Bitcoin has gained widespread acceptance and is becoming increasingly popular. Unlike stocks at a brokerage, you can withdraw your cryptocurrencies from a crypto exchange and store them in an external wallet. The best Bitcoin wallets make it simple (and maybe even enjoyable) to securely store and manage your crypto portfolio.
You may be looking for the best Bitcoin wallet if you want to buy and store Bitcoin or other cryptocurrencies. We examined a large number of Bitcoin wallets, focusing on price, user experience, supported cryptocurrencies, and other features. Continue reading to learn about some of the best Bitcoin wallets available today.
What is Bitcoin Wallet?
A Bitcoin wallet is a place where your digital Bitcoin is stored and validated when you use your Bitcoin. A wallet holds secret information, known as a private key or a seed used to validate and “sign” transactions, so that your Bitcoin can be used for shopping or for replacement. This avoids anyone else using your Bitcoin or a third party altering the transaction. Often when you mention a Bitcoin wallet you refer to crypto-exchanges that provide a wallet as a component of your account. In this way, the crypto wallet is just where you can keep all your cryptocurrencies or keep fiat money for future use.
What is Function of a Bitcoin Wallet?
A shared public leader with Bitcoin wallets is a blockchain that carries out all bitcoin transactions. When a transaction happens, the value of more than one Bitcoin wallet is transferred. Typically an individual party exchanges some Bitcoin value with another Bitcoin wallet for another asset or service. If this happens, every Bitcoin wallet uses its secret information to sign and validate your transaction, providing a mathematical evidence of the owner of the Bitcoin cryptocurrency wallet by the buyer or seller. Your crypto wallet can safely maintain as much Bitcoin as you want.
1. Electrum
One of the first Bitcoin wallets was Electrum. It has existed since 2011, two years after the creation of Bitcoin, and has changed little since then. While the user interface and commitment to only Bitcoin are basic, this wallet excels at its primary function. Because of its complex options, Electrum is also better suited for advanced users.
Electrum is open source, allows users to set custom transaction fees, and gives users the option of using legacy Bitcoin or Segwit. It also allows users to choose the level of security they want to use. You can, for example, create a standard cryptocurrency wallet, one with two-factor authentication, or a multi-signature crypto wallet. You can also add custom words to your seed phrase to make it longer. Electrum is ideal for the more advanced Bitcoin user who wants great security features and customizability in a straightforward interface.
2. Exodus
Exodus is a desktop and mobile crypto wallet with a simple user interface and a built-in exchange. The ability to swap between a growing number of cryptocurrencies is one of Exodus’ most popular features. Exodus currently supports swaps between more than 100 different cryptocurrencies. Because of its simplicity, this cryptocurrency wallet is ideal for newcomers to the crypto space. It also has excellent support, which is a must for newcomers entering what many consider to be a perplexing market.
While it is ideal for beginners, more advanced users may find some features lacking. First and foremost, Exodus is a closed source wallet. This contradicts the ethos of the Bitcoin and blockchain concepts and may raise security concerns because the code is not open to the public. Instead, users rely on the Exodus team to ensure that the crypto wallet’s security is impenetrable. Exodus allows you to set custom fees to keep costs low, as well as the option of automatically setting a fee to ensure the transaction is completed quickly.
3. Ledger Nano X
The Ledger Nano X is the second generation hardware wallet from Ledger, a French startup that was founded in 2014. The Ledger Nano S, the company’s first cryptocurrency product, was one of the first hardware crypto wallets on the market and dominated the market for several years. The Nano X is designed to look like a USB drive and connects to your device via USB or Bluetooth. This means you can use the wallet without a computer by connecting it to your iOS or Android device. It accepts over 1,800 different cryptocurrencies. This list grows year after year as the Bitcoin community requests support for their favourite cryptos.
While the device is a cold storage hardware wallet, the Ledger team has developed the Ledger Live software, which serves as a user interface for all of your holdings. This allows users to add new wallets for various cryptocurrencies to their devices and manage their portfolios. Ledger hardware cryptocurrency wallets were and continue to be the most popular in the industry. The Ledger also comes with a 1 USB-C to USB-A cable, allowing it to be connected to a desktop computer or a smartphone instead of Bluetooth.
4. Mycelium
Mycelium is an open-source, mobile-only Bitcoin wallet. Mycelium currently only accepts Bitcoin, Ethereum, and ERC-20 tokens. In some ways, Mycelium is similar to the Electrum wallet, with the exception that it is only available on mobile devices, has a more modern user interface than Electrum, and has a built-in exchange.
Mycelium, like Electrum, was an early wallet in the space. Like Electrum, you can set custom transaction fees to determine how long you’re willing to wait for a transaction to be completed. Mycelium also has a few more interesting features, such as hardware best crypto wallet support, which allows users to store their Bitcoin in an offline storage device while still using Mycelium’s user interface to view their holdings.
5. Ledger Nano S
The Ledger Nano S is Ledger’s first generation hardware wallet, and one of the first hardware wallets ever made. The Nano S, for example, is compatible with over 1500 cryptocurrencies. Because the Nano S does not include a USB type-C cable, users with more modern smartphones may have difficulty connecting to their devices. The Nano S is essentially the same as its successor, the Nano X, with the exception of a few features. Both have access to the Ledger Live software and support the same set of cryptos. Unlike the Nano X, the Nano S lacks Bluetooth connectivity and can only store three apps at a time, as opposed to the 100 that the Nano X can store at the same time.
The Nano S has only enough storage to create wallets for a limited number of cryptocurrencies at once. Their online guide states that deleting an app in order to add another type of cryptocurrency will not affect your assets. The deleted cryptocurrency wallet and the crypto contained within it can still be viewed in Ledger Live, but the wallet will no longer be visible on the Ledger device itself. This means that if you want to send or receive funds to the wallet you deleted, you may need to delete another best crypto wallet to make room.
Having said that, at only $59, the Ledger Nano S is an excellent wallet for those looking to safely store their cryptocurrency at a reasonable price. It is also very simple to use with Ledger Live, making it an excellent product for a beginner looking for safe and simple storage for a few cryptocurrencies.
6. Trezor Model T
Trezor, like Ledger, is a name synonymous with cold wallet storage for crypto. Its Model T is the company’s second generation of hardware wallets. The Trezor Model T is similar to the Ledger, but it allows users to access third-party exchanges such as Changelly and CoinSwitch directly from its website interface. While this is very convenient, it does not justify the higher price tag of $190. The Model T has a touch screen, which may be easier for beginners to use than the buttons on their previous model. The Trezor also has a MicroSD card slot, allowing you to encrypt the PIN and further protect your device from attacks.
The Trezor Model T, like the Ledger Nano X, comes with a USB Type-C cable for connecting to your smartphone or desktop computer. The Trezor Model T currently supports over 1,600 different cryptocurrencies. Because of the X’s Bluetooth connectivity (although the Ledger’s Bluetooth is optional), some consider the Model T to be slightly more secure than the Ledger Nano X.
7. SoFi
SoFi is a financial services provider that provides investing, student and personal loans, a credit card, and other financial products. SoFi Invest allows you to buy, sell, and hold bitcoins and other cryptocurrencies. To open an account, a minimum deposit of $10 is required. When purchasing crypto, SoFi charges a markup of up to 1.25 percent of the transaction amount.
SoFi only accepts 21 crypto currencies. That isn’t as impressive as some of the digital cryptocurrency wallet providers and dedicated crypto exchanges, which offer hundreds or thousands. SoFi allows you to purchase Bitcoin, Ethereum, Dogecoin, Cardano, and 17 other cryptocurrencies. SoFi provides an excellent user experience and is ideal for crypto newcomers. It is suitable for buying and selling but not for transferring funds to or from other wallets. Advanced users may find SoFi’s platform and trading system limiting, but it’s a good option for someone who is brand new to Bitcoin.
8. Coinbase
Coinbase is one of the most user-friendly platforms for purchasing, selling, and storing cryptocurrencies. You can connect a U.S. bank account to Coinbase and easily transfer funds into and out of your Coinbase investing and trading account. You can also use a Coinbase Wallet for mobile as a stand-alone app. This digital exchange and online cryptocurrency wallet provider is ideal for Bitcoin newcomers. It is very similar to buying and selling stock through your brokerage account. Coinbase trading accounts support over 60 different tradable cryptocurrencies, including the USD-pegged Coinbase USD Coin. Some coins even pay interest.
Another fantastic feature is Coinbase Earn, which rewards you with free cryptocurrencies in exchange for watching videos and answering quizzes. Coinbase Pro is an active trading platform with its own high-end interface, API support, and fee structure. Keep an eye out for high fees and costs if you use Coinbase. There are flat transaction fees as well as a spread charged by Coinbase when converting currencies. These can quickly add up. In addition, while not common, Coinbase has previously experienced outages that prevented users from buying or selling.
9. Wasabi
Wasabi is a Bitcoin wallet that is open source, non-custodial, and privacy-focused, and is available for Windows, macOS, and Linux. Wasabi’s standout feature is its use of the trustless CoinJoin process. CoinJoin assists Wasabi in making individual Bitcoin transactions more secure by combining coins from multiple people into a single transaction. CoinJoins can obscure identifying information by jumbling up the inputs and outputs, making Wasabi a popular choice for the privacy-conscious.
To further conceal the users’ IP address, the wallet routes transactions through the anonymizing Tor network. Wasabi is a hot cryptocurrency wallet, but we would recommend it to anyone concerned about the privacy of their Bitcoin transactions. The developers have also done an excellent job of keeping the majority of its complexities from detracting from the user experience. Wasabi, on the other hand, isn’t as user-friendly as other best crypto wallets, and you’ll need to spend some time reading through its documentation before you’re fully up to speed.
10. Robinhood
Robinhood began as a free stock trading platform and has since grown to include Bitcoin and other cryptocurrencies. Robinhood provides both a wallet-like offering (where users can store currency) and an exchange like Coinbase (where users can buy and sell currency), so everything is in one place. You cannot, however, withdraw or transfer coins to or from Robinhood using another wallet.
Robinhood is primarily a mobile platform, but it also has a desktop version that is accessible via the web. And what truly distinguishes Robinhood is that it is completely free to use. When buying or selling Bitcoin, there are no commissions. Customers of Robinhood can now buy, sell, and hold Bitcoin, as well as six other cryptocurrencies. Robinhood has had some outages in the past, so it may not be as dependable as other wallet providers.
11. Coinomi
Coinomi is one of the most established multi-platform, multi-chain cryptocurrency wallets, with over 2.5 million users. It is a Hierarchical Deterministic best cryptocurrency wallet that supports over 125 blockchains and 1770 tokens natively and adheres to the highest security and privacy standards. It supports multi-seed configurations, with each seed phrase having its own encryption settings based on its use case. Coinomi never collects any user data, and users’ IP addresses are obfuscated for complete privacy.
Coinomi was one of the first wallets to support native segwit for Bitcoin and 14 other blockchains, and users can toggle between native segwit, compatibility, and legacy address formats with a single click. Coinomi users have complete control over their transaction fees and UXTOs, and its UI is regarded as one of the most user-friendly in the space, suitable for both novice and advanced users. Coinomi is available in over 25 languages and has 175 Fiat representations.
12. Jaxx Liberty
Jaxx Liberty is becoming more popular by the day because it provides a seamless user experience. Jaxx is available on a variety of platforms, including Windows, Linux, and OS X desktops.
Jaxx Liberty is also available as a mobile app for Android and iOS, as well as a Chrome browser extension. Jaxx is suitable for inexperienced users because the setup procedure is straightforward. It accepts cryptocurrencies such as Dash, Ethereum, Litecoin, Bitcoin, and many others. For added security, the private key is always kept on the device.
Conclusion:
You have a lot of options for finding the best Bitcoin wallet with numerous Bitcoin wallets, including a piece of paper printed with your public and private keys. Regardless of whether you want a convenient online cryptocurrency wallet or a super-secure hardware wallet, your crypto storage needs are met with a good choice.