Types of wallets for Ethereum. The best wallet for Ether in terms of reliability
Cryptocurrency is becoming an increasingly popular asset for traders and investors. But it needs to be stored somewhere. Almost the only option for storing funds is a cryptocurrency wallet. Consider cryptocurrency wallets for the second most popular coin – Ethereum.
What is an Ethereum wallet?
Cryptocurrency exists exclusively in virtual (digital form). Therefore, the wallet does not store the cryptocurrency itself, but the keys, which, in fact, confirm the ownership of the asset.
The wallet is an application similar to a banking one. But it works under the control of only the owner of the coins. The wallet is linked to the owner with a password and a secret phrase.
Important! If the secret phrase is lost, it is impossible to restore the password, and the funds will be lost forever. At the same time, anyone who knows the secret phrase will have access to the wallet and the funds stored in it.
The advantage of wallets for the user is the absence of a verification procedure. This is important for those who want to preserve the complete anonymity of cryptocurrency transactions. The disadvantage of wallets is high commissions.
Types of Ethereum wallets
Cryptocurrency wallets are divided into cold and hot. Hot wallets for Ether can only work on devices connected to the Internet. Cold Ethereum wallets can be used without the Internet.
Cold wallets can be hardware and paper. Hardware is a device that looks like a USB flash drive. To use them, you need to know the password. Also, the identification of the owner can occur by fingerprint.
Paper wallets are a sheet of paper on which keys are printed in the form of a QR code, which is read by a special program. It is better to create a paper wallet on a computer, access to which is limited, and with the Internet disconnected. If necessary, it is easy to transfer such a wallet to another person.
Hot wallets can be desktop, browser and mobile.
The Best Hardware Wallets for Ethereum
There are two most popular brands of hardware wallets – Trezor and Ledger.
Judging by the reviews of holders of cryptocurrency assets, the following wallets are popular:
- Trezor One. Supports more than 1000 types of cryptocurrencies, including Ether. It has a monochrome display. The cost is approximately $65.
- Trezor T. The device works with a large number of cryptocurrency pairs (more than 1000). It has a convenient color display. The cost is about $170.
- Ledger Nano S. Login to the wallet is carried out by PIN code. You can install up to 20 apps. The case of the device is available in 6 colors. The cost is approximately $70.
You can buy hardware wallets on marketplaces, or order a device on the manufacturer’s website. The disadvantage of hardware wallets is the high cost.
Online wallets for Ethereum
Online wallets do not need to be installed as applications, they work directly in the browser. A convenient way to use them is to install a browser extension.
There are two popular online wallets that work with Ethereum – MetaMask and MyEtherWallet.
Rating of mobile Ethereum wallets
Mobile wallets are implemented as applications for mobile devices, they can be installed on smartphones and tablets. They have the same functionality as other types of wallets. But experts warn that their degree of security is weaker.
Usually mobile wallets are developed for iOS and Android operating systems. MEW Wallet and Trust Wallet can be distinguished from the most popular Ethereum wallets.
There are wallets with a web interface for PCs based on Windows, Linux and Mac OS. An example of such a wallet is the Atomic Wallet.
The popular Jaxx wallet has versions for mobile devices, and is also implemented through a web interface and in the form of a Google Chrome extension.
TOP desktop wallets for ETH
Desktop wallets are also called computer wallets. They are downloaded to a personal computer (PC) or laptop as an application and store data in memory. Such wallets for Ether are very convenient to use. But there is a possibility of hacking a computer in order to steal data.
There are two types of wallets for use on a PC:
- thick – after downloading and launching, they download the full blockchain of the network. As the main drawbacks, users will highlight the fact that they require a lot of memory space and load slowly. But on the other hand, this is what makes them reliable;
- thin – synchronization with servers occurs without loading the blockchain chain.
Etherium Wallet is distinguished from thick wallets, Exodus, Electrum and others from thin ones.
How to choose the best wallet for Ethereum
When choosing a cryptocurrency wallet, you need to consider the following factors:
- the amount of stored cryptocurrency;
- the need for quick access to funds.
If reliability is the deciding factor, it is better to purchase a hardware wallet, especially if it is supposed to store a large amount of crypts. For small amounts, it is advisable to use other types of wallets, but measures should be taken to protect them.
Published: 21 March, 2022