For this, there are special cryptocurrency carriers — wallets with accounts on which money is stored. They are different: virtual and physical, online and offline. What is the difference between it and how to choose the best option for yourself? Let us first analyze their types and determine what is the peculiarity of each of them.
Crypto-wallets can be divided into “cold” and “hot”. Cold wallets are offline. Access to them is possible only through a specific device, subject to the possession of keys. As they say in the crypto environment, “Not your keys, not your crypto”.
Hot wallets are online, access to them is much easier and more convenient, but this makes them more vulnerable to hacker attacks. Experts do not recommend making them the permanent and main carrier of all their funds, but such wallets are very convenient for exchanging and shopping.
This is a physical device that connects to the Internet through the computer’s USB port. Double protection makes this wallet one of the most reliable. Here you can find examples of the technology market offers for hardware cryptocurrency wallets.
This is an application that installs on a computer. Such wallets are considered more reliable than online. Some of them even support the possibility of mining, however, for this you need enough free space in the computer's memory. There are also versions for smartphones.
Это кошельки, которые открываются на сайтах-обменниках, криптовалютных биржах и тому подобных площадках. Все их данные хранятся на сервере и это делает их наименее защищенным вариантом из возможных. Ваши средства могут попасть в руки хакеров или мошенников. Именно такая хакерская атака в свое время вызвала знаменитый раскол Ethereum.
Yes, there is one, the paper one. It is just a physical document with your keys. This is a budget option for a hardware wallet — and despite all its primitiveness, it is still better protected than electronic.
There are wallets tied to one specific cryptocurrency (e.g., Bitcoin or Ethereum). They will suit you if you store funds in these currencies, as transactions with them are supported everywhere.
If you plan on long-term storage of money in cryptocurrency, it is better to choose either a desktop wallet or a physical medium. It is better to use an electronic wallet as a temporary option for trading and purchases, in the extreme case - as storage until the time you have a better-protected one.