Where do you store your Cryptocurrency after buying them? And why Ledger Nano S is top 3 safest and user-friendly wallets.
Cryptocurrency wallets are vital for keep your Bitcoin, Ethereum or any other digital assets safe from others, it is like your bank account to the world of Cryptocurrency. After acquiring cryptocurrency on an exchange or from a broker, it is highly recommend to use a cryptocurrency wallet. Therefore, one has to know what it is and how it works. A cryptocurrency wallet consists of two elements— a private key and a public address.
Like the password to your bank account, the private key allows you to access your wallet of
Cryptocurrency. If you lose your private key, it will be almost impossible to retrieve your Cryptocurrency, will be lost forever in digital abyss. Same rule applies if your private key lands on the wrong hands, once it is transferred out by unauthorized users, there is nothing you can do to it. A public address is provided to other Cryptocurrency’s users to send/receive funds by the address or QR code. Please note that you are solely responsible for protecting your Cryptocurrency assets. And with rampant cases of hackers on Cryptocurrency and etc, please reconsider the security of your valuable assets.
In general, there are 2 types of wallets which is Hot wallets and Cold Wallets.
For Hot Wallet, it is convenient to trade Cryptocurrency as they are available online, mainly in most online exchange platforms. This is ideal for traders who like to trade Cryptocurrency. However, it is the most unsafe way to store your Cryptocurrency as it is readily available for hackers to breach. In addition, by placing your assets with the exchange, you are trusting the credibility and security of the exchange platform. All of your assets will be vulnerable if the exchange is compromised. This explains the numerous stories of Cryptocurrency exchanges being hacked, resulting in millions of lost assets.
Next up is Cold Wallet, it stores Cryptocurrency and are mostly not connected to the Internet, making it safe from online hackers. The most popular mode of Cold Wallet solution is using hardware wallet like Ledger Nano S.
The Ledger Nano S is the most popular hardware wallet now due to a few factors. It is user-friendly even for non-geeks and able to provide a robust security system while being affordable. It also supports many different Cryptocurrencies. In fact, the Ledger Nano S has the highest amount of support for different Cryptocurrencies as of now, allowing you to buy just 1 device to protect all assets.
The Ledger Nano S is not connected to the Internet most of the time, preventing hackers from accessing your assets. In addition, the private key is also stored in a protected cache within the device itself, preventing . The only way of accessing your assets is to get hold of the Ledger Nano S. In addition, the device itself has a robust security architecture that is highly resistant to hacks, virus, malwares and etc.
Overall, Ledger Nano S safely secures your Cryptocurrency assets in a robust security device without being too expensive and while supporting many different Cryptocurrencies for greater functionality.