Babbitt Column | Essential Knowledge of Encrypted Digital Currency Wallet: Divide Wallet Types and Their Advantages and Disadvantages by Terminal

Author: tan90

Editor's Note: The original title was "Selecting and Using Cryptocurrency Wallet Necessary Knowledge (1), and Dividing Wallet Types and Advantages and Disadvantages by Terminal"

We have wallets for bank notes and bank cards. Wallets and money are two different things. Money is the core, and wallets are tools. The money can be packed in various purses. The money can be in the form of paper money, bank savings cards and credit cards, or passbooks, money orders, etc.

Encrypted digital currency wallets and coins are the same, wallet software and coins are two different things. Coin is the core, and wallet software is the tool. Coins can be loaded into various wallet software. Coins generally have private keys, mnemonics, and private key files.

The private key and mnemonic are just a string of characters that can be copied on paper and imported into various wallet software. A private key file is a type of data that contains a private key, which can be copied to a USB flash drive or mailbox. Common private key files are dat files and keystore files, which can also be imported into various wallet software. Terminals refer to mobile phones, computers, and web pages, which can be divided into the following five categories.

1. Mobile wallet.

That is, a wallet installed on a smartphone. The biggest advantage is that it is portable and can be used to pay and receive coins using our most commonly used barcode scanning payment method. The biggest disadvantage is that it often needs to be updated.

Mobile wallets are coins that can be installed in wallet software. Coins are often saved with private keys or mnemonics. There are also a small number of mobile wallets that are private key files that can hold coins.

Because mobile phone operating systems have a sandbox design, it is difficult to access data across applications, so mobile wallets are very secure.

Almost everyone now has a mobile phone, and almost all wallet providers will provide mobile wallets. However, because of some national policies, many application markets do not provide wallet downloads. Requires overseas GooglePlay and appleiD accounts, or directly go to the official website of the wallet to download the installation package.

2. Desktop wallet.

That is, the wallet installed on windows, Mac, Linux and other operating systems. The biggest advantage is that the desktop wallet provides the most complete functions. The biggest disadvantage is its complexity.

Coins that can be installed on the desktop wallet software. The coins can be in the form of private keys, mnemonics, and private key files.

The operating system is now very secure, and the desktop wallet is also very secure. But compared to mobile wallets, desktop wallets will have more security issues, and are more affected by viruses, software backdoors, Trojan horses, and phishing software.

The download of the desktop wallet needs to be found on the official website of the wallet to download. Generally speaking, there are no regional restrictions, and there will not be China and foreign regions like mobile wallets. However, because of the existence of a national firewall, many wallet websites have been walled and require a ladder to access them.

3. Web wallet.

Even if you use a browser, you can access it through the URL. The biggest advantage is convenience, it can be used without installing software, and it is very convenient to use the same wallet in various terminals. The biggest disadvantage is that security is relatively weak.

The coins that can be installed in the web wallet software are more mnemonic words and private key files. After using the web wallet, pay special attention not to empty the browser's cache files at will. Your coins will be deleted after you empty them, and they must be backed up before you can clear them.

There are many specific scenarios for web wallets. For example, a game website has a built-in wallet, and a writing social platform has a built-in wallet.

Web wallets are more affected by phishing software, backdoors, and viruses. It is best to use a specific computer when using it, and do not install other software.

Obtaining a web wallet is the easiest. Just remember the URL, but it will also affect the wall. Many famous wallets require a ladder to access them.

4. Webpage plugin wallet.

That is, a wallet that exists as a plug-in on the browser. The biggest advantage of the plug-in wallet is that it is convenient for application calls on the website. Dapps on various web pages are often designed to interact with the plug-in wallet. The biggest disadvantage is that the security is relatively weak.

The coins that plug-in wallets can hold are often in the form of mnemonics.

The installation of plug-in wallets can generally be obtained through browser plug-in application market search. However, the browser's plug-in management is much chaotic compared to the application market management app. Pay special attention to the source, be sure to verify your plugin download source from multiple dimensions. For example, verify the plug-in from the official website, github, and the plug-in application market.

5. Hardware wallet.

That is, specialized hardware is used to manage coins. The biggest advantage of a hardware wallet is security, and the biggest disadvantage is its inconvenience.

Coins that can be loaded in a hardware wallet are generally in the form of mnemonics and wallet files.

The security of the hardware wallet is mainly because it is difficult to be threatened by viruses, software backdoors, and Trojan horses. Hardware wallet security threats mainly come from manufacturers. Because it is very difficult to verify the security of hardware, this is not like verifying a software wallet, as long as other people can open source to verify. So be sure to find a reliable hardware manufacturer.

The use of hardware wallets is far less convenient than software wallets. Hardware wallets often require a software wallet installed on the mobile phone or computer to cooperate. Hardware wallets are difficult to use for various Dapps.

The acquisition of hardware wallet is to find a merchant to buy, in addition to download the software from the manufacturer's official website to use.

We will continue to update Blocking; if you have any questions or suggestions, please contact us!


Was this article helpful?

93 out of 132 found this helpful

Discover more


Twitter Featured | 300 million Telegram users will be able to trade Bitcoin, Tether is blocking the Ethereum network

01 Coin on the line of wealth management products, Anbao, for blood transfusion of margin trading The official announ...


Blockchain Science Fiction: "Recalling Computing Power" (Part 2)

Act Nine Purification Plan Time: 2035 Location: A courtyard house in Beijing People: Core members of the Future Club ...


Yao Qian: Quantum Money: An Academic Imagination

Text: Yao Qian (then general manager of China Securities Depository and Clearing Corporation, former director of the ...


You know the blockchain, now it’s time to understand the DCEP central bank digital currency.

BlockBeats Note: The description of DCEP in this article is based on the comments and articles currently published by...


Babbitt column | See the application of blockchain in medical and health fields from drug anti-counterfeiting and medical insurance claims

Editor's Note: The original title is "Application of Blockchain in the Field of Health Care" In 2016, ...


Analysis: Is Bitcoin still expected to be $20,000 at the end of the year? These three favorable conditions or help achieve the goal

A few days after the frustrating crash, Bitcoin had an incredible rebound last weekend, soaring 42%. The BTC rose fro...