What is the best way to store your bitcoins?

[richan]

Storing your BTC on an exchange is the common way most traders save their coins. But is it the best method? Cold storage to me look expensive, since it is costive to purchase hardware.

[1715335125]

1715335125

[1715335125]

1715335125

[TheGodson]

paper wallet > hardware wallet > exchange

Paper wallets can not be hacked since they aren't stored on a computer. This is the best option, especially if you aren't a technology wizard like a lot of people on here are. Paper wallets always get the coins from a hardfork too. Just make sure to keep them in a safe or another safe place.

[Kakmakr]

Making your own paper wallets might be your most inexpensive method, but you have to know what you doing or it will be your worst nightmare. There are a lot of advice on this forum on creating your own secure paper wallets, so you have to do some research before you attempt this.

Buying a hardware wallet will be a bit more expensive, but it is a lot easier and it gives you easier access to your coins. The other methods < Desktop wallets and online wallets > are the least secure, but the easiest method to store bitcoins.

[mocacinno]

Making your own paper wallets might be your most inexpensive method, but you have to know what you doing or it will be your worst nightmare. There are a lot of advice on this forum on creating your own secure paper wallets, so you have to do some research before you attempt this.

Buying a hardware wallet will be a bit more expensive, but it is a lot easier and it gives you easier access to your coins. The other methods < Desktop wallets and online wallets > are the least secure, but the easiest method to store bitcoins.

I got a mail from trezor yesterday, they seem to have dropped their shipping fees within the EU, so a hardware wallet does cost less than $100, wether it be a trezor or a ledger nano S.

That being said, my own view on the topic:

Safest:

• hardware wallet: both reasonably cheap and easy to use
• airgapped pc: expensive and a little bit harder to use (you always have to transfer unsigned/signed transactions between an online and offline machine)
• Paper wallet: very cheap and very secure if generated in the correct way, but hard to use (you have to sweep and discard the paper wallet each time you use it, then transfer the remaining value to a new paper wallet)

Medium:

• Desktop wallet: free, but you need a clean PC and you NEED to encrypt your wallet (using a strong passphrase). Virusscanners/firewall are a must have

Unsafe-ish:

• Android/Ios wallets: I call these ones unsafe because it's harder to verify the wallet's signatures, many people know less about their phone's OS than they know about their desktop's OS, and phones can easily get stolen/lost

Unsafe:

• Any wallet where you're not the (only) one in controll of your private keys. This includes exchanges and online wallets

[Herbert2020]

Storing your BTC on an exchange is the common way most traders save their coins. But is it the best method? Cold storage to me look expensive, since it is costive to purchase hardware.

not really, traders only keep the funds they want to trade with on exchanges. newbies who don't know what trading is are keeping more amounts on exchanges.

and most people don't trade with all they have. most of them have some funds in cold storage and only trade with smaller portion of those funds and that is kept on exchanges and only for as long as they are trading with them. if a trader stops trading for any reason like price being stable, they withdraw their bitcoin immediately back to cold storage.

as for cold storage cost, you should know that cold storage is not only hardware wallets but hardware wallets are only a sub category of cold storage. if you don't want to spend money they use paper wallet.

[tora]

It depends upon what you want to do with them. If you want to hold them then keep them in your own wallett with key access. If you want to trade or lend,I lend on Bitfinex, then you need to hold in an exchange.

[creator.ai]

Making your own paper wallets might be your most inexpensive method, but you have to know what you doing or it will be your worst nightmare. There are a lot of advice on this forum on creating your own secure paper wallets, so you have to do some research before you attempt this.

Buying a hardware wallet will be a bit more expensive, but it is a lot easier and it gives you easier access to your coins. The other methods < Desktop wallets and online wallets > are the least secure, but the easiest method to store bitcoins.

I got a mail from trezor yesterday, they seem to have dropped their shipping fees within the EU, so a hardware wallet does cost less than $100, wether it be a trezor or a ledger nano S.

That being said, my own view on the topic:

Safest:

• hardware wallet: both reasonably cheap and easy to use
• airgapped pc: expensive and a little bit harder to use (you always have to transfer unsigned/signed transactions between an online and offline machine)
• Paper wallet: very cheap and very secure if generated in the correct way, but hard to use (you have to sweep and discard the paper wallet each time you use it, then transfer the remaining value to a new paper wallet)

Medium:

• Desktop wallet: free, but you need a clean PC and you NEED to encrypt your wallet (using a strong passphrase). Virusscanners/firewall are a must have

Unsafe-ish:

• Android/Ios wallets: I call these ones unsafe because it's harder to verify the wallet's signatures, many people know less about their phone's OS than they know about their desktop's OS, and phones can easily get stolen/lost

Unsafe:

• Any wallet where you're not the (only) one in controll of your private keys. This includes exchanges and online wallets

Agree that's a good list, hardware wallet seems to be the most secure, however you can achieve very good degree of security with certain desktop wallet including Bitcoin Core.

[Timoteus]

PC purse

[Red Fish]

You can use largest online wallets, like Blockchain wallet. But if you want to get precise info, you can check links - https://99bitcoins.com/best-bitcoin-wallet-comparison-review/ and https://www.cryptocompare.com/wallets/#/overview, there are a lot of information. Blockchain online wallet of course is largest one.

[Svelto]

I don’t think storing BTC on exchanges is the most common way to save coin and it is definitely not the best method. The wallets exchanges don’t belong to you. The best method is to store BTC in paper wallet, desktop wallet (Private key controlled by you) or hardware wallet.
Hardware wallet is not too expensive, it cost less than $100 which is a good investment to safeguard your coins.

[yasukata]

Although it can not be said to be the best method for exchanges, there is a guarantee at major exchange, so it can be relieved a little.

[mocacinno]

Although it can not be said to be the best method for exchanges, there is a guarantee at major exchange, so it can be relieved a little.

What kind of a guarantee?
MtGox was a big exchange, people are still trying to get any recompensation from them...
Bittrex is just locking accounts and keeping funds hostage...
Yobit simply disables wallets and doesn't answer tickets for weeks...
There are many big exchanges that have screwed over their users in the past. Don't think that your funds are safe just because the echange is big.

[Exister]

Hardware wallet is best for a combination of safety and convenience and they are priced reasonably.

The problem is that many altcoins do not have support on a hardware wallet. particularly if they are using their own protocol and need support to be explicitly added by the manufacturer.

Put em on an encrypted usb drive. u get the airgap and and encryption so only you can use it.

Although it can not be said to be the best method for exchanges, there is a guarantee at major exchange, so it can be relieved a little.

What kind of a guarantee?
MtGox was a big exchange, people are still trying to get any recompensation from them...
Bittrex is just locking accounts and keeping funds hostage...
Yobit simply disables wallets and doesn't answer tickets for weeks...
There are many big exchanges that have screwed over their users in the past. Don't think that your funds are safe just because the echange is big.

This is agreed. You can only take a haircut at best and it is unhealthy to create a false expectation.

[whoisyourking]

Storing your BTC on an exchange is the common way most traders save their coins. But is it the best method? Cold storage to me look expensive, since it is costive to purchase hardware.

i am using paper wallet but my method in storing bitcoin in a website or in mobile app in our country is creating multiple accounts and separate my coins these will prevent to lose all your wallet in one time in case something happens.   

[syarifudin]

maybe for now I still keep bitcoin in online wallet, but so far have never experienced problem with wallet, and maybe later i will try to save it in hardware.

[mocacinno]

maybe for now I still keep bitcoin in online wallet, but so far have never experienced problem with wallet, and maybe later i will try to save it in hardware.

If you wait untill you have a problem, it's usually to late 
I'd recommand to at least switch to a desktop wallet on a properly secured/clean pc, at least you'll be in controll of your own private keys, so you have nobody to blame but yourself if you mess up...

[Yurio]

The exchange is a bad option for storing your money, because it can close at any time ... For example, I use an online wallet on the service apibtc.com, since there is no commission for personal use, instantaneous transactions and problems have never occurred to me. And for the API, commission only 0.5%

[Redanim]

I think the best way is having a Bitcoin wallet on your PC. To protect this wallet is necessary encrypt it with a reliable password, this makes it more difficult to hack, but does not give 100% protection, and it is also important to create a backup of the entire wallet, and also there are bitcoins services in which u can use multi-signature operates.

[Nakakapagpabagabag]

Storing your BTC on an exchange is the common way most traders save their coins. But is it the best method? Cold storage to me look expensive, since it is costive to purchase hardware.

I am just storing my bitcoins in my online wallet and as of now, it is the best method that I know.  I tried storing bitcoins before on exchanges but after that I moved all my bitcoins into online wallet.  It is good because, I paid my credit card bills and utility bills using that wallet.  Just store them wherever you want.  Just keep in my mind to not share your password or pin to anyone and to always log out.

[Nisharawal]

Storing your bitcoin in an exchange, isn't it everybody likes to do, but what if the website gets hacks or what if our data gets stolen for any reason. I think storing your bitcoin in an exchange is highly risky than storing it in your hardware wallet. Why i prefer hardware wallets like Trezor or Ledger nano s, because they are highly secured and they are easy to execute and operate from anywhere by anyone. If you need to spend few dollars for your hardware wallets then please go for it, your paying one time fee for your long term benefits.