A Wallet is a software in which private and public keys can be stored, as well as allowing us to receive or send cryptocurrencies through the blockchain network. We know Bitcoin is a digital currency, and as such, it is not stored physically but through digital wallets; through these wallets, users store private and public keys that are used to access a wallet address in order to carry out the necessary transactions. Some wallets adapt to our needs, while others are not as effective as we would like. Bellow, we share some points to consider when choosing a Bitcoin wallet:
Think about what type of operations you want to carry out
If what you want is to store or save cryptocurrencies in the long term, the best wallet could be a cold wallet, this type of wallet is not hosted online. Users have the private key outside the web, with which there is greater security, there are desktop, hardware, and paper wallets, which serve as vaults, which allows cryptocurrencies to be free from possible attacks by hackers, the point against this option is that it is a format not compatible with transactions.
On the other hand, if the use that we are going to give it is of constant movement of cryptocurrencies, “hot” wallets are recommended, which are those that are hosted on the web and therefore are online; you access to them from anywhere and at any time, as long as there is an Internet connection; the keys are stored on the platform and even though only the user has access, run the risk of possible hacks, however, this is offset by the level of security of the company or firm that offers the wallet service. It is essential to keep in mind that we must verify that the web address always begins with HTTPS and not with HTTP when using this online wallet.
Know which is the cryptocurrency that we are going to use
Not all wallets handle the same cryptocurrencies; for example, in the case of Mercury Cash, it works with Bitcoin, Ethereum, and Dash; knowing which cryptocurrencies are available is important to be able to do our operations (for example, if we can transfer or change from Bitcoin to Dash). However, a wallet that handles numerous cryptocurrencies does not necessarily mean that it will be more secure or reliable since there are all kinds of cryptocurrencies (good and bad) in the market, so it is important to choose a wallet that works only with recognized and trusted cryptocurrencies.
Customer service is a fundamental factor when solving problems or inconveniences; in addition to the speed and quality of response, an important factor is the channel’s language; if said support is in our native language, communication will be clearer and clearer effective.
The level of security is essential, especially when choosing an online wallet since this type of platform tends to suffer many external attacks, so it is important to choose a company that has experience in online security and that allows its users to have a platform safe and reliable. For example, Mercury Cash has military-grade security levels (high-precision facial recognition systems, anti-hacking engines based on artificial intelligence, among others) so that the assets of its clients and users are protected by high standards. However, we must bear in mind that security is made up of two parts, the platform, and the user; if we have a paper, physical, or online cryptocurrency wallet, we must always take the necessary security measures according to the chosen format, so we can minimize the risk of losing our cryptocurrencies.
What do you think about this topic? What aspects do you take into account when choosing a Bitcoin wallet?
If you want more information about buying and selling cryptocurrencies, you can contact us or write your query below (comments section).
Image from QuoteInspector.com under Creative Commons license.