Many people put their money in a wallet. The wallet makes it easy to carry around and makes money accessible. Having the money in your wallet also helps you keep the money safe. The same with cryptocurrency. Since cryptocurrencies are software, or rather, are not physical objects, they are stored in the same form. There are two main forms of storage for cryptocurrency.
- Software wallets: These are applications or programs developed to store people’s coins.
- Hardware wallets: These are devices that people can buy and hold cryptocurrency.
Factors to consider before choosing a wallet
Before choosing what type of wallet to use, you need to consider some factors, which include:
- The first and most important factor to consider is security. You have to make sure that your money is safe. For this reason, you should invest in a wallet that secures your money from theft.
- The second factor should be accessibility. You should have easy access to your money whenever you want to.
- The third factor is the number of coins or money you have in your portfolio. A person with a few dollars worth of coins should have a different wallet than someone with a 5-6-7 figure worth of cryptocurrency.
Differences between soft and hard crypto wallets
Some of the most notable differences include: How do people access the wallet? Software wallets are hot wallets; this is because they always have access to the internet. Since software wallets aren’t physically accessed, people download them on their devices and use them for different practices. Hardware wallets require people to get access to the hardware and connect them to a device. Other people and organizations can access your wallets by hacking your account.
Hardware wallets are disconnectable from the wallet when people are not using the coins. They are classified as cold storage. This improves their efficiency since they protect your coins from hackers and malware. If you choose to invest in a hardware wallet, you need to know the best in the market. Each Hard wallet is unique and offers different features to clients. It is, therefore, important to conduct thorough research before purchasing one. Some of the best wallets, in my opinion, in no particular order, are the following:
Trezor Model 1
The Trevor Model 1 is one of the world’s most used hardware crypto wallets. Many people who use hardware wallets either use this device or start with it before upgrading to other devices. This is the entry-level device from Satoshi Labs, one of the best companies that offer hardware wallets worldwide. Satoshi Labs is based in the Czech Republic and is one of the oldest companies offering these services. It has nine years of experience in the market. The device costs $77 and covers a wide range of coins.
The company is also involved in other cryptocurrency projects proving they have extensive experience and can offer security services. The Trezor Model 1 has a small screen that is black and white. Users can use this screen to read functions and control the devices. People control the devices through their devices to set and insert pin codes. The case is made from a material that can withstand and protect the device from ultrasound and other waves that hackers might use to access the device. Apart from being a hardware device and impervious to wave attacks, the devices can also have a passphrase set. People who want access to the device must know the passphrase. It is one of the few hardware wallets that can be protected from attacks by setting a passphrase. Attackers need access to the wallet, special tools, and technical skills to access coins in the wallet. If you have set a passphrase, all these will be in vain since they will not be able to access the device.
Trezor Model T
The Trezor Model T is a bigger and better brother to the Trezor Model 1. It has the same shape and security features but with additional features. Since this is the flagship device, it has a hefty price of $280. This price gets you a touch screen rather than a small black-and-white screen. The coloured touchscreen can be used to input commands directly to the device, such as pins and passphrases. This makes it easier to use. The second reason to pay the price for the device is that it allows the owner to save all types of coins in the device. Another feature that makes this device better than most is allowing users to make multiple copies of the seed words. Only people with access to the seed words can use the device. This is good since it allows one device to have multiple users.
Ledger Nano S
This is the cheapest hardware device on this list at $59. This is the entry-level device from Ledge. The company has existed for the last five years offering these devices and many more they have developed. The company uses a custom-developed operating system. One of the best things is that none of these devices has been hacked by anyone worldwide. This is a way to prove that the device offers the best services in the world. The device is operated through buttons on each side of the LED screen. To use the device, you have to install the coin apps on your device. One of the reasons why this device is better than the Trezor devices is that it allows for staking. People can also install the apps on their phones and go mobile with their crypto.
