8 Best Cryptocurrency Wallets in 2021 | Top Hot Wallets and Cold wallets to consider – MindYourCrypto

Best cryptocurrency wallets

A cryptocurrency wallet is a primary tool that a cryptocurrency user is going to need straight after buying some Bitcoins or other crypto coins. Cryptocurrency wallets provide users with a solution to securely store and manage their cryptocurrencies. There are 100+ crypto wallets available in the market offering different features and security specifications. Now you may be wondering which type of wallet is the best cryptocurrency wallet for you? Don’t worry

This can be a tricky question, however, at MindYourCrypto we always strive to provide you with the most realistic and simplest approach, so that you can manage your cryptocurrencies safely and efficiently. And for the same, we are here to share some tips that will surely help you in choosing the right cryptocurrency wallet for you. Additionally, we have also assembled a list of 8 best cryptocurrency wallets including both hot wallets (or Online wallets) and hardware wallets (cold wallets) with their features and security specifications.

Whether it’s a hot wallet or cold wallet, both types have their own importance in terms of utility, convenience, security, etc. Let’s find out more with our detailed post.

Contents

1. Hot Wallet Or Cold Wallet? Which One Should I Choose?

2. 8 Best Cryptocurrency Wallets to Consider

3. Conclusion

1. Hot Wallet Or Cold Wallet? Which One Should I Choose?

There are loads of different types of wallet services for different user needs. Some wallets are Bitcoin-only while others support multi-asset storage. However on the basis of methods of storage utilized (offline or online) they can be broadly classified as hot wallets (online wallets) and cold wallets (hardware wallets).

To learn about cryptocurrency wallets in detail, check out – What is a Bitcoin and cryptocurrency wallet? Types of cryptocurrency wallets and how do they work?

However, before choosing a cryptocurrency wallet, you must have to evaluate your specific set of needs such as long-term storage (HODL), amount of crypto, recurring transactions, etc. These factors will surely help you to decide between the two wallet types. Let’s see how;

1). Amount of crypto

The amount of Bitcoin or other crypto coins that a user is going to store in a wallet is the biggest determining factor while choosing a cryptocurrency wallet. If you have to store a small amount of crypto coins, then a hot wallet (online wallet) can be a fair choice. Because a hot wallet is a cheaper and more convenient alternative for storing a small amount of cryptocurrencies.

However hot wallets store private keys online and hence are less secure as compared to hardware wallets!

But if you want to store a substantial amount of Bitcoins or other cryptocurrencies, a hardware wallet (cold wallet) is always suggested. Because hardware wallets generate and store private keys in an offline environment, hence are the most secure way to store your cryptocurrencies.

2). Recurring transactions

The second important factor that you need to consider while choosing a wallet, is the intensity of your transactions. If you need to make frequent crypto transactions or you want to spend your Bitcoins (or other cryptos) on various products and services, a hot wallet is always the most convenient and handy way to do that.

Contrarily, the hardware wallets take more time to access and hence are not ideal for making frequent Bitcoin transactions.

3). Long term storage (HODL)

If you are planning to HODL your Bitcoins (other crypto coins), then a hardware wallet is the safest storage option out there, as these wallets are not accessible via the internet. Hardware wallets are the physical devices created specifically for the long term storage of cryptocurrencies.

4). Other factors to consider

In addition to your specific set of needs, the other aspects such as backup features, technologies involved, supported cryptos, supported account types, crypto conversion, company reputation and customer support are the things you should consider while choosing the best cryptocurrency wallet for you.

2. 8 Best Cryptocurrency Wallets to Consider

Here’s the list for the best cryptocurrency wallets that we have shortlisted for you (not in any specific order);

Hot wallets (online wallets)

1). Exodus Wallet

2). Electrum Wallet

3). Trust Wallet

4). Atomic Wallet

5). Guarda Wallet

Hardware wallets (cold wallets)

6). Ledger Nano X

7). Trezor Model T

8). KeepKey

Let’s explore each one of the best cryptocurrency wallets in detail;

1). Exodus Wallet

Exodus is a neat and handy wallet
source : exodus.io

Launched in 2016, Exodus is a neat and handy wallet for Mac, Linux, and Windows platforms. Even, if you are a beginner, you can use Exodus without any complication. Exodus also offers a mobile version for both Android and iOS platforms. It allows you to securely manage and exchange 120+ cryptocurrencies in one application. It also offers 24/7 online support which is an added benefit especially if you are a beginner.

You don’t need user registration or identity verification to start using Exodus. However, you certainly need to take a backup of your seed phrase or seed key (12-word phrase).

Further, its integration with the Trezor hardware wallet gives added utility to Exodus users. It has scored a decent rating score of 4.6 on Playstore, which is a quite high score than most of the hot wallets.

Yet the only thing you need to keep in mind is that maybe Exodus is built on many open-source components, there are some components of Exodus that are not open-source.

2). Electrum Wallet

electrum is mainly a desktop wallet
source : electrum.org

Electrum is one of the earliest players in the Bitcoin wallet market that was introduced in November 2011. It is a Bitcoin-only wallet that means it doesn’t support other cryptocurrencies.

Electrum is mainly a desktop wallet that offers a feature-rich user experience, yet it’s also the most technical. This wallet is best suited for users who already know how Bitcoin and blockchain works. But if you are a beginner, this wallet might not be the right choice for you.

It is an open-source lightweight client-based software that can be downloaded and installed on a client’s desktop. This means there are no delays and thus it provides fast transactions.

Electrum is considered one of the safest hot wallets as it keeps your private keys encrypted and the keys never leave your computer. Additionally, it also supports hardware wallets such as Ledger and Trezor.

3). Trust Wallet

Trustwallet is an open-source wallet
source : trustwallet.com

Trust Wallet is another leading multi-asset cryptocurrency wallet on our list. It supports Bitcoin, Ethereum, Bitcoin Cash, and 50+ other crypto coins and tokens. You can also add custom tokens to your wallet.

Trust Wallet is an open-source wallet with a clean and simple UI that delivers a seamless and frictionless user experience. It doesn’t require any email, password, or user name to start with Trust Wallet. All you need to do is to back up the seed key (seed phrase) so that you can recover your wallet in case your mobile is damaged or lost.

Trust Wallet allows users to store private keys on their own device and doesn’t store the private keys on the server. Another important feature is the DApp browser which utilizes a web3 browser where users can interact with decentralized applications directly from the Trust Wallet app.

After a few months of its launch, Binance acquired the Trust Wallet in 2018. Now it’s the official wallet for the Binance DEX and Binance Chain. Backed by Binance one of the largest exchanges in the world, Trust Wallet is a wallet that you can trust. It has also scored a high rating score of 4.5 on Playstore.

4). Atomic Wallet

 Atomic wallet is one of the newly launched hot wallets
source : atomicwallet.io

Atomic wallet is one of the newly launched hot wallets, yet it has gained a lot of attention in a short span of time. It has been downloaded by more than 200k people all over the world. Atomic wallet is supported on Mac OS, and Windows, Ubuntu, Debian, Fedora. It is also available for mobile devices, both iOS, and Android.

If you are a beginner and looking for an easy to use desktop and mobile wallet that support multiple crypto assets (130+), then Atomic wallet can be a great choice for you.

Atomic wallet delivers an all-inclusive cryptocurrency solution to its users. It has been lauded in several online forums as a feature-rich and multifunctional wallet that not only stores your crypto assets but also offers atomic-swaps via integrated exchanges like Changelly, ChangeNow, and Shapeshift.

You can even buy cryptocurrencies using supported credit/debit cards using USD, GBP, EUR, and 15+ other fiat currencies. The Atomic wallet also offers staking that allows you to earn by simply staking supported coins in your wallet. Last but not least it is an open-source wallet where the community ensures further development and innovation.

5). Guarda Wallet

Guarda is a partially open-source wallet
source : guarda.com

Guarda is a well designed multi-functional and multi-platform hot wallet. It offers an easy to use intuitive user interface for PC and mobile devices. Even, if you are a beginner, you will love Guarda’s seamless UI.

Guarda is a partially open-source wallet that offers a ton of features including staking, multi-signature, Ledger hardware wallet compatibility, and supports 100+ crypto coins and tokens. Guarda is a non-custodial wallet which means that the users have full control over private keys.

Additionally, you can easily exchange between different cryptocurrency pairs and buy crypto coins (via Simplex) directly from within the wallet with 25+ fiat currencies.

Similar to most of the other hot wallets, Guarda wallet provides you with a 12-word backup seed key which you need to write down somewhere and keep safe. This seed key will enable you to restore your wallet in case your device is damaged or lost. If you

Note: Hot wallets generate private keys on internet-connected devices, and hence are not 100% secure. Thus always use Hot wallets to store only a small amount of crypto assets.

6). Ledger Nano X

Ledger Nano X is the latest hardware wallet with top-notch features from Ledger.
You can easily pair your Nano X with mobile via Bluetooth connectivity

Ledger Nano X is the latest hardware wallet with top-notch features from Ledger. It looks almost similar to the Ledger Nano S, yet it has a bigger screen and a few additional features that improve the overall experience. It offers Bluetooth connectivity that allows users to use Nano X with an iOS or Android device wirelessly.

While the device itself is a hardware wallet, the company also offers the Ledger Live software that provides a user interface for all wallet holdings. This gives users the ability to manage their portfolios and add new wallets for different cryptocurrencies seamlessly.

Ledger Nano X has an advanced chip that makes it more powerful, secure, and responsive than Ledger Nano S. More than 1500 crypto coins and tokens are supported. Currently, it’s available at a price of $119, which is quite fair if you look at its features and security

7). Trezor Model T

Trezor Model T

The Trezor Model T is the newest addition in its product range by SatoshiLabs. Model T is the second generation Bitcoin and cryptocurrency hardware wallet that offers a full touch display. It supports all major cryptocurrencies including Bitcoin, Litecoin, Ethereum, Bitcoin Cash, and 100’s of other coins and ERC-20 tokens.

Similar to model One, it can also be used on all devices provided the platforms are compatible (Windows, Mac OS X, or Linux). It supports more coins than model One and offers advanced firmware.

In a nutshell, it’s an ultimate digital wealth management hardware device, if security is your prime concern. Even though it’s more expensive than its peers and costs around $159, but it’s really worth the price.

8). KeepKey

KeepKey is a well built (multilayer security) hardware cryptocurrency wallet
KeepKey has a large screen that has its own advantages

The KeepKey is a well built (multilayer security) hardware cryptocurrency wallet from Shapeshift that is totally different from Trezor and Ledger. It is somewhat heavier and bigger in size than other wallets on our list. Yet, the size factor has its own benefits.

This wallet offers a large screen that is capable of displaying the entire address in one row, as well as address QR code for payments and gives clarity to every crypto asset sent and received on your device.

Shapeshift integration is an added benefit that allows you to quickly exchange between different crypto coins. It supports all major crypto coins including Bitcoin, Ethereum, Dash, and 40+ ERC-20 tokens. The KeepKey wallet is one of the cheapest hardware wallets and currently retails at $49.

Note: Whether you are looking for a long-term storage option or you want to store a substantial amount of cryptocurrencies, a hardware wallet is always the safest and smartest choice out there!

3. Conclusion

Apparently, there are loads of different types of cryptocurrency wallets out there. Hence choosing the right one requires the proper assessment of your primary needs. By doing so, you can easily decide whether you need a hot wallet or a cold wallet.

In this guide, we have attempted to bring together the 8 best cryptocurrency wallets in both segments i.e hot wallet and cold wallet, based on the factors such as long-term storage, security, costs, customer reviews, and regular transactions.

By now, we have also discovered that “hot wallets” are not 100% safe — they’re only good for storing a small amount of cryptocurrencies. “Cold wallets”, on the other hand, are much better for storing a substantial amount of cryptocurrencies and also for long-term storage.

Whether you are a crypto investor, trader, or regular user, you will certainly need a cryptocurrency wallet, so it’s your responsibility to choose your cryptocurrency wallet with utmost care.

After all, it’s matter of safety of your funds, hence always do some research and make your decision wisely.

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