What is hardware wallet

Views:
 
Category: Entertainment
     
 

Presentation Description

No description available.

Comments

Presentation Transcript

slide 1:

What is a wallet A wallet in the concept of cryptocurrency is essentially similar to a bank account . The infrastructure allows the user to send receive and store cryptocurrencies. In a more formal perspective a wallet is your interface to the Bitcoin blockchain or whatever network you are using. It connects you to the network just like the usual bank account connects you to the fiat money system. In Crypto-speak they refer to the devices or programs that store a users public addresses and private keys. Furthermore such programs or devices are used to receive or send crypto. The two main types of wallets available are ● hardware cold wallets and

slide 2:

● online web wallets. Defined hardware portfolios A hardware wallet refers to the ​special type of bitcoin wallet ​ ​which is a secure hardware device where a user stores their private keys. This type of wallet has some outstanding advantages over standard software wallets since the private keys that are stored in the first one are located in a protected area of the devices microcontroller. Essentially this means that the keys are not transferable outside the electronic device in plain text. These physical electronic devices are built solely to secure the users cryptocurrencies. The underlying invention that guides the use of hardware wallets is that they must be connected to the users computer tablet or phone to spend the coins. Benefits of a hardware wallet The two main reasons why you should insist on using a hardware wallet especially when you have a lot of crypto are: - The wallet always remains permanently disconnected either in your pocket or inside your bag. This architecture ensures that the wallet is always offline and cold. - Sending cryptocurrencies is easy since all you have to do is connect the wallet to a device enter your PIN code and authorize a transaction. You can then disconnect the hardware wallet immediately after transacting and stay safe.

slide 3:

Additionally these wallets come with easy backup and increased security and have a considerably lower margin of error . Furthermore setting them up is an easy task even for users who have little or no technical knowledge. What should you consider when using a hardware wallet The most important factor to consider before going cold is that hardware wallets cost money. And there is little money in that. However considering the benefits they offer and the stash amounts they can insure you may want to consider the cost as fair compensation . These wallets are suitable for people who hold huge stretches of cryptocurrencies. Since hot wallets are susceptible to fraud hardware wallets are the safe alternative for people who own large amounts of digital coins.