If you are looking for ways to make some money, then, by now, you have surely considered mining cryptocurrencies. There are numerous guides on how to do that on the internet, and even if you are not particularly internet savvy, you shouldn’t have too much trouble starting your journey. You just have to google things like “buy cryptocurrency UK” and see where Google takes you.
However, you have probably heard that due to hacker attacks, your hard-mined cryptocurrencies could be easily lost. Those are not mere myths, as situations like these do happen. That is why you should remember about protection – and that is exactly what virtual wallets offer. In a moment, we will share a list of features that the best Bitcoin wallets should provide you with. Check it out!
What Is a Bitcoin Wallet?
A wallet is a digital or physical storage space that allows you to store, send, and receive cryptocurrencies. A few years ago, most wallets were designed for desktop platforms and were meant to be accessed via computers. As the popularity of cryptocurrencies has been growing, many new mobile-friendly wallets have emerged.
The first-ever cryptocurrency was Bitcoin, which was introduced by Satoshi Nakamoto in 2009. Today, there are numerous currencies that you can choose from. The most popular ones include Ethereum and Litecoin.
Due to their growing popularity and increasing value, many people are investing in them. If you are one of them, you will need a secure way to save your coins. It is a good idea to use a cryptocurrency wallet – a place where you can safely store all your coins.
There are two ways to store your coins: online and offline. Online wallets come with apps that you can install on your smartphone or computer. Offline wallets come in the form of hardware that you can store in a secure location, such as a safe.
What to Look for When Choosing a Bitcoin Wallet?
When choosing a wallet for storing your Bitcoins, you need to consider quite a few of its features. Do you want to know what they are? If yes, then take a look below!
The security of your coins is very important. You would not want them to get into the wrong hands, so make sure that the wallet you choose is secured with a password. Other forms of security include two-factor authentication and multi-signature options.
Nowadays, it is safe to say that most wallets are secure to some degree, but there are some that offer extra security features. Those features will definitely protect you against theft and unauthorized access but might end up making the wallet a bit costlier.
If you are a beginner, go for a user-friendly wallet. An intuitive user interface makes it much easier for beginners to work with their wallets. Simultaneously, a wallet should also offer advanced features that can be useful for experienced users.
Some wallets offer support for multiple cryptocurrencies, while others do not. If you plan on using different coins, choose a wallet that supports the cryptocurrencies you want to use.
Backup and Restore Options
If you lose your phone or computer with your wallet, the coins will be gone forever unless you have an offline backup somewhere else. For this reason, it is very important to choose a wallet that offers backup options in case something bad happens.
Check the Fees
There are some services that charge fees for transactions, deposits, and withdrawals of funds. If you want to avoid such costs, check whether the wallet comes with any fees before buying it.
Private Keys Control
The private key is like a password – if somebody else gets access to it, they will be able to send your funds anywhere they want. Make sure that only you have access to your private key – after all, it’s your money!
As you can see, there are quite a few things that you need to take into consideration when choosing your Bitcoin wallet, ranging from security and supported currencies to private keys control and fees. While looking for that information might end up being very time-consuming, it is definitely worth your effort!
First of all, it will give you an opportunity to familiarize yourself with the product that you will be using. That way, none of its features or shortcomings will surprise you. Second of all, it will let you compare a few different wallets and, as a result, make determining which one is the best a whole lot easier.