The cryptocurrency world is gaining more and more attention nowadays. As time goes on, we can’t deny that its popularity has only continued to grow bigger. With Bitcoin as the lead in the game plus a lot of other cryptocurrencies on the rise, who wouldn’t be interested to join in the hype?
But before you begin your journey, let’s get started on where to store your upcoming digital investments. Check out our top picks for crypto wallets listed down below!
What are Crypto Wallets?
To put it simply, crypto wallets are used to safely store private keys that give access to your cryptocurrencies. Like bank accounts, crypto wallets come with a public and a private key. A public key is like the bank account number you share with other people so they can transfer virtual money directly to your account.
A private key on the other hand, can be compared to a PIN number that gives you access to your own digital funds. Wallets allow you to secure your digital money whenever you access or trade them.
Also Read: Easy & Safe Way to File Taxes on Cryptocurrency Gains
Types of Crypto Wallets
There are many different forms of crypto wallets, but they can be generally classified into two major categories:
Hardware wallets
Also called hard or cold wallets, use a physical gadget to secure your digital money. An example of cold wallets are those accessed via a USB stick or an external hard drive.
Software wallets
Also known as soft or hot wallets. These types of crypto wallets depend on software or an application to safely store your cryptocurrency. Hot wallets have various types like desktop wallets, web wallets or mobile wallets.
What Are the Best Wallets for Top Cryptocurrencies?
Like cryptocurrency itself, there are also various wallets to choose from. Good thing we’ve listed down our top 5 best wallets to help you find what suits your needs.
Exodus
- Best Software Crypto Wallet
- Recommended for Beginners
- Price: Free
- Compatible hardware wallet: Trezor
Exodus is a hot wallet that supports a wide range of over 100 cryptocurrencies and has an incorporated exchange feature which allows you to send and exchange your digital money safely. Its simplified interface is perfect for beginners and best of all, it’s free.
Ledger Nano S
- Best Hardware Crypto Wallet
- Recommended for Beginners
- Price: $59
Another popular cold wallet is the Ledger Nano S which is one of the first hard wallets ever made. It is compatible with several cryptocurrencies like Bitcoin (BTC), Ethereum (ETH), Ripple (XRP) and others.
This hardware wallet keeps your private keys secure via a secured chip within a portable micro-USB device. With this, you’re safe from vulnerable internet-linked devices, because you have to connect the device to your computer first to allow transactions.
Coinbase
- Most Popular Software Crypto & Bitcoin Wallet App
- Recommended for Beginners
- Price: Free
- Compatible hardware wallet: n/a
The Coinbase mobile app offers a highly rated crypto wallet which supports over 500 cryptocurrencies. It is recommended for starters because of its user-friendly and convenient interface. It is also famous in Australia because of its high-level security features like biometric access and fingerprint ID.
Mycelium
- Best Software Crypto Wallet App
- Recommended for Advanced Users
- Price: Free
Compatible hardware wallet: Trezor, Ledger, Keepkey
Formed by Mycelium Developers, this open-source software crypto wallet supports most common cryptos like Bitcoin, Ethereum and ERC-20 tokens. It is also known for its well-integrated digital coin technologies for hardware, software and security.
The advanced interface also allows you to set a custom fee for each transaction and decide how long you’d want to wait for them to finish. Mycelium also supports hardware wallets so you can safely store your cryptocurrency offline.
Trezor Model T
- Best Hardware Crypto Wallet for Securing Several Cryptocurrencies
- Recommended for Advanced Users
- Price: $181
Trezor Model T is the premium choice for cold wallet storages. The second-generation device has a touch screen color display which also comes with a USB Type-C cable, a Micro SD card slot and is equipped with high-level security features. It is compatible with over 100 cryptocurrencies and allows exchanges via the Trezor website.
Now that we’ve covered the basics and the different types of crypto wallets, you probably already have an idea on which wallet to get. And just like a real wallet, you need to top it up with funds, right? Before funding your account, it is important to consider the amount you would be buying the cryptocurrency for. Cryptocurrency values are volatile, changing so often, that is why the best price to get it to make the most of your money is when it is low. Be sure to check the latest value of Bitcoin prices AUD before converting your funds.
After checking the prices, you can already decide on the amount you would be depositing to your crypto wallet. As simple as online money transfers, just type in the amount you wish to send to your bitcoin address or any other crypto currency you are investing on.
Banks and other financial service providers have made it easier to convert your cash to crypto funds so you can transfer it via ACH, wire, or credit card. There you have it, now you have a funded wallet.
Lastly, ensure that your wallet is safe and protected. Keep only a small amount and a backup of your wallet to protect you in case of technical problems. Online crypto wallets such as Coinbase provides this feature to back up your online data immediately during this circumstance. Create a strong password for your wallet, and make sure to remember it to avoid problems with your money.
Also Read: How Can You Choose The Best Type of Bitcoin Exchange Without Utilizing Much Hassle?
You can also check if the wallet you are using has the following safety features such as 2-factor authentication, wherein it generates a verification code to your mobile upon logging in, making your online transactions more secure. If your crypto wallet will be used by several people, you may opt for multi-signature support before access is granted.
With these valuable insights in mind, you can now start on planning your crypto journey and venture into cryptocurrency investment. You can also use these wallets on your daily transactions, which is another practical reason to invest in a crypto wallet today.
