, I believe more exciting content should not be missed.