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So, you've decided to buy Bitcoin. That's great, but… what is the best Bitcoin wallet to store it?
You know what a wallet is, don’t you? The place where you store your hard-earned cash.
Well, that’s how it works with Bitcoin, too… sort of. You store your BTC in a Bitcoin wallet. Crypto wallets are digital and are required for you to store, send, and receive the cryptocurrency in question.
Keeping your Bitcoins safe is very, very important. That’s why I’m here to help you protect them by choosing the most secure storage option. Here are some of the top Bitcoin wallets I will cover:
- Ledger Flex - Secure Hardware Wallet with an E-Ink Screen
- Trezor Safe 5 - A Touchscreen Bitcoin Hardware Wallet with Enhanced Physical Security
- Ledger Stax - Premium Cold Storage with a Touchscreen Twist
- Trezor Safe 3 - Affordable Security with a Modern Upgrade
- Binance Wallet - An Exchange-Integrated Bitcoin Wallet for Convenience
- Coinbase Wallet - Self-Custodial Bitcoin Wallet Built for Web3 Access
- Ledger Nano X - Secure Mobility for Bitcoin on the Go
- Blockchain.com - Veteran Bitcoin Wallet with Built-in Trading and Earn Features
- Electrum - Power-User Bitcoin Wallet with Advanced Customization
- Exodus - Visually Polished Bitcoin Software Wallet
By the end of this guide, you will know what is the best Bitcoin wallet for you, and how to keep it safe!
1. Ledger Flex - Secure Hardware Wallet with an E-Ink Screen
Ranks #1 out of 10 Crypto Wallets
- + User-friendly design
- + Robust security
- + Long battery life
- + Thousands of digital assets
- + Free Ledger Recovery Key included
- - No wireless charging
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Whenever you search for strong security, no matter if you want to secure your Bitcoin or other assets, there's no doubt that you will stumble upon Ledger. This company offers some of the best and most secure wallets in the industry. For a long time, Ledger Nano X was its flagship product.
However, in 2024, the company introduced a new era for Ledger wallets that no longer look like USB drives. Now, we get advanced hardware wallets that look like a mixture of a smartphone and an e-reader due to their E-Ink touchscreens. These wallets bring new convenience, the strongest security standards, and even space for customization.
Ledger has a whole lineup of hardware wallets, from the classic Nano S Plus to the touch-screen Ledger Stax. But here, we’re zooming in on Ledger Flex, their newest device that’s designed to combine flexibility, security, and mobility, all in one sleek package.
This wallet does come with a heftier price tag of $249. However, I'd say the luxurious feel, uncompromised security, and other features offered are worth every penny. Besides, it has a Ledger Recovery Key included for free, which normally costs $39.
📚 Read More: Ledger Recover Key Review
Key Features
Here are some key features that make Ledger Flex stand out as a top-tier Bitcoin wallet:
- Secure Element Chip + Ledger OS. Like other Ledger devices, Flex uses a certified Secure Element to isolate your private keys and keep your Bitcoin safe from hacks. The difference from older models, though, is that it uses an EAL6+ SE chip.
- Bluetooth + USB-C Connectivity. You can manage your BTC via desktop or mobile, wired or wirelessly, giving you a lot of flexibility in how and where you use it.
- Secure E-Ink Touchscreen. The Ledger Flex’s sharp black-and-white screen delivers crisp, easy-to-read transaction details, making it simple to verify addresses and amounts, even in bright light.
- Ledger Live Integration. Easily track, send, and receive Bitcoin using Ledger’s native app, with support for staking, swapping, and portfolio tracking.
- Multi-Asset Support, Bitcoin-Dirst Usability. While it supports thousands of coins, Bitcoin remains a central focus with full SegWit support and advanced transaction customization.
Ledger Flex brings a modern, mobile-friendly twist to cold storage. It’s still a hardware wallet at its core, but it feels way more adaptable to everyday life, especially if you want rock-solid Bitcoin security without being tied to your desk.
2. Trezor Safe 5 - A Touchscreen Bitcoin Hardware Wallet with Enhanced Physical Security
Ranks #2 out of 10 Crypto Wallets
- + Supports 1,000+ crypto assets
- + Easy navigation
- + Open-source
- + EAL6+ certified chip
- + Enhanced security features
- - Quite expensive
- - No seed recovery service
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Trezor One was the first Bitcoin hardware wallet created and is known to be one of the safest methods for storing your Bitcoins. The initial setup isn't too difficult, and it allows you to back up your wallet in the case of physical theft. However, as the years went by, Trezor improved a lot and released even better wallets.
The one that currently offers top-notch security in its lineup is Trezor Safe 5. This cold hardware wallet includes the EAL6+ certified Secure Element chip, designed to protect your assets from brute-force attacks.
What is also cool about it is that it has a BTC-exclusive version. Simply put, Trezor Safe 5 is designed to be the ultimate hardware wallet for Bitcoin users. In addition, it comes with orange-anodized aluminum backplates.
That said, you can also purchase the regular Safe 5 model with different colors and simply install a Bitcoin-only firmware.
Keep in mind that you won’t be able to install the regular firmware on the BTC-exclusive version.
This level of security does come with a price – Trezor Safe 5 costs $169.
Key Features
Now, let's take a look at the standout features that make Trezor Safe 5 a strong contender among the best Bitcoin wallets:
- Upgraded Touch-Screen Interface. The 1.55" color display makes navigating your Bitcoin wallet easier and more secure, especially when confirming transactions.
- Protected by Trezor Secure Element. Trezor Safe 5 includes an EAL6+ Secure Element chip to help protect against physical attacks and keep your Bitcoin keys isolated.
- Bitcoin-First Firmware. It runs on Trezor’s open-source firmware with the option to use Bitcoin-only firmware for purists who want minimal code exposure.
- Passphrase Entry on Device. You can enter your passphrase directly on the wallet itself, keeping sensitive data away from your computer or phone.
- Seedless Backup with Trezor Keep Metal. The wallet works seamlessly with Trezor’s new metal recovery backup system for those who want even more durable protection for their Bitcoin recovery phrase.
Safe 5 feels like the natural evolution of Trezor’s hardware, keeping everything secure under the hood, but with quality-of-life upgrades that make using it less of a chore. If Bitcoin security is your top priority and you want to keep things user-friendly, Safe 5 strikes a great balance.
3. Ledger Stax - Premium Cold Storage with a Touchscreen Twist
Ranks #3 out of 10 Crypto Wallets
- + A brand-new design
- + Industry-leading security
- + Coin, token and NFT storage
- + High levels of customizability
- + Free Ledger Recovery Key included
- + Wireless charging
- - Pricey
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Ledger Stax comes with some unique "touches" (pun intended). With an E Ink touchscreen display and smartphone-like design, the wallet makes Bitcoin management more intuitive and visually appealing. It’s also the first Ledger wallet designed with daily use in mind. It has magnetic stackability, wireless charging, and full Bluetooth support, making it feel more modern than traditional cold storage devices.
Plus, it integrates seamlessly with the Ledger Live app, letting you send, receive, and monitor your Bitcoin with ease, no matter if you're on desktop or mobile. The curved spine even displays your wallet name when idle, so you can quickly identify it in a stack. If you're looking for a premium hardware wallet that blends functionality with sleek design, Ledger Stax delivers a user experience that’s as polished as it is secure.
Key Features
Ledger Stax is a complete redesign aimed at making Bitcoin security more user-friendly and modern. If you’re someone who values both form and function, this wallet is definitely worth considering.
Here are some of the key features that help Ledger Stax earn its place as one of the best Bitcoin wallets:
- E Ink Touchscreen Display. Easily view and sign Bitcoin transactions with a clear, low-power screen that stays readable even without unlocking the device.
- Secure Element Chip. Like all Ledger devices, Stax uses a certified Secure Element to isolate and protect your private keys offline.
- Full Bluetooth Connectivity. Manage your BTC on the go without cables, using the Ledger Live mobile app for a smooth and secure experience.
- Wireless Charging + USB-C Support. Whether you prefer to plug in or go wireless, charging options are flexible and built for daily use.
- Magnetic Stackability. Own more than one Ledger Stax? The magnetic spine keeps multiple devices neatly organized and labeled, thanks to the always-visible screen edge.
With these features, Ledger Stax bridges the gap between serious Bitcoin cold storage and sleek, modern usability. It’s hardware security without the clunky feel.

Did you know?
All Crypto wallets may look similar to you but they're NOT all the same!
4. Trezor Safe 3 - Affordable Security with a Modern Upgrade
Ranks #4 out of 10 Crypto Wallets
- + Resistant to brute-force attacks
- + Easy to set up
- + Crypto-industry pioneer
- + Supports 1,000+ digital assets
- + Open-source code
- + Affordable pricing
- - Potentially uncomfortable design
- - Plastic screen prone to scratches
The Safe 3 is Trezor’s mid-range wallet that brings Secure Element protection while staying open-source and affordable. It supports Bitcoin-only firmware, making it perfect for users who want a transparent, Bitcoin-focused hardware wallet with better physical security than previous models.
It also works seamlessly with the Trezor Suite app, giving users a smooth and secure way to manage their Bitcoin on desktop. The interface is clean and beginner-friendly, perfect for sending, receiving, or just checking your crypto balance. And with support for passphrase protection and optional Shamir backups, the Safe 3 offers advanced features without overwhelming less experienced users.
Key Features
Trezor Safe 3 may be a newer addition to the lineup, but it stays true to what Trezor is known for: transparency, usability, and strong security for your Bitcoin. That said, here are some of the standout features that make the Safe 3 a strong Bitcoin wallet option:
- Secure Element Chip. Adds physical security by protecting your private keys against hardware attacks, a first for Trezor wallets.
- Bitcoin-Only Firmware Option. Strips away all non-BTC features for minimal code exposure and a more focused, security-conscious setup.
- Trezor Suite Integration. Provides a clean and user-friendly interface for managing BTC, whether you’re sending, receiving, or just monitoring your holdings.
- Open-Source Architecture. Maintains Trezor’s commitment to transparency, letting the community audit and trust the code behind the wallet.
- Passphrase Support. Offers an extra layer of protection for your Bitcoin, even if your recovery phrase is compromised.
With the Safe 3, you get the benefits of modern hardware upgrades while keeping the open-source ethos that long-time Bitcoin users appreciate. It’s a smart pick for anyone who wants security without sacrificing usability.
5. Binance Wallet - An Exchange-Integrated Bitcoin Wallet for Convenience
Ranks #5 out of 10 Crypto Wallets
- + Multiple cryptocurrency support
- + Very secure
- + SegWit and Bech32 address support
- + Built-in exchange functionality
- + One of the most trustworthy names in the crypto world
- - Mediocre customer support
- - Not ideal for beginners
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Binance Wallet is a web-based crypto storage solution integrated directly into the exchange. Unlike the standalone Web3 Wallet, this one comes automatically with your Binance account, making it a convenient option, especially for complete beginners who may not know how to set up a self-custodial wallet. It lets new users jump straight into trading without extra setup.
Another benefit is that there’s no need to install a separate app or open a new browser tab. Everything is built into your Binance dashboard. Just head to the assets page, and you’re ready to trade, no transfers required.
However, one downside of such a type of wallet is the security trade-off. Since this wallet is tied to your Binance account, the exchange holds custody of your crypto, which means you're relying on its security measures, not your own private keys. While Binance has a strong track record, it still makes your funds more vulnerable in the event of a hack or account breach.
📚 Read More: Is Binance Safe?
Another thing to consider is limited flexibility. Suppose you ever decide to move your crypto to a self-custodial wallet or interact with dApps. In that case, you'll need to go through the withdrawal process unless you're using Binance's non-custodial wallet, which integrates seamlessly with the exchange and lets you interact with dApps.
So while the built-in wallet is super beginner-friendly, it's not necessarily the best long-term solution if you're planning to explore more of the crypto world.
Key Features
What makes the built-in Binance Wallet a solid choice for storing and using Bitcoin? It might not be a self-custodial wallet like some others, but for many users, especially beginners, it checks many of the important boxes.
If you want a more comprehensive crypto wallet that lets you explore Web3 with ease, consider checking out the self-custodial Binance Wallet!
Here are some of the standout features that make it one of the better Bitcoin wallet options, especially for those who want to trade and manage everything in one place:
- Instant Access After Signup. As soon as you create a Binance account, your Bitcoin wallet is ready to go. No setup, no downloads.
- Exchange-Ready Balance. Funds stored in the wallet can be used for trading instantly, without needing to transfer them from an external wallet.
- Real-Time Bitcoin Balance Tracking. Easily view your BTC holdings in your dashboard, with support for price charts, PnL tracking, and portfolio performance.
- Secure Infrastructure. Your Bitcoin is stored using Binance’s multi-layer security, including cold storage and SAFU (Secure Asset Fund for Users) protection.
- Integrated Buying Options. Buy Bitcoin directly into your wallet using a wide range of payment methods like bank transfer, card, or even peer-to-peer trades.
Of course, this wallet leans more toward convenience than control. But for many users, especially those focused on active Bitcoin trading, that’s a worthwhile tradeoff. It’s all about what kind of crypto experience you’re looking for.
6. Coinbase Wallet - Self-Custodial Bitcoin Wallet Built for Web3 Access
Ranks #6 out of 10 Crypto Wallets
- + Easy to use
- + Free to register and keep crypto coins in
- + Supports thousands of digital assets
- + Top-notch security measures
- - Not as secure as a cold wallet
- - Not the best customer support
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Coinbase Wallet is a software wallet (not the wallet built into the Coinbase exchange). It doesn’t just offer Bitcoin wallet services; it also supports Bitcoin Cash, Ethereum, Litecoin, and thousands of other coins.
In July 2025, Coinbase rebranded its wallet app as the Base App, a "super app" that combines its core wallet features with social networking, messaging, and payments to create a more comprehensive Web3 platform.
While the Coinbase Wallet itself is free to download and use, you’ll still need to pay network (gas) fees whenever you send Bitcoin or interact with other blockchains. These aren’t fees charged by Coinbase Wallet, but rather fees required by the blockchain itself to process your transaction.
So, if you’re making frequent transactions, especially during times of network congestion, those costs can add up.
Online wallets don’t commonly give you full control of your private keys. Instead, they are accessed using the normal username and password method. This means they hold the private keys to your wallet, so if they get hacked, so do your private keys. And when a hacker has access to your private keys, they have access to your funds.
Coinbase Wallet, however, is non-custodial. This means you hold your own private keys, and full control over your funds stays with you. Just be aware that this also means you're responsible for securely backing up your wallet. If you lose access, there's no "forgot password" option.
📚 Read More: Mastering Crypto Self-Custody for Beginners
Key Features
So, what makes the Base app one of the best Bitcoin wallets? Let's take a look at some of its core features:
- Full Control of Your Bitcoin. With the Base app, you manage your own private keys, which means you truly own your Bitcoin, not just an IOU from an exchange.
- Seamless Bitcoin Storage. Easily store, send, and receive Bitcoin right from your mobile device, without needing to go through a centralized exchange.
- Multi-chain Support with Bitcoin Included. While it supports thousands of assets across multiple networks, Bitcoin remains one of the key coins you can manage directly in the app.
- Built-in Access to dApps and NFTs. Even though Bitcoin itself isn’t typically used with dApps, having access to other networks (like Ethereum and Base) makes the wallet more versatile.
- Simple and Intuitive Interface. The wallet’s clean design makes it easy to manage your assets without getting overwhelmed.
With all these features packed into one app, Base offers a strong blend of usability and control, especially if you’re serious about holding Bitcoin. And since it’s part of the Coinbase ecosystem, it’s built with security and user experience in mind.
7. Ledger Nano X - Secure Mobility for Bitcoin on the Go
Ranks #7 out of 10 Crypto Wallets
- + Can be managed from mobile device
- + Very secure
- + Supports more than 5,500 cryptocurrencies
- + Comfortable design
- - Relatively expensive
UP TO $500 IN BTC
Ledger Flex x Monopoly Bitcoin Exclusive
Don’t just pass GO, snag the limited edition Ledger Flex x Monopoly Bitcoin bundle and get a mystery BTC voucher worth up to $500. Hurry up, only available until the supply runs out!
The Ledger Nano X wallet is a device that looks like a normal USB drive. The only difference is, you need to protect it as your life depends on it! It isn’t too difficult to set up. All you need to do is connect it to your computer, go through the security settings, transfer your coins onto it, and boom! Your coins are now safe and sound.
The USB has a screen on it. This screen is what helps you authorize transactions and log in to your Ledger Live. This is a great added feature that provides extra security to one of the best Bitcoin wallets. This level of security does come with a price tag of around $149. But it is most certainly worth paying if you have a large portfolio of coins!
Key Features
The Ledger Nano X has long been a favorite in the hardware wallet space, and for good reason. Let's take a look at some of the key features that make it stand out as a Bitcoin wallet:
- Bluetooth Support. It lets you securely manage your Bitcoin on the go through your smartphone without needing a cable.
- Large Storage Capacity. It can hold over 100 apps at once, meaning you can store Bitcoin alongside many other assets without uninstalling and reinstalling apps.
- Secure Element Chip. Provides top-tier protection for your private keys, helping shield your Bitcoin from both digital and physical threats.
- Ledger Live App Integration. It is easy to send, receive, and track your Bitcoin holdings in one user-friendly dashboard.
- Certified Security (CC EAL5+). The Nano X meets industry-grade security certification standards, giving you peace of mind with your long-term BTC storage.
If you're after a Bitcoin wallet that feels modern without compromising on security, the Ledger Nano X hits a sweet spot that appeals to both tech-savvy users and everyday holders.
8. Blockchain.com - Veteran Bitcoin Wallet with Built-in Trading and Earn Features
Ranks #8 out of 10 Crypto Wallets
- + An industry veteran
- + KYC compliance
- + Very simple to use
- + NFT integrations - coming soon
- + Industry-standard security features
- - Small selection of supported cryptos
- - Customer support complaints
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Blockchain.com is a comprehensive platform that offers a wide range of services, including an exchange, a blockchain explorer, and, of course, a crypto wallet. At some point, it claimed to have more than 23 million active wallets. While the exact number is less clear now, it may have more active users. The wallet supports "dozens" of coins, including some meme coins like DOGE, SHIB, and PEPE.
When it comes to Bitcoin, though, Blockchain.com has been around since the early days, making it one of the most recognizable Bitcoin wallet brands out there. The wallet is non-custodial by default, meaning you hold the private keys unless you choose to move funds into the custodial “Trading Account” for quick swaps. This gives you a nice balance between control and convenience.
In terms of security, Blockchain.com stores around 95% of user funds in cold storage with multi-signature authorization and uses strong encryption standards like AES-256 and TLS 1.2. It also supports two-factor authentication, IP whitelisting, and is certified under ISO 27001 and SOC 2 Type 2, giving users a solid level of protection.
The interface is clean and beginner-friendly, and you can access it on both Android and iOS. It also supports in-wallet crypto purchases, though fees can be a little higher compared to using an exchange. Still, if you're mainly focused on Bitcoin and want something trusted, simple, and flexible, Blockchain.com’s wallet is a solid option, especially for users who want to stay in control without dealing with complicated setups.
Key Features
Blockchain.com’s wallet has been around for over a decade, and it still holds up as a strong option, especially if you’re mainly interested in storing and using Bitcoin. It's a mix of simplicity and solid functionality, with enough flexibility to suit both casual users and more active crypto holders.
Here are some key features that help it stand out as one of the better Bitcoin wallets:
- Non-Custodial by Default. You hold your own private keys, giving you full control over your Bitcoin unless you opt into the custodial Trading Account.
- Passive Rewards on BTC. Earn modest interest by holding Bitcoin in a rewards account.
- Dual Wallet Setup. Includes both a non-custodial wallet and an optional custodial account for quick trades or conversions, making it flexible for different use cases.
- Built-In Crypto Purchases. You can buy Bitcoin directly within the wallet using a credit card, bank transfer, or Apple Pay (availability may vary by region).
- Advanced Security Options. From two-factor authentication to IP whitelisting and hardware security modules, it’s designed to protect your BTC.
While it might not be as flashy as some newer wallets, Blockchain.com’s wallet keeps things focused and reliable, especially for Bitcoin users who want a mix of control and convenience without unnecessary complexity.
9. Electrum - Power-User Bitcoin Wallet with Advanced Customization
Ranks #9 out of 10 Crypto Wallets
- + One of the oldest Bitcoin wallets
- + Very easy to use
- + Software-based
- + No information is stored on the server
- + Open-source
- + Utilizes two-factor authentication
- - Has had security issues
- - Only supports Bitcoin
The Electrum Bitcoin wallet is one of the most popular software wallets and has been operating since 2011, which basically makes it a dinosaur in crypto years, but in a good way. It offers a good level of security and a wide range of features.
It is a decentralized software wallet, which means that there is never any downtime (and it also adds extra security). Your private keys are also encrypted, making them harder for hackers to break into and steal your funds! You can even export your private key so that you can access your wallet on other Bitcoin clients.
Overall, Electrum is a good choice if you’re looking for a free and secure software wallet.
Key Features
Electrum has been a go-to choice for Bitcoin users who value speed, security, and no-nonsense functionality. While it’s not the flashiest wallet out there, it’s incredibly reliable for people who want more technical control over their BTC.
Here are some key features that make Electrum stand out as one of the best Bitcoin wallets:
- Lightning-Fast Setup. You can create a Bitcoin wallet and start receiving BTC in minutes, without downloading the entire blockchain.
- Non-Custodial with Advanced Control. Electrum gives you full control of your private keys and supports features like custom transaction fees and coin selection.
- Lightning Network Support. For those who want faster, cheaper Bitcoin payments, Electrum has built-in support for the Lightning Network.
- Multisig and Hardware Wallet Compatibility. You can create multi-signature wallets or pair Electrum with hardware wallets like Trezor, Ledger, and others for added security.
- Open-Source and Audit-Friendly. The code is open to the public, meaning it’s been vetted by the community and can be trusted by those who value transparency.
Electrum isn’t trying to be everything to everyone. It’s focused on doing Bitcoin right. If you're looking for deep functionality and don't mind a slightly old-school interface, it’s a strong pick for serious Bitcoin holders.
10. Exodus - Visually Polished Bitcoin Software Wallet
Ranks #10 out of 10 Crypto Wallets
- + Easy to use
- + Has customer support
- + Multiple cryptocurrency choices
- + A software-based wallet
- + Built-in exchange features
- - Prone to security issues
- - The fees can reportedly be quite high
Exodus supports multiple cryptocurrencies and has an integrated exchange that helps you exchange different coins with one another.
It has made great progress since it was launched and is now available on Windows, Mac, and Linux operating systems, as well as mobile devices and web browsers.
Exodus gives you the control you need over your crypto assets and requires no technical knowledge to set up. Not to mention that it has a nice, user-friendly layout, making it perfect for beginners!
It is very simple to use and makes storing, sending, and receiving Bitcoins easy! You can also set up recovery options, which means your wallet is safe if your computer stops working.
Key Features
Exodus has built a solid reputation as one of the most polished and user-friendly crypto wallets out there, and for Bitcoin users, it brings a lot to the table. Let's take a look at some of the features that make Exodus a strong contender as a top Bitcoin wallet:
- Beautiful, Intuitive Design. The wallet’s clean interface makes it easy to track your Bitcoin balance, view charts, and manage transactions without feeling overwhelmed.
- Non-Custodial and Private. You control your Bitcoin keys, and Exodus doesn’t require any sign-up or personal info to get started.
- Built-In Bitcoin Exchange. You can swap BTC for other assets right inside the wallet using integrated third-party exchange services, no account or KYC needed.
- Desktop and Mobile Sync. Since you can use Exodus on your computer or phone (or both), your Bitcoin wallet stays synced across devices for extra convenience.
- Trezor and Ledger Hardware Wallet Support. For extra security, you can pair Exodus with a Ledger or a Trezor device and manage your Bitcoin with cold storage right from the app.
So, while Exodus is well-known for its slick visuals, it’s more than just pretty UI. It’s also a well-rounded wallet that gives you control over your Bitcoin while still being accessible to newcomers.
Best Bitcoin Wallet: Why is Security So Important?
The world is full of good and bad people. Similarly, the internet is filled with lots of good and bad individuals, too. These bad people on the internet are called hackers, and they constantly wait for opportunities to steal your information.
There are lots of hackers out there who are after one thing: Bitcoin! After all, BTC is worth a lot of money. Therefore, it is your job to protect your Bitcoin wallet.
Just like how internet banking allows you to access your account using a username and password, in order to access your Bitcoin wallet, you are given a public Key (username) and a private Key (password). To hack your Bitcoin wallet, hackers need to get access to your Private Key. You need to make sure that the best Bitcoin wallet of your choice is secure.
📚 Related Reading: A Guide to Crypto Wallet Security
In June 2011, hackers got access to the private keys of Mt. Gox (a cryptocurrency exchange) and stole 2609 Bitcoins. The second attack on Mt. Gox happened in 2014. This time, hackers stole around $350 million worth of Bitcoins.
Yes, you read that right - $350 million! The mistake was that Mt. Gox stored its Bitcoin in an online wallet, which made it easy for hackers to access. If they had stored their Bitcoins in an offline wallet, these hacks would not have been possible.
These aren’t the only cases of Bitcoin (or crypto in general) being stolen, though, it happens often.[1] This is because people do not keep the password (private key) to their Bitcoin wallet safe enough. The only thing you can do is learn from these mistakes and prevent them from happening to you.
So, what is the best Bitcoin wallet for you? What are the differences? How do you safely store your Bitcoins offline?
Storing Bitcoins Online VS Offline
There are two ways of storing traditional money. You can choose to store it in your bank account, or you can cash it out and store it in a secure place. The money that is in your bank account is connected to the internet and can be hacked/stolen.
However, the cash that you have in your wallet doesn’t have any connection to the internet. So, no one can hack it.
In the same way, you can store Bitcoins online and offline. Offline wallets offer much higher security[2] compared to online wallets. This is because offline wallets are not connected to the internet, and online hackers can't steal something that is not there.
We can store Bitcoins online in two main ways:
- Web wallets: Website wallets can be accessed from anywhere and on any device, as long as it has an internet connection.
- Software wallets: Download the software onto your computer or phone, which allows you to manage your Bitcoins. These are more secure than web wallets.
Offline wallets also come in two forms (plus a few other, more unconventional ones, like sound wallets):
- Hardware wallets: This is just like a thumb drive (USB), where you can store your Bitcoins and keep them offline. You should store the hardware wallet in a safe place where no one can find it.
- Paper wallets: These allow you to store your wallet information on a piece of paper, completely off the internet. This way, hackers cannot get access to your wallet information and so can’t access your Bitcoins.
Now, to help you decide what is the best Bitcoin wallet, let's take a look at the advantages and disadvantages of them all.
Storing Online (Web Wallets, Software Wallets)
If you are a beginner or just someone who wants to keep things simple, storing your Bitcoins online might be the first thing that comes to mind. Considering the plethora of options and how easy it is to get one, it's almost like the only option that makes sense. However, here are the pros and cons of using an online Bitcoin wallet:
Advantages | Disadvantages |
---|---|
✓ Easy to use. Web and software wallets are like websites or apps on your phone. You open the site or app, then log in with your username and password. Easy! Both options are easy to access and use. Good for beginners! | ✗ Security Risk. Online wallets are always connected to the internet, making them more vulnerable to attacks. |
✓ Quick Access to Bitcoins. Because online wallets are easy to log in to and offer a user-friendly platform, you have instant access to send and view your Bitcoins. Note: Many web wallets also allow you to purchase Bitcoins directly from them (such as Binance Wallet). | |
✓ Free to use. Web wallets and software wallets are free to use, which is a big step towards being the best Bitcoin wallet options. |
Table: Advantages and disadvantages of online Bitcoin wallets
As you can see, there are some advantages to storing your Bitcoin in a hot wallet. But I would argue that a higher risk of online attacks is a considerable disadvantage.
That said, if you prioritize convenience and plan to make frequent transactions, a hot wallet can still be a practical choice, as long as you take proper security precautions.
Storing Offline (Hardware Wallets, Paper Wallets)
Now, let's shift our focus to offline or cold crypto wallets. Honestly, I always recommend using this type of storage to anyone who wants to hold their cryptocurrencies long-term. But, like before, I'll show you the pros and cons of storing Bitcoin in an offline wallet.
Advantages | Disadvantages |
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✓ High Security. An offline wallet is not connected to the internet. So, it is impossible for hackers to get access to it. The only way someone can access your Bitcoins is if they get hold of your hardware wallet and are able to unlock it. | ✗ No Quick Access. You can't start eating frozen food immediately, you need to defrost it first. Similarly, offline wallets are in a frozen state. It takes some time to unlock them. |
✓ Double Confirmation. Bitcoin hardware wallets come with extra security and protection. To view or send funds, you must type a password/code into a physical device. So, Bitcoins can only be transferred to other accounts if the sender has access to the physical device. | ✗ Physical Damage. If you leave a paper wallet in your pocket and it goes through the wash, your Bitcoin is lost forever (if you don't have a copy). The same risk applies to hardware wallets in cases like fire or flooding. That’s why it’s smart to store backup copies in separate, secure locations. |
✓ Self-Custody. With a hardware wallet, you, and only you, hold the private keys to your Bitcoins. There’s no need to trust a third party or rely on online platforms, so you maintain full control over your funds at all times. | ✗ Difficult to Set Up. Setting up your cold storage wallet can take some time. |
✓ Backup & Recovery. Bitcoin hardware wallets include a seed phrase that lets you restore your entire wallet if the device is lost or damaged. By safely storing this recovery phrase offline, you can recover your coins on a new device without ever exposing keys to the internet. | ✗ Price. Hardware wallets range at around $50-$300. So, not everyone wants to invest in them, especially when storing a small amount of crypto. |
Table: Advantages and disadvantages of offline Bitcoin wallets
While using cold storage to store your cryptocurrencies can be inconvenient sometimes, it is far more secure than storing them online. Considering how online attacks are becoming more and more common each year, this should be your top priority if you want to keep your assets safe.
📚 Read More: Hot Wallet VS Cold Wallet
But, if this hasn’t answered your question of “What is the best Bitcoin wallet?”, then let’s take a deeper look into what each type of Bitcoin wallet has to offer, shall we?
Different Types of Bitcoin Wallets
Before you choose a wallet, it helps to understand the different types available, because not all crypto wallets work the same way. Some offer more security, while others focus on convenience or easy access. Therefore, knowing the main wallet types will help you pick the one that fits your needs best. Let’s break them down real quick.
Using a Web Wallet - Not the Best Idea
Using a web wallet is like asking someone to manage your money for you. You have limited control, but as an advantage, you don't have to worry about managing it yourself.
These wallets are easy to use. You can log into them just like you would your email account. You will be able to access them from anywhere and at any time. All you need is a computer or a mobile device with internet access.
You need to be cautious when choosing a web wallet, though, because some might not be your best Bitcoin wallet options. If you use a website that has limited security, then your Bitcoins will be in danger. So, always choose a wallet that has a good reputation.
Software Wallets - The Better Alternative
Software wallets allow more control over your wallet when compared to web wallets. You access your wallet using a piece of software that you download onto your PC or mobile device. Could it be your best Bitcoin wallet? Honestly, it depends.
Some software wallets can’t be accessed from different computers, though. They can only be accessed on the computer you downloaded it from. If you are going to use a software wallet, then I recommend that you keep your computer up-to-date with protection software. There are viruses out there that can give hackers easy access to your funds!
It is important that you back up your software wallet, too! If not, then physical damage to your PC could cause you to lose your coins forever.
Offline Storage Is the Answer
Finally, the bosses of cryptocurrency protection – the offline storage wallets.
If you’re looking to stay safe from online hackers, then your best Bitcoin wallet is a Bitcoin hardware wallet or a Bitcoin paper wallet. They prevent vicious malware or viruses that steal your private keys. They also protect you from nasty websites that try to steal your private keys (otherwise known as “phishing” sites).
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24-word seed phrase | 12-, 20-, and 24-word seed phrase | |
You | You | |
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Table: A comparison of Ledger Flex and Trezor Safe 5 security
The only disadvantage of using these types of offline storage is that they don’t protect you from physical theft. So, it’s super important for you to keep your hardware or paper wallet in a secure place.
📚 Check Out: Best Hardware Wallets
If you want to generate a Bitcoin address and create a paper wallet, you can use generator tools like WalletGenerator.com. It will create a new wallet with a public key and private key, which you can then print onto a piece of paper.
The keys generated are long, so typing them manually is difficult. That’s why the wallet generator also prints a QR code (like a barcode), which makes it easier for you to access.
Be cautious when using online wallet generators to create a Bitcoin paper wallet. If the generator runs while you're connected to the internet, your private keys could be exposed to hackers or malicious scripts.
It is impossible for online hackers to steal your private key from a piece of paper because it doesn't exist online. However, this doesn't prevent physical theft. So, keep your printed paper wallet in a safe and secure location, such as a fireproof safe or a bank deposit box.
How to Use a Bitcoin Wallet
Now that I've shown you my Bitcoin wallet recommendations and covered all the different types, you might wonder how to actually get and use one. So, let's take a look how simple it is to set one up and send/receive Bitcoins!
📚 Related Reading: How to Get a Crypto Wallet
I'll take Exodus as an example. Here is a very simple step-by-step guide on how to download Exodus on PC:
Imagine you want to send your friend some money… what would you need? You’d ask them for their bank account details, wouldn’t you?
Well, that’s how it works when you want to send Bitcoins. Instead of an account number, though, we use a public wallet address. You can see your wallet address by clicking on the request button.
Note: It is important that you don’t get confused between a public address and a private key. Your public address is usually 34 characters in length, but your private key is 64 characters in length.
In the above image, "bc1qfdfk9w..." would be your public wallet address. This is the address you would give to your friend if you wanted them to send you some Bitcoin.
Exodus partners with Blockchain.com to facilitate all instant buy and sell transactions. So, you'll need a Blockchain.com account to do this.
And that's pretty much it! Of course, the steps will differ depending on what Bitcoin wallet you're using. But other popular options, especially software wallets like Binance Wallet and the Base App, are super intuitive, so I'm sure you'll be able to use them if you understand the steps above.
So, What Is the Best Bitcoin Wallet for You?
If you are just getting started with Bitcoin, I recommend that you begin with an online wallet like Binance's built-in wallet. You can make your first Bitcoin purchase on the exchange, too.
However, if you are buying more than $100 worth of coins, it woul be good transferring your coins straight over to a software wallet like the Base App (Coinbase Wallet).
If you are really concerned about the security of your Bitcoins or you have a large amount invested, it's best moving it over to an offline storage wallet like Ledger Flex. I believe it would be the best Bitcoin wallet when it comes to security.
Another thing that I would suggest is that you own multiple wallets. This way, you give yourself extra security. I’d only recommend this if you were storing a larger sum of cryptocurrency. I know it might be tough keeping track of them all, but it’s better to be safe than sorry (FYI, CoinStats can help you with the management part).
📚 Read More: How to Choose a Crypto Wallet
Conclusions
Your security is your responsibility. With all wallets, you must be careful. If you carelessly expose your private key, you could be at risk of losing all your funds! So, remember that it's not only about choosing the best Bitcoin wallet, but also how you keep it safe.
Online wallets are easy to use, especially for beginners, offer the ability to purchase Bitcoin directly, but come with lower levels of security. Software wallets provide an okay level of security if your computer is virus-free, are easy to use and access, and can often support other cryptocurrency wallets as well.
Hardware wallets and paper wallets deliver the highest level of security by storing your Bitcoins offline so hackers can’t get into them, but you must make sure to keep the physical device or paper secure.
If you're looking to invest in a hardware wallet with robust security features, consider checking out Ledger Flex or Trezor Safe 5 to get the best cold storage solution for your needs.
The content published on this website is not aimed to give any kind of financial, investment, trading, or any other form of advice. BitDegree.org does not endorse or suggest you to buy, sell or hold any kind of cryptocurrency. Before making financial investment decisions, do consult your financial advisor.
Scientific References
1. Charoenwong, B., Bernardi, M.: 'Lessons from a decade of cryptocurrency hacks, 2011-2021. The Elgar Companion to Decentralized Finance, Digital Assets, and Blockchain Technologies';
2. Suratkar, S., Shirole, M., Bhirud, S.: 'Cryptocurrency Wallet: A Review'.