The best bitcoin wallets provide the best secure storage for your private keys. With their help, you can transfer and receive funds to and from anywhere in the world. They will also help to ensure that your coins are far from the reach of hackers and cybercriminals. In this article, we’ll list down the best bitcoin wallets available to keep your Bitcoins safe.
What Are Cryptocurrencies?
Bitcoins are a form of digital assets or “cryptocurrency.” These cryptocurrencies get created, transferred, and stored online. Most bitcoins can be exchanged for other cryptocurrencies. Meanwhile, you earn others as rewards through a process called mining. If you’re interested in earning bitcoins this way, you can read this article on how to mine Bitcoin.
Bitcoins, like normal currencies, also function as a form of digital exchange. As such, you can exchange them for other currencies, products, and services. The main difference is that digital cryptocurrencies do not wear, tear, or break. Neither do they need a central bank or digital administrator. Instead, bitcoins are usually sent and received through encrypted online channels called blockchains. This essentially removes the middlemen in the payment process. This translates to less transaction costs. It also means that people will have a quicker, more private means of fund transfer.
Cryptocurrencies are not exclusive to Bitcoin though. New and emerging cryptocurrencies are slowly sharing the limelight. These include ethereum, litecoin, dogecoin, and bitcoin cash. There’s also BAT, NEO, Ripple XRP, and Stellar XLM. However, bitcoin and ethereum are still considered as the two most valuable currencies. They’re also the most traded currencies. Find out exactly what makes bitcoin and ethereum the people’s favorites through this piece comparing ethereum and bitcoin.
What Are Bitcoin Wallets?
All Bitcoin transactions, including purchasing and storage, are usually conducted online. All Bitcoin users get a set of public and private keys for each Bitcoin address. Private keys are the set of keys that provide you access to your account. Public keys, on the other hand, are the keys shared with other users when they are about to send Bitcoins to you. Private keys and public keys usually work hand-in-hand. This is for transactions involving the transfer, sale, and purchase of Bitcoins. Without the keys, you will not be able to access your Bitcoin funds or undergo any transactions. In short, your account will get frozen.
This is where the best bitcoin wallets come in. Bitcoin wallets are essentially virtual or hardware wallets for your Bitcoin keys. Take note, they protect the keys, and not the funds themselves. They are essential for protecting your private and public keys. The potential risks are of course from theft, malware, and even accidental loss. Aside from serving as a storage unit, the best bitcoin wallets also offer a means to…