on the crypto
Cryptocurrencies have proven to be high-performance assets, providing total user control of their funds. However, this freedom comes at a price. As an investor, you are solely responsible for their safety. So, if you buy your cryptocurrencies from a broker like Paybis or trade on a cryptocurrency exchange, eventually you will need to keep your coins in a safe place.
And there's no better place to store your cryptocurrencies than a hardware (offline) wallet. In this article, we will explain why you should always use a hardware wallet for your cryptocurrencies. Additionally, we'll explore the different features you should look for in a hardware wallet to help you choose the right one for your needs.
And finally, we'll give a quick overview of the best offline wallets available in the market that you might want to consider. So let's get started, what do you think?
Why use a hardware wallet?
Cryptocurrencies rely on asymmetric cryptography for their security and for all transactions. More specifically, they usually use a pair of codes that allow users to use and store them:
- A private key - which must be kept secret, as it allows the user to "sign" for transactions.
- A public address - which is shared online to receive coins.
Therefore, only the person in possession of the private key can access and spend the cryptocurrencies on that associated public address. Cryptocurrency wallets act as an interface to safeguard and use these keys for transactions. There are many different types of wallets, including mobile, desktop, and hardware.
However, only hardware wallets never connect to the internet. These are physical, USB-like devices that keep your keys safe. As a result, your funds can never be compromised by hackers as you need the physical key to confirm access to your funds. Considering the price in steady rise in cryptocurrencies, this is a key feature.
Additionally, these USB devices use military-grade hardware to encrypt keys. So even if your wallet is stolen, there is little chance that criminals will ever access your funds.
What to Consider When Choosing a Hardware Wallet
Now that you know why hardware wallets are the best option for storing your cryptocurrencies, let's see what features you should consider when choosing yours.
- Safety - the most essential feature of any offline wallet is its security. When choosing a model, do some research on previous hacks or data breaches like what happened to the Ledger Marketplace.
- User interface - hardware wallets should offer you the best on two main parameters, namely great security and daily usability. The user interface should help immensely with the latter.
- Supported Cryptocurrencies - next, you should see which cryptocurrencies the wallet supports. If it doesn't support a coin that you plan to use regularly, look for another option.
The best hardware wallets for 2021 and beyond
Below is an overview of the best offline wallets available in the market right now.
The One is the basic version of the Trezor wallet and costs just $ 50. This device has everything you could ever want in a hardware wallet. It has a great user interface and a dedicated desktop application. Additionally, it supports more than 40 cryptocurrencies, including all ERC-20 tokens on the Ethereum network.
It's a great starter wallet and users can upgrade to the best and latest Trezor Model T once they start accumulating more cryptocurrencies.
Ledger is a popular company in the crypto space and makes two models of hardware wallets. The Ledger Nano X is the most premium model that will cost you around $ 120.
This wallet allows you to securely store a large number of cryptocurrencies (+300).
More importantly, the Ledger can be linked to multiple mobile and desktop wallets such as Exodus, to allow you to safely spend your cryptocurrencies on the fly with your smartphone.
SafePal is a rather new hardware wallet model that was launched by Binance Labs. It costs around $ 50 and is the size of a credit card, allowing you to carry it around in your usual wallet.
It is one of the best wallets to use if you plan to store tokens based on the BEP-2 and BEP-20 protocols, which are native to the Binance Smart Chain.
The most premium hardware wallet on our list is the Keystone, which costs around $ 480. However, this price is justified, as the wallet is completely waterproof, comes with top-notch biometric security features, and features a self-destruct mechanism.
summing up
For anyone serious about their cryptocurrencies, hardware wallets are essential. They allow you to keep your funds safe while providing a great user interface for a hassle-free experience. While they come at a cost, they remain the safest and most convenient way to store your cryptocurrencies.
