Getting into crypto comes with lots of challenges like; (what are Best Crypto Wallets), be it learning about how this new asset class works, watching out for rug pulls and scams, or simply how to store your digital money in such a way that it cannot be hacked or stolen by others. You may have heard the phrase, “not your keys, not your coins,” – but what does this mean? So put, if you do not have your crypto tokens in your wallet – then you run the risk of your favorite exchange being hacked and your exchange wallet emptied.
As much as in recent years, the more significant exchanges will have some insurance to cover any losses, and you still can’t trust that regulations or bankruptcy will not wreck your favorite exchange. That’s why today, we’re going over 5 of the Best Crypto wallets you can get your hands on!
Notice! on Best Crypto Wallets
Firstly, before we mention ANY of the wallets on our list – we need to make it 100% clear that if you buy a physical crypto wallet or even download a digital one, you must be sure you are buying or downloading from the official site only! This is because most wallets have a seed phrase to recover your crypto assets should you lose your wallet, which is a convenient feature indeed.
However, when you buy from resellers, there is a chance they have pre-loaded your recovery seed phrase before sending the product out to you. Then as soon as you load it with crypto, they log in and take it. So please, official websites only!
I guess it should go without saying, but also, under no circumstances should you ever give out your recovery seed phrase. No customer support member will ever ask for it, and you need to understand that if someone gets your seed, you will lose all your money – so treat it like a state secret; you don’t tell anyone under any circumstances. But ok, ok, horror stories aside – let’s begin with our #1 candidate on Best Crypto Wallets!
1) The Trezor Model T
The Trezor Model T is a funky piece of hardware, also known as a cold wallet. Contrary to popular belief, it doesn’t store your actual funds – it just holds the keys to your funds. Without this physical device agreeing to sign a crypto transaction, the transfer will not take place. You can think of it as a real-world 2-factor authenticator as it requires a physical button to be pressed before a transaction is complete.
The benefits here are immediate – even if a hack occurs, no funds can leave your account without your approval. Some other main benefits include hosting a wide array of crypto tokens, which should consist of most of your favorite alt-coins.
Trezor wallets are also known for being easy to set up and their generally excellent customer service. But what about the disadvantages? The only real downside is the price; being $169, it’s not for everyone – but if you own more than $1000 in crypto, you should probably get something to protect it. There aren’t many best crypto wallets that are as secure as the Model T.
2) ColdCard Crypto wallet
Next up is ColdCard, another hardware device, but this one is impressive. Again like the Trezor Model T, this doesn’t store your funds, just the keys, but this one has some severe security features to boot. In addition to your regular PIN, there is also a secondary PIN where you can store a smaller amount of crypto – that way, if someone does ever threaten you with a $5 wrench, you don’t have to part with your entire crypto portfolio.
On top of this, there is also a “Brick Me PIN,” which, as the name suggests, will render your device inoperable should you not want to part with any of your crypto holdings. There is also a maximum number of failed login attempts before the device will brick itself, so the chances of someone randomly guessing your PIN are close to zero.
ColdCard also uses a chip that only allows controlled communication through encryption and SHA 256 responses. The chip’s security is so strong that even if an attacker removes the chip from its board or replaces the code in the microprocessor, they will still be unable to get access.
On top of this, it is air-gapped, meaning it doesn’t require an internet connection to work, and maybe most importantly, its code is all open-source, meaning anyone is free to inspect it and see how it works. Honestly, this device is immense – the only cons are its price, which is $109, but most problematic in 2021 is the ability to only support Bitcoin. So if you’re holding alt-coins, this wallet is not for you. But what about free alternatives on Best Crypto Wallets?
3) Coinbase wallet
Let’s start with Coinbase Wallet. This mobile wallet, created by Coinbase, the world’s largest exchange, is free, simple to use, and easy to set up. As a result, it is a good place for beginners looking to secure their crypto holdings.
However, the downsides are only a few coins are supported, and it requires a constant internet connection. The customer support is also slower than most people would like, and not to mention a mobile phone can be riddled with malware which is not ideal for security. Out of all others Best Crypto Wallet, Coinbase wallet is the only wallet that is operable through an application via internet connectivity
4) Exodus Crypto Wallet
Moving on to our 4th candidate on Best Crypto Wallet, we have Exodus. Exodus is super-user-friendly, and it just looks great. It also has excellent support, which is incredible for a free wallet and is typically considered the best desktop wallet for new users.
However, the downsides are also apparent – desktop wallets, just like mobile wallets, can be on a P.C. that’s riddled with malware. To add to this, it doesn’t have custom fee support for most coins which for Ethereum can be a deal-breaker, nor is Exodus open-source.
5) Ledger; “Best Crypto Wallets”
Now it’s time for the elephant in the room… Ledger! Ledger was previously the gold standard, the best of the best, however in July 2020 – Ledger had a data breach. Over 270,000 customers were affected, with an estimated one million email addresses leaked.
The company’s personal information, including your full name and postal address, was also exposed. This is not the same as the Ledger device being hacked as no funds were lost; however, many people have been receiving ominous and threatening messages containing their details because of this breach.
While this is terrible, you can ensure this doesn’t ever happen to you with a few simple steps. First, please create a new email when ordering, do not use your full or real name on order, and make sure to have it sent to a P.O. Box or Amazon DropBox rather than your home address. Then, if it is breached in the future, you’re at least safe in knowing they don’t have your accurate personal information. However, despite this, Ledger continues to be the most successful hardware wallet or Best Crypto Wallet with well over 1 million sales, and it’s not hard to see why.
The Ledger Nano X device itself is incredibly secure. It also supports over 1000 cryptocurrencies – more than any other wallet. In addition, it can hold up to 100 different crypto assets at a time. Other than the data breach, the cons are the price – the Nano X is $119 while the smaller Nano S is more affordable at $59 – yet it is missing most of the main advantages of its more expensive counterpart.
The Nano S can only hold a couple of tokens at once, which won’t do for most modern portfolios, and the battery on both is irreplaceable and only expected to last for around five years.
However, if none of that puts you off – Ledger is still a strong cold wallet for your crypto storage. But alas, there we go. A list of 5 Best crypto wallets to help you secure your digital wealth. All have pros and cons, but we hope this has helped you pick which wallet is best for you. See you in the next one only at CryptocurrencySimple.com!