What is a Crypto Wallet?

A crypto wallet is a tool that lets you interact with a blockchain network. Many people think a wallet stores your coins, but that is not exactly true.

How it really works

Your coins live on the blockchain. Your wallet holds your private keys. These keys prove that you own the coins. If you lose your keys, you lose access to your coins.

Hot wallets versus cold wallets

A hot wallet is connected to the internet. This includes apps on your phone or extensions on your browser. They are easy to use but slightly less safe.

A cold wallet is a physical device. It is not connected to the internet. This makes it very safe against online hackers. We recommend using a cold wallet for large amounts.