Cryptocurrencies Wallets [Hot ???? and Cold ????] - Inspired By: Crypto Casey
Cryptocurrencies Wallets have softwares that interacts with Blockchain network, stores public and private key, monitors balance, send and receive cryptocurrencies.
As well said by Crypto Casey, there's hot and cold wallets. The cold cryptocurrencies Wallets store your private key offline while the hot cryptocurrencies wallet store your private key online.
Hot wallets are set up and run online, these are more vulnerable to hackers and other methods of comprises. The least secured set up of these hot wallets are online exchanges. They are online, heavily targeted by hackers and cryptocurrencies exchanges rehypothecate crypto ( The balance you see in your wallet isn't yours alone, it's shared. At no one time can all cryptocurrencies exchanges users cashout, there won't be enough Cryptocurrencies for everyone because the exchange cryptocurrencies are not backed one to one with the clients/users)
The safest way to store your cryptocurrencies? Cold wallets! Especially designed to create and store your private key offline! When dealing with a cold wallet you need the physical,hardware wallet plus you go through more security checks making sure your cryptocurrencies balance is extra safe.
These hardware wallets are good to have. You might want a big balance with these though, just saying. The advice is to buy the cold wallet from the manufacturer. No second hand or used cold wallets are worth it,this makes the cold wallet vulnerable to hacks. Assets the website you are getting your cold wallet from.
There's ways to make the hot wallets more secure by using face ID, setting up 2FA(Two - Factor Authorization) or use the security layer option provided by the hot wallet provider. It is important to have the second security layer. You'll then be given a recovery wallet that you can use to access your accounts.
Bonus : Tokenize your project, start with the free token set up
