A digital wallet is the vault that holds your cryptocurrency. Most people are happy with online wallets like Coinbase while others prefer the unbreakable security of a hardware digital wallet that can’t be hacked at all. John McAfee spoke about the importance of hardware-based digital wallets and as the godfather of online security itself his words shouldn’t be taken lightly.
The simple fact is that a web-based digital wallet can be hacked which means you could lose ALL of your cryptocurrency. Most often a loss of cryptocoin is intentional but in other cases it can be entirely accidental. Read this and this and this to get a better grasp of the scope of the problem where an online digital wallet is concerned.
The single safest way to store digital currency is to use a hardware based digital wallet like Trezor. Even if your computer is infected with spyware the USB-based Trezor digital wallet is unhackable. Simply speaking there’s just no other way to keep cryptocurrency secure. That’s because the hardware itself demands physical input before approving any transaction. Every single transaction requires physical interaction between the digital wallet and the transaction at hand eliminating any possibility of your cryptocoin falling into the wrong hands neither intentionally nor accidentally.
Whether you’re mining cryptocoin or engaging in cryptocoin investing a hardware-based virtual vault is the only way to go. As you know by now accidents do happen and hackers are waiting in the wings to steal cryptocoin from you and they will stop at nothing to try and rob you blind.
There’s no point in amassing a crypto fortune if your money isn’t locked up in a vault. That’s why we have banks and safety deposit boxes and this nifty new thing called a digital wallet. Before you set out to stake your claim in the cryptocurrency gold rush get yourself a Trezor or something similar to keep your treasures secure.
Now how do you make money in cryptocoin? Check out our overview on cryptocoin investing and crypto mining and see which path (or both) suits you best.
Bitcoin Mining for Beginners Episode 1
