We need crypto wallets to access, store, send, receive and track our digital currency holdings whether it’s Bitcoin, Ethereum or ICO tokens.
How Do Cryptocurrency Wallets Work?
Cryptocurrency wallets work like the safety deposit boxes we use to store our most treasured possessions be they bond certificates, jewelry or a will. None of us can afford to lose the keys to the safety box because we could lose ownership of our valuables if they wind up in the wrong hands. Cryptocurrency wallets work pretty much the same way only instead of physical keys we carefully guard our digital keys. Commonly known as private keys or master keys, digital keys take form of hexadecimal codes, something like this:“2940447a4ed5eef7f46bcc185cb2f21d2a8bffcde5418156a9d1a44aa137558
At first glance, it comes across as daunting until you find out it is flexible enough to be written down, printed on paper, typed on a document, converted to image form or even memorized. Therefore, when you are holding digital assets such as ICO tokens and cryptocurrencies in a wallet, there is no excuse for not taking appropriate steps to secure your private key backups. You will need your private key to access your assets and authorize transfers from your wallet.
So never lose them, share them with anyone and always keep them somewhere safe where you can retrieve when necessary.
How to Create Cryptocurrency Wallet
You can create one via a web browser, download one via your smartphone or purchase a physical one from an online store. Once you have your wallet set up and running, remember not to share your private keys with anyone, never lose them and store them safely in a location where you can retrieve on demand. If you need help – to talk to us and ask any questions you might have.