Is Using Multiple Wallet Better Than Sticking To One Wallet?

[Marvelockg]

Personally, I think users that are new to crypto should stick to one wallet until they learn better and as they gain more experience,  they can begin to use multiple wallets to provide better security and more options to use  different services.

Do you prefer using one wallet or  multiple wallets,  and why?

If I don't have a tangeable reason why I should consider using multiple wallet, theirs no reason opting for multiple wallet when a single one can serve you properly. The only reason why I can choose multiple wallet will be that one serves as a source where I can only make deposit into and not make any sell while another can be used for my daily transaction. For the reason of security, trying that out is actually not a bad thing. But the emphasis is based on security reasons.

[Awaklara]

If I don't have a tangeable reason why I should consider using multiple wallet, theirs no reason opting for multiple wallet when a single one can serve you properly. The only reason why I can choose multiple wallet will be that one serves as a source where I can only make deposit into and not make any sell while another can be used for my daily transaction. For the reason of security, trying that out is actually not a bad thing. But the emphasis is based on security reasons.

If we have many plans, such as investing, trading, or other transactions, we might need to separate them into several wallets. I think everything should be adjusted according to our needs. 
I also separate wallets for holding, and also wallets for transactions like those connected to exchanges and gambling platforms. For security reasons, that is one of them. But of course, the devices should be different. For transactions, keep fewer assets according to needs. For holding, use the wallet that is considered the safest.

[Cookdata]

Using just one wallet may seem very convenient, but it is still very risky, especially if you have very huge amount of bitcoins in it and you are always performing transactions on  it.  You risk exposing your wallet to attacks from your regular activities. It is good to have a cold wallet for your long term savings and a hot wallet for your everyday use. It is still not bad to have more than two wallets; it is just a way of splitting your risks and making sure that all your eggs are not kept in one basket.  

Having multiple wallets is not an authorisation to care less about security. You can still lose everything if you are not security conscious.

You can have a large amount of Bitcoin on a cold wallet and still decide to spend daily even if you want to keep some coins for long term and you can create as many wallet as you want but the problem lies in your wallet management. Why even create many wallet when you can create a single seed phrase and create as many as wallet address you need, it's more easy to manage a single wallet than when you create multiple wallet storage.

One beautiful thing about cold storage(hardware and air gap) is that your private keys remain within the components of the wallet, it doesn't make connection. You can create one seed phrase, generate many wallet address and deposit coins in each you want and label them. When you want to spend, choose the one you want and let the rest stay for as long as you want, this is basically what coin control does and it also help improves privacy.

[Somegory]

It's simple, have your main wallet (hardware wallet to be precise) where you store your biggest funds and assets, then have a second wallet that's mobile for spending purposes, you don't move Bitcoin into the second wallet unless you want to store it.

Have a third wallet ( another mobile wallet) for claiming stuffs online if you are into NFts and Airdrops, I believe these three should be more than enough for most people.

Mind you, the first wallet should be your most priority of them all, that is the one you should safeguard the most, since you won't be keeping alot of money in these other two you can always handle them like your bank app.

[BlackBoss_]

It's simple, have your main wallet (hardware wallet to be precise) where you store your biggest funds and assets, then have a second wallet that's mobile for spending purposes, you don't move Bitcoin into the second wallet unless you want to store it.

Did you confuse between a first wallet (hardware wallet) and a second wallet (software wallet)?

I understood your post like you store your main fund in a hardware wallet (cold wallet) and small fund on your second software wallet (hot wallet) for more regular spendings and portability when you are moving around.

Have a third wallet ( another mobile wallet) for claiming stuffs online if you are into NFts and Airdrops, I believe these three should be more than enough for most people.

It's a hot wallet, no matter you use it on computer or phone, it should be a wallet that is almost empty with some native cryptocurrencies for paying on-chain transaction fees.

[Hazink]

Creating multiple wallets is always better, provided they are generated across more than one software package and securely. For example, if you create 100 wallets, but all through a closed-source wallet with low entropy or an insecure device, you're increasing complexity, not enhancing security.

Another thing too is, not to use one device creating all this wallet and connecting it all to one device. The the safest way which I can think of is to have some of them created offline seed stored offline and not to be with users who use multiple software, both open source and close source create different wallets for different purposes but all wallet and active on one mobile device which I also considered to be risky once's the device is infiltrated all assets could be lost.

[promise444c5]

Another thing too is, not to use one device creating all this wallet and connecting it all to one device. The the safest way which I can think of is to have some of them created offline seed stored offline and not to be with users who use multiple software, both open source and close source create different wallets for different purposes but all wallet and active on one mobile device which I also considered to be risky once's the device is infiltrated all assets could be lost.

I’m struggling abit to understand your post but I will reply all together  and quote a part separately..

The safest way to generate a seed  is to do it offline, I don’t understand the usage of the word “some” , even with doing it offline, if you have a malware on your device’s particular OS then it solves nothing so far you will be connecting that device back to internet, it will still communicate any logged infos . That’s why  Air-gap devices are recommended for doing that..

You can make one, buy a new PC or clean your old device and make it  function like an air gap device, create a bootable USB drive running  a verified Tails OS , put it in an offline mode and generate all seed need for your wallet backup there. You can read this: https://bitcointalk.org/index.php?topic=5228801.0 .
Or just buy an Hardware Wallet

both open source and close source create different wallets for different purposes

This shouldn’t be about open or closed source. If they  follow standards like BIP39..you can usually import the same seed into another wallet. You may just need to tweak the derivation path depending on how the new wallet handles their import..although some wallets do not follow standard seed formats(like electrum, which does not generate BIP39 seed) and may not be compatible with some wallets but electrum itself accepts BIP39 seeds

The availability of code to the public is the only difference between both. Okay..

[Cleanslate_]

Multiple wallet gives you the opportunity to split your fund for security purpose and avoid theft or hacking instead of putting all funds in one wallet, but one needs to be careful not to lose any of those your private keys/seed phrase or get them all mixed up if not it will be difficult to access your account which might lead to losing your funds.

[OcTradism]

Multiple wallet gives you the opportunity to split your fund for security purpose and avoid theft or hacking instead of putting all funds in one wallet, but one needs to be careful not to lose any of those your private keys/seed phrase or get them all mixed up if not it will be difficult to access your account which might lead to losing your funds.

Using multiple wallets, using change addresses can help to protect and improve both security of your fund and your privacy and it's recommended practice. Like normal practice with a single wallet, let's remember to do all necessary but vital steps in wallet download, verification, installation, creation, wallet backup, backup test, testing recovery before funding and using any wallets you have.

Many helpful topics for security and privacy
Security and Privacy Encyclopedia.

[Zigabel]

As it regards the different uae case, I support multiple wallet usage, I even use to advice multiple device usage if all your wallets are online wallets, this is for security reasons, you cannot be using the same device you use for your daily crypto activities to store a huge sum or valued asset and expect to be safe enough, you literally will need to have these things separated for you to be able  to have that sense of safety just incase you have a compromise on your daily use wallet, you can be sure that it is very much safe on the other wallet since there is actually no easy access to the wallet.

If you have been able  to accumulate a lot on the wallet you use for  your regular transactions, you can move them to you storage wallet for safe keeping and not have all of your assets in a place very prone to compromise due to its exposure as at the time. It is always best to have multiple wallet even as a beginner, except you are sure you are using your wallet for storage alone and moreover the online wallets are mostly free.

[Hyphen(-)]

As a crypto use that understand and know the principles behind wallets security, seed phrase, privacy and so on, you will k ow how difficult it can be to keep more than one pairs of seed phrases safe because having more than one account’s seed phrase, you can confuse yourself when using them which might lead to loss of the money in that particular wallet, therefore I think it is better to stick to one wallet, one seed phrase and one investment so that you will know how to properly manage your seed phrase or private key.

Personally, I think users that are new to crypto should stick to one wallet until they learn better and as they gain more experience,  they can begin to use multiple wallets to provide better security and more options to use  different services.

Do you prefer using one wallet or  multiple wallets,  and why?

If your have good knowledge about cryptocurrency to the extent that you don’t hold fiat and prefer to always hold crypto till the time you will need fiat then exchange some s for fiat; then you will need two wallets. One good be for holding your Bitcoin for long term which means it shouldn’t be access always; while you can use the other one for your daily activities, sending to exchanges for dials and so on in order to avoid touching your investment.

[Dreadboost]

2. How do you actually feel about security?

When it comes to security point of view,  multiple wallets can actually be a better option. Instead of you to just keep all your money in one wallet,  you can actually spread them across multiple wallets. So If any happens to one wallet,  you lose less money than you would if all of your funds were in that one wallet. It is not like you are putting all you money in one pocket.

In all you do, don't use one wallet for all your need, except you have just one need for holding Bitcoin.
Bitcoin Guru's will advise that having one wallet for spending, saving, investment, and for business is not advisable. Firstly, it wont allow to keep proper recording of what comes in and what goes out of the wallet. Secondly, if the security is bridged you will lose everything in one moment.
It is proper to treat our wallet the same way we treat our fiat apps. Each app is there to serve its purpose, that is exactly how wallet should be managed.

4. Risk of  management

There is a huge risk that comes with using more wallets.  Using Multiple wallets means that you could lose access to one of your account or even more,  if you are not careful with managing private keys and keeping backups. Unlike a bank,  there is simply no help and no way to recover your accounts.  So when you are creating more wallets,  it also means more  responsibility.

The reason you made mention of is not a risk, instead it is a risk management strategy. Is it not better to lose access to one account, rather than losing access to the only wallet that holds all your bitcoin? Give this a second thought.

Basically, before someone will have multiple wallet for different purpose, he is no longer a newbie in Bitcoin. I expect him to be matured enough to store his private keys safely. If one of his wallet is to be compromised let it be as a result of malware, wallet app attack etc. And not his carelessness that made him forget his private keys.

[OcTradism]

In all you do, don't use one wallet for all your need, except you have just one need for holding Bitcoin.

Even your purpose is only holding bitcoins in long term, your advice is still not good enough.

Holding bitcoin for long term is a good strategy as with Bitcoin, if you can hold it a long time, you can get rich according to the hodl map as well as the ROI chart.
https://hodl.camp/
https://casebitcoin.com/charts#roi_chart
However by holding your bitcoin, you will have very important need of how to do that securely and safely in order to avoid bitcoin loss from hacks. Basically in risk management, the advice is always like "Don't put all eggs in one basket" and with your bitcoin as well as holding practice, don't store all your bitcoins in one Bitcoin wallet.

So, it's clearly that even with the holding purpose, let's split your bitcoin fund into some different wallets, remember wallets, not addresses in one wallet.

[zasad@]

Multiple wallet gives you the opportunity to split your fund for security purpose and avoid theft or hacking instead of putting all funds in one wallet, but one needs to be careful not to lose any of those your private keys/seed phrase or get them all mixed up if not it will be difficult to access your account which might lead to losing your funds.

Modern hardware wallets allow you to simultaneously create multiple independent wallets on a single device. They are accessed using a passphrase or 25th word. This method requires only one seed phrase and several passphrases. It's technically impossible to determine how many wallets you have on a single hardware wallet.

[Gladitorcomeback]

Honestly there is no one answer which fit all aspects of wallet users. it's all about risk management and how easy you feel. Using single wallet is very easy to manage and recommended for beginners as well as airdrop hunters because they have to connect wallet with many dapps for performing different tasks. One wallet is best here because there no need to save and use different private keys. The chances kf mistake is low but if this Wallet been compromised, everything will be gone at once. Using single wallet gives simplicity but high risk of security.

On the other side using multiple wallet gives extra layer of security but need a top class management also. This is best choice for those who want to hold coins for long term. If one wallet compromised (phrase or private key ) the other wallets will still safe there. The better way is to start with single fir simple start and then gradually move to multiple wallet for smart money management. Remember security in not solely depends upon number of wallet but the way you manage these wallets.