How to choose your Bitcoin wallet

For operate in the easiest way, users of the main crypto network use Applications that allow them to manage their Bitcoin addresses for store, send and receive BTC.

These programs, known as wallets, are apps that offer the functionalities of a digital wallet or purse, and that simplify the management of crypto assets. To the point that they can make trading bitcoins as simple as sending or receiving an email.

Although they have their crypto differences and peculiarities, it can be said that these apps they resemble services like Mercado Pago, which allow you to store and transfer funds.

Remember that if you want to know more about how bitcoin works, you can read our Bitcoin Guide: a trip to the Crypto planet, where we review all the characteristics of the main cryptocurrency.

Bitcoin wallets and addresses

To operate in the largest crypto network you need to have a bitcoin address, which serves to distinguish each account from the others.

Each of these directions, which have the shape of a alphanumeric character string, designates a specific account, although There is not limit for the number of addresses a person can have.

The simplest way to obtain and manage Bitcoin addresses (or their correspondent in any other crypto network) are the wallets.

Some Advanced users prefer to manage their addresses without resorting to online wallets, keeping full control about your funds. Although this process is a bit more complex and requires specific hardware.

Bitcoin wallets and keys

Each Bitcoin address is made up of one public and one private key. Broadly speaking, the public is something like a «Username» in the Bitcoin network, while the private one works like the «password» to access those funds.

The public key is used to generate one or more addresses that work in a similar way to a CBU or email address: they are used to distinguish each account from the others. This key is shared when operating, since does not compromise access to funds.

The private key works more like a password, it is used to digitally sign transactions and must be kept secret, since it is the real key to the bottoms. One of the main works of any wallet is to keep private keys safe.

If you want to know more about Bitcoin addresses and keys, you can read this article from our Guide.

What types of wallets exist

There is a wide range of services and tools to store cryptocurrencies safely, so that the best wallet always depends on the need from each person.

The hot wallets are online apps they usually have a simplified interface and allow to operate quickly. are better for small and immediate transactions. They are also more useful as payment tool.

However, in this type of wallets private keys are not under user control but from the service provider.

This model of online wallets is that of gravel, which also allows you buy bitcoin in the simplest way, being able to review your quote at all times.

On the other hand, the cold storage is the storage offline in hardware, which offers greater security at the cost of not being as easy to use. Are specific devices, such as flash drives, or adapted hardware (some tablet or old notebook).

This kind of storage is more convenient for large quantities of crypto, and maintains the private keys under user control.

How to choose my wallet for Bitcoin

As we saw, there is no perfect wallet: They all have their pros and cons, and each user can choose which type to use based on their needs.

The important thing is to find the balance between safety and comfort: Some protect privacy and funds with greater efforts but are more difficult to use, while others allow simpler operation but are not conspicuous in their security.

Everything depends on the use: While a mobile app can be a good option to move small amounts of crypto, it would be foolish to store large sums in them.

And you, what kind of wallet are you needing?

If you have doubts about the wallets, contact us.