Even if you are not too familiar with the world of digital currency, you have most likely come across the term “crypto wallet”. Put simply, a crypto wallet is a space, either virtual or physical, that stores public and private keys for cryptocurrency transactions.
Though there are a number of factors to consider when choosing a crypto wallet, safety should always be the first priority.
So, what are the safest crypto wallets?
With its user-friendly interface and support for over 180 digital currencies, Exodus is a great wallet for anyone serious about crypto, but its safety features are really what separates it from the competition.
Exodus does not store sensitive user data. Rather, the data is stored locally, which means Exodus cannot view or access a wallet under any circumstances.
Additionally, Exodus does not require users to supply personal information, and transactions on the platform are completely anonymous, with the software generating a new wallet for each one.
If you’ve been looking for a privacy-focused Bitcoin wallet for a while, you’ve probably already heard of Wasabi, since it uses trustless CoinJoin, a fool-proof anonymization strategy.
CoinJoin literally allows strangers to pool together their coins in a new transaction. Of course, the joiners are left with the same number of coins in the end, but the process itself obscures all identifying information.
By default, Wasabi routes all transactions through the Tor network and generates a unique address for each new transaction, which just adds another layer of privacy and ensures relative anonymity.
Plus, Wasabi is open source and available on Linux.
3. Coinbase Wallet
As you may already know, Coinbase operates one of the largest cryptocurrency exchanges in the world, but the company also has its own crypto wallet.
Coinbase Wallet is a self-custody wallet, which means that a user is its sole owner, while all keys are stored locally on the user’s device (yes, there are custodial wallets, but if you care about security, you don’t want the provider storing your assets).
You don’t need to provide any personal information, not even an email address, to use this wallet. Also, in the event of a major security breach, your funds would still be safe.
Coinbase Wallet supports pretty much all best-known digital currencies, including Bitcoin, Ethereum, Polygon, Lietcoin, and Dogecoin.
As a relatively new player in the crypto wallet market, Guarda has made an effort to stand out from the competition by focusing on security and privacy.
Much like Coinbase Wallet, Guarda is non-custodial, and it does not store private keys on company servers, or even the user’s device.
In other words, Guarda ensures that user data is known only by the user, which minimizes the chances of de-anonymization. This wallet supports more than 400,000 digital assets, which makes it a great choice for serious investors and traders.
There is a downside, however: the transaction fee is 5.5 percent.
Not Convinced? Consider Cold Wallets
Exodus, Wasabi, Coinbase, Guarda are all great crypto wallets, and you probably would not go wrong if you picked either of them—more than anything, this is a matter of preference. Still, it is natural to have reservations, especially when significant sums of money are involved.
Even a minimal, next to non-existent chance of your crypto wallet getting hacked is sometimes enough to give one pause. If maximum security and privacy is what you’re after, then consider investing in a cold wallet.
Cold wallets, also known as hardware wallets, are by far the most secure way to store cryptocurrency keys—think of them as USB sticks that store digital assets.
Cold wallets are not connected to the internet, so they are obviously not vulnerable to hacking. Besides, they are pretty affordable, with even the feature-heavy ones costing a few hundred dollars at most.
The 8 Best Hardware Crypto Wallets for Your Funds
About The Author
Damir Mujezinovic (24 Articles Published)
Damir is a freelance writer and reporter whose work focuses on cybersecurity. Outside of writing, he enjoys reading, music, and film.