Srikanth
Every time we see a spike in the bitcoin price, we have a tide of enthusiasts who want to anchor themselves to that opportunity of growing cryptocurrency value. But, there are a considerable amount of people who get drowned in the wave by being unaware of the sensitives that come hand in hand with a cryptocurrency wallet. There used to be clarity in the trade-off between convenience and wallet security in the initial days of bitcoin. You had to select an online wallet that is not precisely secure but easy to use and a hardware wallet that is secure but not easy to use. But now, with cryptocurrency becoming a huge bull run, we had changes in the market for the types of wallets used. The hardware wallets are now more advanced with multiple options that can ensure security, ease, ownership simultaneously.
Bitcoin Wallet
The purpose of a bitcoin wallet is to store the private and public keys as well as the address to the single or multiple bitcoin addresses. There are four kinds of wallets in a bitcoin. They are
- Online wallet – It is an app or a website that stores the keys of bitcoin over a server.
- Paper Wallet – These are the printed versions of public and private keys available physically. They also come with a QR code which can make them easy to use.
- Software Wallet – The bitcoin keys in this wallet are stored in an application you install on a smartphone or computer.
- Hardware Wallet – These are specifically made hardware devices for storing the keys for the bitcoin transactions.
How you store your keys and addresses will lead to the play of security in these bitcoin funds. While every wallet has its own trade-offs and benefits, one should consider which can help them handle their funds with ease and security. However, having said that, if you are someone new to bitcoin, you should possibly consider a hardware wallet. Know why!
Hardware wallets
Hardware wallets are linked to a desktop application, mobile, web that can help you to control and monitor your addresses along with the spending made. Private keys are safely stored in a typical hardware wallet and stick to the device. If you want to confirm the payment being made, you need to sign the transaction inside this hardware wallet and only then the result is sent to the application. This is one of the primary features of a hardware wallet. Security!
When compared to other available wallets for bitcoins, hardware wallets are hard to hack. That said, they have no flexibility that comes with an online wallet. You need to carry the device every time you have to make a transaction. Purchasing a hardware wallet is no less than a micro-investment. Just like those software wallets, in case you lose this device, forgot the PIN or the seed, you have lost all those bitcoins.
Select the right hardware wallet
The evolution of landscapes in these spectra of bitcoin wallets has made a space for hardware wallets. They are now giving a user a mix of convenience, ease and security. To prefer a hardware wallet, you need to buy one. And, to buy the right kind of wallet you need to evaluate the features. They are
- Security – It is highly impossible to have 100% security. But, choosing a device from that company that ensures a robust process to respond in case of vulnerabilities is a perfect choice.
- Company History – Always prefer a business that is existing for several years to stake the bitcoins present in your wallet.
- Support and Integration – This needs attention on how many coins will your wallet accommodate and the number of devices that can support your device.
- Ease and Interface – Select a painless recovery process and select an easy to use interface.
The right selection aids in preferring this wallet amongst others for the capabilities and ease it holds to any beginner.
Advanatages of Hardware wallet
- This wallet can help you connect to a mobile or computer with a USB cable.
- Most hardware wallets come with a touch-screen facility. This helps in the real-time confirmation, rejection and insight of every transaction.
- Resetting your device is easy with a hardware wallet.
- The user interface is a long path for anyone new to bitcoin. The display of a hardware wallet being a combination of that, using it becomes effortless.
- More pleasant experience and negligible to mishaps of security.
- Many hardware wallets have their dedicated support for desktop and web that can manage your portfolios.
- Coordination of multiple online wallets to the existing hardware wallet can help a user to create portals online while using the hardware wallet for transactions.
- There are separate suites that can cater to different solutions of cryptocurrencies. Like a one-stop place where you can update your firmware, change the PIN, recover keys and manage addresses.
- You can monitor the accounts with a hardware wallet even if you’re not connected. You can just connect your wallet for transactions and control it while disconnected.
There are many hardware wallets like Trezon, Ledger, Ellipal and more. Why you should a particular model should address the issues of support, convenience, ease and security.
For someone new to bitcoin but enthusiastic to dive in, it is always preferable to make safer steps in the early days. And that happens with a hardware wallet. With many sensitivities involved, it is as easy to lose money as you make some in cryptocurrencies. Ensuring every corner is secure, might not be possible for a beginner. So opting for a hardware wallet ensures your security, ease and trust. Who doesn’t like an interface that is easy to use, secure, gives us a controlled system while managing our portfolios accurately? Did you consider a hardware wallet for your bitcoin account yet?
