Buying a Cold Storage Wallet as a Beginner

If you own cryptocurrency, you should also have a secure place to store it. Since crypto is a popular target for thieves and scammers, you may lose it if you don’t protect yours.

There are two kinds of crypto wallets you can use for this purpose: cold wallets and hot wallets.

While hot wallets connect to the internet, cold wallets stay offline. This is why hot wallets offer convenience but not as much security. Compared to a hot wallet, the risk of a cold wallet being hacked is far less.

Price is another difference. Many hot wallets are available for free. But typically, cold wallets cost around $50-$150.

Here, we look at what makes a cold wallet the best option:

Understanding cold storage

Cold storage is an ideal solution if you’re looking to store your cryptocurrencies offline.

Although cold storage isn’t as widely used and popular as hot wallets, it has been gaining popularity of late. Let’s look at why:

Firstly, cold storage is the safest way to store your cryptocurrencies. You can store your crypto coins in a small device, allowing you to hide them, place them in a strongbox, or carry them around.

These devices don’t require any internet connection to function. This factor alone eliminates the most important source of fraud and theft.

Besides being safe, cold storage provides you with a feeling of control that can’t be achieved through hot wallets.

If you want, you can carry a cold storage device in your pocket all day. Whether it’s storing your cryptocurrencies in a safe place or conducting transactions, you would be in charge of everything that would happen to it.

This option ensures your coins aren’t going to be stolen or scammed. With cold storage, you don’t have to trust 3rd party service providers as the responsibility rests entirely on your shoulders.

Best cold wallets

Ledger Nano S

Ledger Nano S provides incredible security at an affordable price.

The Ledger Nano S is known for its size – it’s compatible and smaller than many of the other physical wallets out there.

Trezor

Trezor is popular in the cryptocurrency community – and rightfully so as it was the first cold storage device.

Today, people consider Trezor as the leader in the fully-functional, secure cold wallet market.

KeepKey

KeepKey is a relatively new cold storage device.

This crypto wallet gained prominence due to its sophisticated and elegant design. While most of its specifications are almost similar to those of Trezor, design is what differentiates these two storage devices.

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