Bitcoin exchanges and wallets

[jamalnasir]

hi everyone

need some guidance on two things.

1. can I keep my bitcoin and other crypto-currencies at the exchange? will it be secure?
2. what are paper wallets and how do they work? does it take a lot of time to convert from online wallet to paper wallet and vice versa?

[coleman268]

Hey I'm quite new to this as well so the most I can answer is your first question which is no. It's not that safe to keep all your cryptocurrency on an exchange since you don't essentially "own" the cryptocurrency the exchange does so if the exchange ever get's hacked and they lose all your cryptocurrency they may not be liable and may not give you back the cryptocurrency that you lost. So it's always better to keep the cryptocurrency in your wallet unless you're day trading based off of what I've read so far.

[ice18]

Actually this question was ask many times in this forum before try to use the search function but for your convenience I will try to answer it according to my knowledge, Yes you can keep your bitcoins on your preferred exchanges but it not advisable for long term because its very risky as it might collapse anytime like some exchanges before, you have no assurance about your money in exchanges, for the second question you can visit this site for a detailed instruction on how to make paper wallets. https://99bitcoins.com/bitcoin-paper-wallet-tutorial-online/   

[Svelto]

Hello! It is not really safe to keep your bitcoin and crypto-currencies in the exchanges in the long term. If the exchanges close down or hacked, your coins will be gone.  It is better to keep the amount of coins for your trading purpose. 

A paper wallet is a wallet you generate offline, you own the private key (password).

[mk4]

Well, your crypto is pretty much secure as long as you have a secure password and 2FA enabled, but remember that exchanges are pretty much the number 1 target of hackers. Don't let history repeat itself and use your own wallet instead (preferably a wallet whereas you have access to your private keys). Exchanges have been hacked in the past, and I wouldn't be surprised if some more exchanges will get hacked in the future. (Read: MtGox lost 850,000 in bitcoins)

A paper wallet is what it literally is, a piece of paper that contains your private and public keys. The beauty of a paper wallet is that your wallet's confidential information are not stored on any digital device, so it's pretty much hack proof since it's impossible for hackers to gain access since it's just a piece of paper (unless a stranger sees your paper wallet and copies your private keys  ).

Here's a good video on how to make yourself a paper wallet: https://www.youtube.com/watch?v=IwwsiuGPK84

[jamalnasir]

many thanks people for your guidance. I've been reading the sticky topics about the wallets and my head is literally spinning now    too much info 

I guess the paper wallets only work for bitcoins and not for other crypto-currencies?

[TryNinja]

many thanks people for your guidance. I've been reading the sticky topics about the wallets and my head is literally spinning now    too much info  

I guess the paper wallets only work for bitcoins and not for other crypto-currencies?

Paper wallets will work for any cryptocurrency actually.

A paper wallet is essentialy your private key or wallet seed printed in a paper. Preferably, a private key that was generated while offline from the internet. If there is no website to generate a paper wallet for certain altcoin, you can do one by your own by printing/writing down the private key from the official altcoin wallet.

There are also websites that support more coins other than Bitcoin - E.g: https://walletgenerator.net/ has 129 supported currencies.

[jamalnasir]

many thanks people for your guidance. I've been reading the sticky topics about the wallets and my head is literally spinning now    too much info  

I guess the paper wallets only work for bitcoins and not for other crypto-currencies?

Paper wallets will work for any cryptocurrency actually.

A paper wallet is essentialy your private key or wallet seed printed in a paper. Preferably, a private key that was generated while offline from the internet. If there is no website to generate a paper wallet for certain altcoin, you can do one by your own by printing/writing down the private key from the official altcoin wallet.

There are also websites that support more coins other than Bitcoin - E.g: https://walletgenerator.net/ has 129 supported currencies.

many thanks for letting me know that other crypto-currencies can be stored on paper-wallets. I checked the website https://walletgenerator.net, however since ma new could you please let me know if there is a detailed guide or a tutorial on how to use it...

[TryNinja]

many thanks for letting me know that other crypto-currencies can be stored on paper-wallets. I checked the website https://walletgenerator.net, however since ma new could you please let me know if there is a detailed guide or a tutorial on how to use it...

Everything you need to know is written in the website.
This is the link to the GitHub source found on the bottom of the page: https://github.com/MichaelMure/WalletGenerator.net

Step 0. Follow the security checklist recommendation

First step is to download this website from Github and open the index.html file directly from your computer. It's just too easy to sneak some evil code in the 6000+ lines of javascript to leak your private key, and you don't want to see your fund stolen. Code version control make it much easier to cross-check what actually run. For extra security, unplug your Internet access while generating your wallet.

Step 1. Generate new address

Choose your currency and click on the "Generate new address" button.

Step 2. Print the Paper Wallet

Click the Paper Wallet tab and print the page on high quality setting. Never save the page as a PDF file to print it later since a file is more likely to be hacked than a piece of paper.

Step 3. Fold the Paper Wallet

Fold your new Paper wallet following the lines. Fold in half lengthwise, and then in three widthwise.
You can insert one side inside the other to lock the wallet.

Step 4. Share your public address

Use your public address to receive money from other crypto-currency users. You can share your public address as much as you want.

Step 5. Keep your private key secret

The private key is literally the keys to your coins, if someone was to obtain it, they could withdraw the funds currently in the wallet, and any funds that might be deposited in that wallet.

Please test spending a small amount before receiving any large payments.

[cryptocan]

hi everyone

need some guidance on two things.

1. can I keep my bitcoin and other crypto-currencies at the exchange? will it be secure?
2. what are paper wallets and how do they work? does it take a lot of time to convert from online wallet to paper wallet and vice versa?

If you are planning to hold don't keep your crypto in exchange, they can get hacked or even closed and you might lose everything!

[odolvlobo]

1. can I keep my bitcoin and other crypto-currencies at the exchange? will it be secure?
2. what are paper wallets and how do they work? does it take a lot of time to convert from online wallet to paper wallet and vice versa?

1. The history of exchanges is poor. There is only a small handful of exchanges that have never lost (or stolen) their customers' coins. Keeping your coins on an exchange is risky.

2. A wallet holds one or more private keys (and the associated addresses). A paper wallet is simply a piece of paper with a private key written on it.

many thanks for letting me know that other crypto-currencies can be stored on paper-wallets. I checked the website https://walletgenerator.net, however since ma new could you please let me know if there is a detailed guide or a tutorial on how to use it...

Be careful with sites that generate private keys for you. There are sites that keep the private keys they generate and then they steal the coins. It is best to use the site offline to ensure that it doesn't transmit your private keys to the site's owner.

[Yudhisthir]

If you have a smaller amount of coins, holding them in exchange (for quick buy and sell) are not a problem.
Though you would not want to use it as a wallet as exchanges generally have a higher fees.

[BitcoinExpart]

If you have a smaller amount of coins, holding them in exchange (for quick buy and sell) are not a problem.
Though you would not want to use it as a wallet as exchanges generally have a higher fees.

I believe though. If you want to keep big amount of Bitcoin for a long time than use hardware wallet, which mush have  private key, in other case like short time holding, daily trading you may use exchange wallet.

[jamalnasir]

many thanks for letting me know that other crypto-currencies can be stored on paper-wallets. I checked the website https://walletgenerator.net, however since ma new could you please let me know if there is a detailed guide or a tutorial on how to use it...

Everything you need to know is written in the website.
This is the link to the GitHub source found on the bottom of the page: https://github.com/MichaelMure/WalletGenerator.net

Step 0. Follow the security checklist recommendation

First step is to download this website from Github and open the index.html file directly from your computer. It's just too easy to sneak some evil code in the 6000+ lines of javascript to leak your private key, and you don't want to see your fund stolen. Code version control make it much easier to cross-check what actually run. For extra security, unplug your Internet access while generating your wallet.

Step 1. Generate new address

Choose your currency and click on the "Generate new address" button.

Step 2. Print the Paper Wallet

Click the Paper Wallet tab and print the page on high quality setting. Never save the page as a PDF file to print it later since a file is more likely to be hacked than a piece of paper.

Step 3. Fold the Paper Wallet

Fold your new Paper wallet following the lines. Fold in half lengthwise, and then in three widthwise.
You can insert one side inside the other to lock the wallet.

Step 4. Share your public address

Use your public address to receive money from other crypto-currency users. You can share your public address as much as you want.

Step 5. Keep your private key secret

The private key is literally the keys to your coins, if someone was to obtain it, they could withdraw the funds currently in the wallet, and any funds that might be deposited in that wallet.

Please test spending a small amount before receiving any large payments.

thanks a lot, will try it