If you are considering diving into the world of bitcoin, it’s important to weigh your options when it comes to digital currency wallets. There are many innovative products in the marketplace to choose from with varying levels of functionality and security. Below you will see the categories available today with the associated pros, cons, and my own personal preferences:
Mobile
- Should be utilized for convenience based payments like buying a cup of coffee or transferring money to an acquaintance. As the mobile phone world continues to grow, having a mobile bitcoin wallet is a no brainer for users.
- Personal Preference – Blockchain. Intuitive, easy to use, and secure.
Desktop
- Desktop bitcoin wallets serve as a “home base” for your bitcoin transactions. As it doesn’t exist on the web, there is an extra layer of security and you can always turn off your internet connection (if you’re scared of hackers, etc).
- Great functionality than mobile wallets, but less convenient for day to day transactions
- Personal Preference – Hive. Super easy to use and you can buy Litecoin with it too.
Hardware
- The ultimate security solution. Much like a USB stick, these are wallets that you can “unplug” from the Matrix and store offline.
- A great place for core holdings especially if you’re wary of hackers or the government shutting down one of the exchanges.
- Personal Preference – Trezor. “The Bitcoin safe”, plain and simple.
Web
- Some websites double as wallets and exchanges. The functionality mirrors the mobile and desktop solutions closely and the majority are very easy to use. Think of web wallets as a desktop wallet that exists on the internet and requires no installation.
- Personal Preference – Coinbase. It’s a wallet and exchange plus has strong brand recognition.