Altcoin Wallet: How to Choose the Best
The cryptocurrency ecosystem offers a great variety of altcoin wallet solutions for storing and trading your crypto. What is their functionality and how do they differ from each other? Let’s figure it out.
What Is Altcoin Wallet?
Having a wallet for altcoins allows you to become an active participant in numerous interactions throughout the digital environment. Using altcoins, you can acquire goods and services or pay commissions and rewards.
Altcoins exist only in a blockchain system, simply losing all their value outside of it. Despite this limitation, they are completely safe in their digital environment. This happens because altcoins aren’t really kept in wallets. All your crypto assets will be distributed in the blockchain system. However, you can choose among different ways of managing your crypto since wallets for storing altcoins can take various forms:
With regard to the owner’s control over its connection to the network, an altcoin wallet can also come in different forms:
What Is It Used For?
The main purpose of using wallets for altcoins is interaction with the entire blockchain ecosystem. In the process of this interaction, they perform the following functions:
Types of Browser Wallets
Browser altcoin wallets were offered for storing coins and making crypto transactions. With this type of wallet, you have an external provider who creates a digital infrastructure necessary for storing altcoins online. As such, cryptocurrency is not stored there. The provider just keeps public and private keys to your resources. A suitable browser wallet should be selected depending on the kind of altcoins and the system you are using.
Web wallets are more vulnerable than hardware or desktop wallets, but they are easier to access. Therefore, it is better to have different types of wallets for storing altcoins. "Hot" web wallets should be designated to store small amounts of altcoins you need for quick transactions.
When choosing between web wallets, pay attention to the following two types of storage:
Choosing Best Wallet for Altcoin: What to Look For
The contemporary level of crypto infrastructure development allows users to choose among different types of storage for altcoins in the blockchain. Match your choice with what you will spend your crypto on and look for the following characteristics of the best crypto wallets for altcoins.
PIN to Access
Concerning the provider's ability to access your wallet, you can choose among custodial and non-custodial wallets:
If you decide to keep your altcoins in cold wallets for storing altcoins, you will be provided with an additional PIN just in case you lose it.
The 2FA option assumes that each time you are going to conduct any operation with your wallet, you need to confirm it. To do that, an additional code will be sent to your email or smartphone. Choose a wallet with the 2FA function, especially if you are going to use a cloud-based solution.
Some providers try to put as much functionality as they can into their services. Interfaces become overloaded and cannot be used by clients without deep knowledge of the subject. Select interfaces you can understand. Moreover, don’t use services that are not translated into your native language since you can miss vital details.
Variety of Supported Coins
Payment & Fees
Each crypto storage service has its own payment policy. For example, Binance offers essential discounts for the first and second-year users of BNB. Some crypto exchanges prefer to charge a fee for depositing, while others choose to take a fee for withdrawal of crypto. In some cases, it also matters whether the money comes from a credit card or direct deposit.
It is also important for a wallet to be compatible with the operating system installed on your computer or mobile device. Compatibility with your hardware wallet for the most secure cold storage is also essential.
TOP Wallets for Altcoins 2022
The most rational decision when selecting the best crypto wallet for altcoins is to stick to the market leaders. Here is a list of possible options.
Tips to Keep Your Crypto Safe
To deprive crypto owners of their assets, scammers invent all sorts of schemes, from fake crypto storage services to calls from sham "personal assistants". Pay attention to the following tips for safe storage of altcoins:
Wallets for Beginners
Altcoin Wallet App
A mobile application for managing your funds is very convenient. You can use such a wallet at any time since a mobile phone is already an integral part of our everyday life. Moreover, the device will be under your permanent control, so it will be harder to steal your personal data from the wallet app for altcoins. However, you need to approach it carefully:
The safety of your assets depends on how carefully you approach choosing the best wallet for altcoins. An experienced trader invests enough time to compare different types of wallets and select the most suitable option. It would be better to diversify risks and store altcoins in both online and offline wallets. You also need to be careful about the security of your private key. Try to find the storage method that is most convenient for you personally.
Frequently Asked Questions
What Is a Crypto Wallet for Altcoin?
A crypto wallet for altcoins is a special solution for storing your private and public keys for all altcoins transactions. It can be paper, browser, software, or hardware-based.
How to Choose Suitable Altcoin Wallets?
The choice of a suitable wallet depends on the amount of your coins and the operations you are going to conduct. Pay attention to the safety of your altcoin wallet, the simplicity of its interface, and general functionality.
Are Wallets for Altcoins Safe to Use?
It depends on the mechanisms of protection applied by the provider. For the safety of your assets, choose wallets with HTTPS protocols, 2FA authentication, and PIN codes.