Since I have no deep understanding of the possibilities of storing crypto-currencies I have some questions which I posted already in some other thread. However didn't get any answers so far.
Actually everyone recommends to use hardware wallets, however I have some questions regarding that topic:
1. Where do most people store there less known Altcoins? Since many of the Altcoins are not supported so far by the hardware wallets.
2. How can I be sure that a newly purchased hardware wallet was not corrupted from the manufacturer or a middle man who is selling the wallet?
3. If I use a software wallet, how can I be sure the file is safe to use? Is there a kind of checksum or any other good method for securing the file is safe to use?
4. If I use multiple software wallets on one laptop which I setup for wallets only and one wallet would be corrupted, isn't there a big chance to loose everything?
Thanks for your help!
original post: Bitcoin / Bitcoin Discussion / Re: Tips on how to have the most secure and safe wallet
Basically, any wallet consists of 2 major parts:
a public key - this is the address where you receive your funds, and a private key - you use it to enter the wallet and to send funds.
Of course, there is a variety of wallets you might use.
Here are some of the options, divided generally in hot and cold wallets depending on their level of security.
Hot wallets - recommended for small sums of funds
Online wallets - there are the options that exchange sites provide.
It is the easiest to use and respectively, the less secure way to keep your investments.
The major discomfort is that your private address/key is being stored on the servers of these websites and that might be possibly hacked.
Mobile wallets are applications you download and install on your device.
It is comfortable but remember, that any app that uses Internet connection is not recommendable for storing your investments.
In the same time, there is also a risk that your phone might get broken or hacked.
Desktop wallets store your private key on the hard drive your computer which is the good part.
However, sill found risky, because they also use internet connection.
Cold storage - popular as more secure way of keeping your currency
Hardware devices include USB or other storage device where your private key is stored.
Paper wallet suggests that you print your private key on paper. At least, make sure you have laminated it in case of accidentally pouring liquid over it.
