More and more people are investing in Bitcoin as cryptocurrencies grow in popularity. Deciding to invest in Bitcoin is a great idea, but there are essential things you need to know before you purchase your first cryptocurrency. It starts when you choose your crypto wallet.
Choosing a reliable, secure, and safe cryptocurrency wallet should be one of your top priorities. You may already know that you need a cryptocurrency wallet to receive or send Bitcoin or make any crypto-based transaction. Once you buy your cryptocurrency investment from a cryptocurrency exchange, you’ll need a digital wallet where you’re going to store it.
How to choose a crypto wallet?
Since there are numerous cryptocurrency wallets in the market, some people, especially beginners, can get confused about choosing the best Bitcoin wallet. Your Bitcoin is of infinite value, so you should consider the following essential factors when choosing a Bitcoin wallet.
You must ensure your smartphone has top-notch security since your cryptocurrency wallet is software. Opening your wallet every time needs that by default, you should input a PIN. Having a secure PIN is good, but it can be cumbersome. Choose a Bitcoin wallet that enables 2-factor authentication such as finger-print identification or face recognition.
The Bitcoin wallet’s reputation is also essential. Some wallets have vulnerabilities that can expose your cryptocurrency investment to danger. You want to ensure that the wallet you select doesn’t come with intentional or accidental built-in vulnerabilities.
Private Key Access
Your cryptocurrency wallet’s private keys are what give you access to your funds. In theory, therefore, you can’t control your Bitcoin if you don’t have control of your private keys. Therefore, make sure your wallet gives you access to your private keys.
Customization of Fees
The best cryptocurrency wallets will let you adjust the fees payable to blockchain miners or validators. Consider choosing wallets that give the option of settings such as slow, medium, or quick. In such cases, if you prefer fast, your fees will be higher, but your transaction will be faster. It is convenient to have the option of customizing the cost you pay for each transaction.
Choose a Bitcoin wallet that makes managing or backing up your private keys something manageable. Even though it’s essential to have access to your digital wallet’s private keys, keeping them secure can be quite a task.
There are many reasons why this is difficult. First, most people choose to write their private keys on a piece of paper and keep it somewhere secure. Also, some people have more than one wallet, and each requires private keys to operate.
Also, if you have more than one cryptocurrency in your wallet, you must have at least one private key for each. There’s no doubt that keeping track of all of your keys may be a significant amount of effort. However, having a Bitcoin wallet with private key management capabilities, often called backup capabilities, will help simplify the procedure significantly.
Interface Design and Accessibility
Different cryptocurrency wallets have interfaces that range from simple to complex. The Bitcoin wallet’s user interface defines the wallet’s operations and features and the simplicity with which they may be used.
Avoid an overly sophisticated and contemporary wallet as it may cause complications, as you may struggle to comprehend its features and user interface. It’s crucial to select a Bitcoin wallet with an intuitive UI and simple to use.
There are many cryptocurrency wallets to choose from, and each one is unique. Therefore, if you want to select the most excellent user interface and accessibility, you must test many alternatives, compare them, and make the best hardware wallet choice.
Tom is a freelance writer with over 10-years’ experience in content creation, blog writing, and SEO specializing in the blockchain and cryptocurrency niche. As a philosophical figurehead, he believes that to make our world a better place, we must invest in incorruptible products and procedures, of which Bitcoin and other cryptocurrencies are leading examples.