Blockchain Education - Intro To Hardware Wallets

There is no better thing to learn about digital currencies than how to properly secure and store them.

by Betcoin on January 1st, 2018

Learning every aspect of blockchain technology is not exactly a hard task, however, it does require giving up some of your valuable time to do so. Reward, on the other hand, is knowledge and there is no better thing to learn about digital currencies than how to properly secure and store them. Now that we are on the same page let's take a closer look at some of the crypto hardware wallets out there.

Why Do I Need A Crypto Wallet?

Wallets are nowadays more of a novelty accessory in your daily living routine but when it boils down to the blockchain assets and currencies, saving, sending or receiving any crypto would be impossible without having a personal wallet first.

There are multiple variations of digital currency wallets out there: Web-wallets, Desktop-wallets, Hardware-wallets, and Paper-wallets.

Listed starting from the least secure option.

Should I Keep Digital Currencies/Assets In Web-wallet?

There is a dangerous trend happening in the crypto sector right now, many users have started to feel safe keeping their savings in various web-wallets due to being provided with the access to their private keys.

Now, let's take a step back for a moment.

You have been given access to your private key over a web-interface, great you are in control! Or are you now? Your private key will be visible at the very least to one person who wouldn't have such luxury in a perfect-blockchain-world.

It is fine to use web-based crypto wallets for small amounts but one should never store his life-savings or any coin that they cannot afford to lose in them.

What Is A Crypto Hardware-Wallet?

Crypto hardware-wallet is a unique wallet that has all of the private keys stored in a hardware device.

These type of wallets are secured against viruses that target various software-wallets.
Most of the times private keys are stored in a way that doesn't permit transferring keys out of the device in plaintext, making it secure against hacker attacks.

Which Crypto Hardware-Wallets Are The Best?

To date, there is almost a dozen of different blockchain hardware-wallets out there but to get you on the right track here are some examples:

1) KeepKey - A hardware-wallet to store your bitcoin. Unlike other crypto hardware-wallets, KeepKey has a unique recovery feature that allows resetting of private keys. Thanks to this you do not need to store your private keys on the device.
2) Ledger Nano S - Utilizing same security features that have been in use in the banking industry for decades, microchip, Ledger Nano S has proven to be one of the most secure hardware-wallets available in the blockchain sector. Ledger connects to your PC via USB but all of the sensitive work, such as signing the transactions, is done in its secure environment which means that you could use LNS-wallet even on a low security or compromised computer.
3) Trezor - Known as the Bitcoin Safe is one of the first BTC hardware-wallets introduced but has since developed into so much more! Trezor latest firmware update supports keeping all of your ERC-20 tokens on Trezor addresses as well as allowing signing transactions for them!

We hope that this article helps you understand how to securely store your crypto savings! If you are a crypto hardware-wallet user who happens to have some extra tips for the community then leave a comment below!

 Filed under: General, Hardware Wallets, Blockchain


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