Bitcoin hardware wallets are one of the safest and most secure ways to keep bitcoin and other cryptocurrencies, particularly for long-term investors who want to buy and store cryptocurrency without making frequent exchanges.
Here are our recommendations for the best hardware wallets for safely storing Bitcoin and other cryptocurrencies. Each hardware wallet is examined in detail.
What Is a Bitcoin Hardware Wallet?
A hardware wallet is a tangible technological device designed solely for the protection of cryptocurrency. They may resemble a USB stick and employ a variety of security techniques to safeguard your Bitcoin.
Bitcoin wallets are particularly secure since they are not connected to the internet and include specialized software.
Because your Bitcoin and cryptocurrencies are kept offline, commonly known as cold storage, you don’t have to worry about hackers. Furthermore, it is hard to install other software on it, which eliminates many of the security flaws that are commonly present in computers.
Simply connect your hardware wallet to your smartphone or computer and enter your PIN to transfer Bitcoin/cryptocurrency. It works in the same way as your bank’s login device does (DIGIPASS). Only purchase a hardware wallet with its own screen (otherwise, it will be less secure).
Secure hardware wallets that we recommend are listed at the end of the guide. To thwart computer attacks when connecting the hardware wallet, it requires a screen and a PIN code. You won’t have to worry about malware or computer viruses after that.
You can even link the wallet to a virus-infected PC without putting your money at risk. Both the PIN number and the hardware wallet are required to access the bitcoin.
Consider a hardware wallet to be your own personal vault. Simultaneously, it is more handy than keeping gold at home. A hardware wallet can safeguard $100 just as well as a few million dollars.
How Does Hardware Wallets Work?
To utilize Bitcoin and hardware wallets, you don’t need to understand how they function. However, it is critical to comprehend how to safely utilize and store Bitcoin.
For those who are interested, we will describe how a hardware wallet works. You’ll need a basic understanding of Bitcoin to figure out how it works. If you’re new to Bitcoin, we recommend starting with our guide: Getting Started with Bitcoin.
You obtain a public and private key when you buy Bitcoin. To receive Bitcoin, the public key is used to generate a Bitcoin address. Consider it your email address. The public key is used to authorize transactions with a digital signature, whereas the private key is used to approve transactions without a digital signature. This is your username and password.
To put it another way, you must properly preserve your private key. It is not safe to store your private keys online or on a machine that is linked to the internet. A hardware wallet is required here, as it encrypts your keys, maintains them offline, and aids in the signing of secure transactions.
When you buy Bitcoin and other cryptocurrencies on an exchange, you’ll utilize an online wallet, also known as a hot wallet. A hardware wallet, on the other hand, is termed as cold storage or a cold wallet because it is used offline.
When you use a hardware wallet, you also get additional security measures. Hardware wallets, on the other hand, are the safest option for cryptocurrency storage because they are private and offline.
Pros and Cons with Hardware Wales
To protect their Bitcoin and cryptocurrency, we recommend that everyone get a hardware wallet. A hardware wallet combines the ease of an internet wallet with the security of a paper wallet.
There is no more secure method of storing cryptocurrencies. As a result, the benefits obviously outnumber the drawbacks. The primary advantages and disadvantages of hardware wallets are described below.
- A hardware wallet is the safest way to store your Bitcoin and other coins.
- In comparison to other forms of cold storage, such as paper wallets, a hardware wallet is extremely user-friendly.
- They are unaffected by computer viruses and malware that steal Bitcoin from users on the internet.
- It’s simple to set up and get started. Because no prior knowledge is necessary, it is suitable for novices.
- Unlike many smartphone apps, a hardware wallet is not free (but significantly safer).
- If your hardware wallet and recovery password are stolen, there is no way to contact customer service. More freedom comes with Bitcoin, but it also comes with more responsibility (always backup your wallet).
Best Hardware Wallet for Bitcoin & Cryptocurrencies
Despite the fact that I first created this list for Bitcoin, it has since expanded to include additional blockchain. Many of these hardware wallets, for example, support the Binance smart chain, Polkadot, Solana, and other new blockchains. One essential feature that a hardware wallet should have in 2022 is the ability to support several blockchains.
1. Ledger Nano X
The Ledger Nano X is the newest hardware wallet from Ledger, the Unicorn of hardware wallets. The beauty of the Ledger wallet is its cutting-edge security, which is made possible by two chips. The Ledger Nano X is the ideal blend of hardware security and portability. The Bluetooth capability allows you to utilize this hardware device without a wire while on the go with your phone or laptop.
The capacity to keep multiple cryptocurrencies at once is why this hardware wallet is causing such a stir around the world. We had to manually install/remove apps to use a specific wallet in the previous version of Ledger (Nano S, which is listed below), but in Ledger Nano X, you may install many crypto wallets at the same time.
|Size:||72 mm x 18.6 mm x 11.75 mm (2.8 in x .73 in x 0.46 in)|
|Weight:||34 g (0.56 oz)|
|Screen:||128 x 64 pixel monochrome|
|Price:||US$119 plus shipping|
2. Ledger Nano S
The Ledger team has released another another popular hardware wallet. The Ledger Nano S is the creation of a startup based in France. Its design has a clean and appealing European feel to it.
The backup seed key for bitcoin recovery, the simple OLED interface, and a flash drive-like feel with two buttons on the side for navigating the interface are just a few of its important features.
It’s a battery-free device that connects through USB to a computer or mobile device. Harsh Agrawal provides a video tutorial on how to get started with the Ledger Nano S.
The Ledger Nano S now supports nine cryptocurrencies (including Bitcoin), and it is also the most affordable multi-currency hardware wallet ($65). However, I recommend getting the Ledger Nano X, which is the updated version of the Ledger Nano S.
|Size:||57mm x 17.4mm x 9.1 mm (2.2 in x .68 in x 0.35 in)|
|Weight:||16 g (0.56 oz)|
|Screen:||128 x 32 pixel monochrome|
|Price:||US$59 plus shipping|
The Trezor Bitcoin hardware wallet was the first of its kind, ushering in a new era of hardware wallets. It is the world’s first secure Bitcoin hardware wallet, developed by SatoshiLabs.
It resembles a compact calculator with an OLED display. In the event that the device is lost or destroyed, the device’s security is ensured by randomly generated nine-digit pins and a 24-word recovery seed key. Its aim is to store private keys and sign transactions when they are not connected to the internet.
The Trezor wallet is compatible with Android smartphones and apps including TREZOR Wallet, Mycelium, and Multibit HD. Our CEO Harsh Agrawal has created a video tutorial series on how to get started with Trezor.
KeepKey is a hardware device for holding bitcoins that is now available on the market.
In comparison to the Ledger Nano S or Trezor, it doesn’t offer much. Furthermore, it is more than double the size of its competitors, making it difficult to carry in your pocket.
It has the same backup seed key feature as the other wallets, and it functions the same way. It now accepts six cryptocurrencies (including Bitcoins).
It also costs $99 to purchase.
Is a Crypto Hardware wallet necessary?
A Hardware wallet is a must-have item for any cryptocurrency trader. When dealing with Bitcoin and cryptocurrencies, you are your own bank, thus this is one of the first things you can do to protect safety and security from hackers.
What happens if you lose your hardware wallet?
There’s no need to fear if you misplace your hardware wallet. No one can steal your Cryptocurrencies if you use a Pin to access your hardware wallet. Using the seed word you obtained when setting up the hardware wallet, you can restore your wallet on any other wallet.
Is setting up and using a Bitcoin hardware wallet tough?
One of the most user-friendly Bitcoin hardware wallets is the Ledger Nano X. On Reddit, you’ll find lots of instructions and support to help you set everything up on your own. These current technologies are made to be safe and simple to use.
This is just a small sample of the various Bitcoin hardware wallets available, so don’t limit yourself to this list. Examine the features of each device and select the one that best meets your storage requirements. Read our article on how to transfer crypto from an internet wallet to a hardware wallet after you have a hardware wallet.
What other hardware wallet devices do you think we should add to the list? Let us know what you think in the comments! Gerom.org will support for you.