Crypto wallet lets you share money just like cash with clients or friends. They have both public and private keys which enables the user to send, receive and also monitor their assets.
Public keys are like your PayPal email that can be shared to receive money from your friends while your Private Key is like your password that should not be shared or else you want to lose your money.
There are 3 types of Crypto wallets
The Software wallet for example have the Public & Private keys stored on the subscribed company's server e.g Coinbase. The disadvantage here is that they can be compromised.
The Hardware wallet are USB Sticks that stores your Public and Private keys with 24 Key Phrases that you must not forget or your money is gone. It can be very pricey!
The Paper Wallet consists of the Public and Private keys and QR Codes that facilitates your crypto currency transactions. They are usually written down on paper which must not be lose or destroyed. They are the most secured way to store your crypto but also least practical.
It is for large money you want to protect and not access everytime.
They are classified into:
a) Hot - which are connected to the internet through a company or computer that could be accessed online through an application and
b) Cold - which has to be connected to a computer by the USB method or having it written down paper, usually called OFFLINE wallets.
Hot wallets are vulnerable to online attacks due to the activities of hackers while Cold Wallet you could lose it or forget the pass phrases.
Use Coinbase when you want to mine crypto and send immediately
Use Ledgerhive for investing large sum of money.
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