Demand for Bitcoin is going through the roof.
If you’re reading this, I believe you must have heard about Bitcoin and probably already own some bitcoins.
So how do you store your Bitcoin?
Well, a lot of people start off getting involved with Bitcoin on cryptocurrency exchanges like Coinbase. So generally many would just buy and then leave it on that platform.
If that’s how you do it, then you’re putting ownership of your Bitcoin at great risk!
Most of these service providers will store the Bitcoin private keys on your behalf.
Essentially, you’re giving permission to someone else to control your digital keys.Not only that, your Bitcoins are prone to hack, fraud and other types of cyber attacks.
That is a very bad practice and a big NO-NO!
So what’s the best way to keep your Bitcoin?
While there are many different types of Bitcoin wallets out there, hardware wallet is considered the most secure and safest storage option for your digital assets.
With hardware wallets, only you HOLD the private keys that control access to your crypto. Allowing you to manage your own finances while protecting your crypto fund from hackers and thieves.
Related reading:
- What is Bitcoin Private Key?
- Cold wallet vs hot wallet
A Bitcoin hardware wallet is basically a physical electronic device for storing Bitcoin private keys securely.
This cold storage device is perhaps the best and most secure storage option because they keep your private keys offline.
Even if it’s connected to a malware infected computer, your keys are remained safe and secure inside a hardware wallet.
If your hardware wallet falls in the wrong hands, your coins will be safe.
As long as you have the 24-word recovery phrases, you can recover your keys and bitcoins even if your device is stolen or damaged. And thus, making it an effective and secure way to store your bitcoin and other digital currencies in the long run.
To date, there have been no verifiable incidents of Bitcoins stolen from a hardware wallet.
For best security, you might consider moving your Bitcoin and other cryptocurrencies into a hardware wallet.
The following are some of the most reliable and popular Bitcoin hardware wallets on the market.
Let’s take a look at My Top 3 Picks:
| Ledger Nano X | Ledger Nano S | Trezor | |
| Dimension | 72mm x 18.6mm x 11.75mm | 56.95mm x 17.4mm x 9.1mm | 60mm x 30mm x 6mm |
| Weight | 34 g | 16.2g | 12 g |
| Box Content |
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Editor’s Score | ★★★★★ | ★★★★☆ | ★★★★☆ |
| Go to Ledger Nano X | Go to Ledger Nano S | Go to Trezor | |
| Cost | $119 | $59 | $78 |
Founded in 2014, Ledger is a leading company in developing security and infrastructure solutions for cryptocurrencies and blockchain applications.
They just released the newest hardware wallet called Ledger Nano X.
It’s actually an improved version of the previous model, Ledger Nano S.
What makes Nano X special is its Bluetooth connectivity. This Bluetooth feature allows you to safely transaction anywhere, anytime with your mobile phone or computer, without using USB cable.
Also, Ledger Nano X offers state-of-the-art security to keep your private keys safe. It’s made possible with a certified secure chip to protect your keys from a wide range of potential attacks.
Perhaps the biggest improvement of Ledger Nano X is its enhanced memory, which lets you hold up to 100 different cryptocurrencies at one time. While its earlier version, Nano S also supports a large number of crypto , it has very limited hardware memory.
In other words, you can have only 4 different coins on the device and have to manually install and uninstall apps to make room for other coins.
With Ledger Nano X, you can install multiple cryptocurrency wallets all at the same time without having any memory issues.
Here are some of the main features of Ledger Nano X:
- A larger and higher quality screen (128×64 pixels instead of 128×32 pixels)
- Slightly heavier than Nano S (weight:34g instead of 16.2g)
- Material: Brushed stainless steel and plastic.
- 100mAh battery
- Easy to use: 2 buttons,1 screen
- Easy backup with a 24-word recovery phase
- Store multi-currencies at the same time
- Bluetooth enabled
- Free shipping
Ledger Nano X supports 1000+ coins and tokens, including:
- Bitcoin (BTC)
- Bitcoin Cash (BCH)
- Bitcoin Gold (BTG)
- Ethereum (ETH)
- Stellar (XLM)
- Ripple (XRP)
- Litecoin (LTC)
- Dogecoin (DOGE)
- Zcash (ZEX)
- Dash (DASH)
- Binance Coin (BNB)
- and 1000+ cryptocurrencies
It’s priced at $119. If your budget allows, Ledger Nano X is the best hardware wallet available in the market.
You can store, send and receive crypto on the go, without ever leaving the security of your wallet.
A word of cautious: Make sure you only buy a brand-new hardware wallet directly from the official store.
Don’t buy from a third party like eBay just to save a couple of bucks. You might lose your hard-earned money if you’re device is tempered. In Jan 2018, a man lost $34,000worth of cryptocurrency from its hardware wallet because the middleman whom he bought from has tempered the device. It’s an expensive lesson that I hope no one would repeat it.
Ledger Nano S
Ledger Nano S is by far the most popular hardware wallet for storing cryptocurrency in the world.
It’s my first (and favorite) digital wallet when it comes to protecting crypto investment in the long term.
Although Ledger Nano S is an older version, it’s just as secure as Nano X.
This small and compact device provides an easy and affordable way of securely holding your coins.
It’s protected by a PIN and easy to set up and use. I’ve written a comprehensive guide to help you setup Ledger Nano S in just minutes.
It features a built-in OLED display, two buttons on the side which you need to press physically to verify transactions.
In addition, the 24-word recovery phase allows you to recover your coins in a new wallet in case your hardware wallet gets stolen, damaged or lost.
At present, it supports over 1100 cryptocurrencies and tokes (with new, exciting assets are added regularly), including popular coins like Bitcoin, Ethereum, Monero, Ripple, Litecoin and more.
However, it doesn’t have a built-in battery. To make a transaction, you’ll need to connect it to a computer via USB.
Ledger Nano S is available for just $59, the cheapest hardware wallet on this list.
Launched in 2014, Trezor is the first Bitcoin hardware wallet that offers secure cold storage, with the convenience of a hot wallet.
Trezor looks more like a mini-computer with a large and clear OLED screen.
To start using it, you’ll need to plug it into your computer with a USB cable.
Similar to Ledger Nano wallet, it protects your Bitcoin and crypto assets by ensuring your private keys are always offline. There are buttons on the device which you have to press it manually to confirm a transaction.
Trezor currently supports Bitcoin (BTC), Litecoin (LTC), Ethereum (ETH) , Zcash (ZEC) and other 1000+ cryptocurrencies.
One thing great about Trezor is the built-in exchange support forChangellyandShapeShift. This means that you can seamlessly and securely exchange one crypto for another directly from the safety of your Trezor wallet interface!
Undoubtedly, hardware wallet is the best choice for long-term HODLing crypto investment. It stores the digital keys for you, allows you to use them safely. Plus you can easily retrieve all your coins with recovery seed key.
Having said that, anyone who has access to this seed can recover your wallet on their device and steal your crypto coins.
This recovery phrase is everything! Who has this 24-word phrase will have control over the coins.
So remember your PIN code, write down your recovery phase and keep it securely on an offline sheet.
But don’t let this be your excuse of not using a hardware wallet.
As long as you follow good practices in handling your PIN code/recovery phrase, you’re well on your way to hold your Bitcoin to the moon.
Conclusion
If you’re serious about cryptocurrency investment, you’ll definitely need a secure hardware wallet like Ledger or Trezor. Although it’s expensive, sooner or later, you’ll see the need to have secure cold storage to protect your crypto assets from both physical and virtual theft.
Above all, make sure you’re getting an authentic hardware wallet directly from the manufacturer. Or you’ll risk losing all your funds permanently.
How do you keep your cryptocurrency? Do you use a Bitcoin hardware wallet? Why and why not?
I’ve handpicked a few guides for you to read next:
9 Legit Ways to Earn Free Bitcoin (#3 is My Favorite)
How to Secure Your Cryptocurrency?
- 7 Best Cryptocurrencies with high potential
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