What is Cold Wallet?

A cold wallet is a type of cryptocurrency wallet that securely stores private keys offline. These wallets, extremely safe for storing Bitcoin and other cryptocurrencies, are sometimes referred to as “cold storage” wallets. The term “cold” indicates that the wallet’s internet connection is severed, reducing risks from hacking or other online threats. This is a scenario that “hot” wallets, which are connected to the internet and hence more susceptible to online attacks, cannot achieve. There are various types of cold wallets, as detailed below. Paper wallets are a form of cold storage that involves printing your private keys on a piece of paper and keeping it in a safe place. Although considered one of the secure methods of storing cryptocurrencies, they can be vulnerable to physical threats such as theft, fire, or water damage. Offline computer wallets involve creating a wallet on an offline computer and storing the private keys […] The post What is Cold Wallet? appeared first on COINTURK NEWS.