Best Monero Wallets of 2021
Owners of Monero and other cryptocurrencies must have a place to store their assets besides an exchange. It is ok to keep small amounts of cryptocurrency on the exchange so that there is always something to trade, but the majority has to be kept in a wallet. Keeping crypto in a wallet is the primary way to keep it safe from hackers. There are different kinds of wallets, each having its respective benefits, advantages, and disadvantages. This quick guide explains everything about keeping Monero in a wallet.
Cryptocurrency Wallets Explained
When someone has cash, they do not keep it in a pocket or on a table. Instead, they put it in a leather wallet. This keeps the cash from getting stolen. Crypto wallets are based on the same principle. Leaving all of one’s assets on an exchange is like keeping cash in a pocket or lying on a desk where it can be easily lost. Wallets keep them safe from hackers and help the owner stay organized.
There are hot and cold wallets. Hot wallets are connected to the internet. Generally, they are easy to use and access, and many are free. However, most have security vulnerabilities that hackers can exploit. Cold wallets are small devices that store someone’s private keys. They look like small thumb drives and are not connected to the internet. They are more secure but not as convenient as hot wallets.
What Wallets Are Available?
MyMonero has been around for several years and is one of the most sought-after Monero wallets. It is a desktop wallet that is compatible with most operating systems, but the mobile version is only compatible with iOS. MyMonero is a hot wallet, but the data is strongly encrypted, and the app does not record user activity. This wallet is only compatible with Monero, which means users cannot keep other coins on it. If needed, users can convert BTC to XMR using the convenient and anonymous Godex exchange.
Exodus is a multi-currency wallet that supports more than 125 coins and tokens, including Monero, Bitcoin, and Ethereum. The user interface is easy to figure out, no matter the user’s experience in dealing with wallets. Exodus works on several desktop operating devices, and the app is compatible with iOS and Android phones. Exodus claims that their product is secure, but it is a hot wallet, and they always have some vulnerabilities.
Monero GUI is a full-node wallet, but users should not feel intimidated by this complex-sounding jargon. Despite having to get in synchronization with Monero’s blockchain, the wallet is easy to use and can be figured out quite quickly. This is one of the best wallets for people who want to have full control over their funds and perform fast transactions. Monero GUI is a hot wallet, but it is password-protected and has several security features that provide a high degree of protection.
Trezor is a cold wallet that can hold over 1,000 kinds of coins and tokens simultaneously. Trezor’s hardware has one of the best reputations in the industry for security. They are next to impossible to hack. Wallets like this one are the best option for long-term storage or those who want to be completely sure their digital assets are secure. Trezor is compatible with macOS, Windows, and Linux, and it costs around $90.
Paper wallets are the only wallets one does not have to buy, order, or download. It is a piece of paper with the QR codes of the private and public keys. Since the keys are written on a piece of paper, there is absolutely no way for them to be hacked.
Paper wallets are made by a paper wallet generator. It generates public and private keys. The owner prints them when they are generated. After getting the keys, be sure to delete your browser history and any information related to the keys from your printer.
These wallets may provide a high level of security, but there are some disadvantages. Paper wallets can be lost, physically stolen, or destroyed. That is why it is important to keep them in safe places. Fireproof safes are the best places to keep paper wallets. Do not keep one in a leather wallet or leave it in a desk drawer.
Wallets are essential for those who want to own cryptocurrency and keep it secure. Before you make your choice, it is important to consider which one will fit your needs. Hot wallets are best for people who want something easy to use and access. Cold and paper wallets are best for those who want something totally secure. In the long run, it is best to get both. Get a hot wallet with a mobile app for day-to-day expenses and a wallet like Trezor for long-term storage.