Hot Wallets vs Cold Wallets: What's the Difference?
Introduction With the widespread use of Bitcoin, Ethereum, and other kinds of cryptocurrencies, the security trading, storage of these kinds of cryptocurrencies have become more and more important. This article will show you the differences between Hot Wallets and Cold Wallets, teach you to choose the wallets that are suitable for you. What Is a Cryptocurrency Wallet? A cryptocurrency wallet is one kind of digital wallet that you can use to store your Bitcoin, Ethereum, and other kinds of cryptocurrencies. It is not like the real world physical wallet( to store real paper fiat) but records your public and private keys which can be used to send and receive money. It is well-known that Bitcoin or most of the other cryptos are records on the blockchain, the ownership is established through digital keys, addresses, and digital signatures. The digital key is not stored in the network but is generated by the user and stored in a file or simple database, that's what we called a wallet. Cr...