What types of encrypted wallets are available? How to protect your encrypted wallet? Cryptocurrency wallet and cryptocurrency wallet are software products or physical devices that can store public and private keys in your cryptocurrency account. A key is a string of numbers and letters used to encrypt and decrypt encrypted transactions and protect encrypted accounts. You can think of the public key as the route and account number that appears at the bottom of the paper check. Evil people can do nothing about this information. It is completely normal to provide this information to your business contacts. The private key is like your online banking password or debit password. Those you must be very careful, because in the wrong hands, your hard earned bank deposits may disappear. Cryptowallet also allows you to transfer funds and make transactions between encryption types.  

What types of encrypted wallets are available?

The following are some basic types of encrypted wallets that can help you determine the right type for you.

Unmanaged and Managed

The unmanaged wallet means that you are the sole custodian of the encrypted asset key. If you forget your password, the prompt "Forgot your password?" will not appear to let you come back. Although it is troublesome not to have this safety net, the unmanaged wallet is considered to be a safer choice. You don't have to worry about the security vulnerability of large companies that disclose your private key. If you have a sense of responsibility and confidence to be ready to take care of your own assets, this may be your best choice.

The security of the managed wallet is slightly poor, but you have a third party to help you log in and manage your encrypted account. Wallets are usually web-based, and the biggest highlight of their professional columns is that they are usually very easy to use. Although trusteeship wallets with good reputation attach great importance to security, vulnerability threats are always possible, especially when encrypted accounts become the target of cyber criminals.

Hardware and software

Hardware wallets, also known as cold wallets, are devices that can be placed in the palm of the hand. Most models are Bluetooth enabled devices that look like small remote controls or flash drives. This device is protected by a PIN code. You must not write it down or share it with anyone else. In addition, you should designate a safe and private place to store your hardware wallet. Like an unmanaged wallet, you are solely responsible for tracking your device and remembering your PIN. If you lose it, your encrypted accounts will be locked and no locksmith can open them for you. As long as you track it, the hardware wallet is very secure. Most models are equipped with malware and virus protection security features.

Download software wallets and Internet connected mobile or desktop applications. They allow you to trade at runtime because you can access your encrypted account from your mobile phone. In this sense, they are more convenient than hardware wallets. In addition, the software wallet has the same security network as the managed wallet: if you lose your phone, forget your password or need help logging in, the software manufacturer can help you access your account. When you enable the dual factor authentication login setting, the software wallet is very secure; However, because they are connected to the Internet, cyber criminals always have the opportunity to break in. Therefore, hardware wallets are considered more secure than software wallets.

How to protect your encrypted wallet?

Check out these tips to ensure your assets are safe and secure in your cryptowallet:

Check your account regularly. You must regularly check your encrypted wallet to ensure that your account looks organized and that you can quickly detect suspicious activity. Crypto wallet and digital wallet are different from the physical wallet you put in your pocket or bag, because when your physical wallet is lost, you may notice it soon. "Phone, key, wallet" is the mantra that most of us will sing before going out. In addition, everyone knows what should be done immediately when the physical wallet is lost: trace your steps, suspend credit and debit cards, and apply for a new driver's license. If you think there is a problem with your wallet, please cancel all credit cards associated with your account, change your password immediately and set up two factor authentication (if you haven't already set it up).

Set up two factor authentication. Speaking of login security, always ensure that two factor authentication is enabled. This is one of the best ways to stop thieves. It's even better if your device has biometric authentication. This means that your account can only be opened by scanning your face, voice or fingerprint.

Learn how to identify crypto wallet scams. Beware of phishers who may keep trying to access your cryptocurrency account. If someone asks you about your private key via email, SMS, phone or regular mail, please ignore these communications and remain vigilant. Never share your private key with anyone! Phishing attempts usually use fear or excitement to trick people into divulging personal information, so don't mistake it for information from an encryption company that pretends to be a competition or needs your private key to recover your account.

In general, the value of cryptocurrency is reaching the height of the Milky Way, just like the spaceship depicted in the prime time advertisement. Don't feel pressured to jump on the encryption rocket, but if you decide to jump, make sure you carefully study and make the best decision for your encryption goal.