What is a Crypto Wallet?

What is a Crypto Wallet?

Crypto wallets store your Private Keys – the passwords that give you access to your cryptocurrencies – safe and accessible, allowing you to send and receive cryptocurrencies like Bitcoin, Ethereum and more.

Crypto wallets come in many forms:

• There are hardware (cold) wallets like Ledger or Trezor (which looks like a USB stick).
• Then, there are mobile apps like Banksocial wallet, which makes using crypto as easy as shopping with a credit card online.

Applications like BankSocial Wallet and other decentralized wallets are simply viewers into a wallet. The wallet address lives on the blockchain, and your seed phrase is the key to the wallet. So, one could use multiple wallet applications with one wallet.

Different kinds of Wallets (Hot & Cold)

A Hot Wallet is a wallet that is connected to the internet, such as the BankSocial Wallet    

• PROS: Fast, Convenient, and easy to use
• CONS: Vulnerable to online attacks if the user isn’t properly educated.

A Cold Wallet is a wallet that is not connected to the internet.

Since a cold wallet is not connected to the internet, the user stands a far lesser risk of their crypto being compromised. These wallets can also be referred to as Offline Wallets or Hardware Wallets

• Pros: Security - The most secure way you can store your crypto
• Cons: Less Convenient to use

**We cannot stress this enough - DO NOT ever share your seed phrase, click unknown links, or go to any unknown websites. Keep your seed phrases written down and stored in a safe and secure setting. No one from Banksocial or any legitimate exchange or project will ever ask for your seed phrase or privacy information.