New To Bitcoin? Here Is How You Must Choose The Right Bitcoin Wallet
January 17, 2019
Agreed, you were very excited to make your first Bitcoin transaction. Like other investment assets, these also need to be stored in a way so that nobody can steal it from you, just like how you would keep your hard cash and cards safely. There are many Bitcoin wallets you can use online, however, choosing the right one means that you need to do a little bit of homework so that you can get the best one based on your requirements. In this article, we will see the various points that you need to consider before choosing a virtual wallet to keep your Bitcoin.
Before choosing a wallet for keeping your Bitcoin, you must see if the company in question offers you a multisignature option(multisig). This is where you need multiple keys to unlock the Bitcoin only after which you can spend it. This is something like a box with various keys needed to open it.
You should be sure that the wallet in question is completely secure. If you are looking to use a web based wallet, ensure that the website has a HTTPS domain. It should also have strong and secure logins. Additionally, you should also be able to do two factor authentication with the wallets.
How you can own your Bitcoin
You should have all the access to the private keys of your Bitcoin which is in your wallet. If you do not have them, it is as good as not having any Bitcoin. You should always have the control over the Bitcoin in your wallet at all times. With the private keys, you should be able to move in and move out Bitcoin at any time.
The Bitcoin wallet shoud be open source and transparent. If it is not, it is very hard to say if the wallet provider is helping you secure your Bitcoin. If the Bitcoin is open source, you can peer review it and get it checked for any kinds of vulnerabilities. The code should also be up to date.
For many people, being anonymous while making Online Bitcoin exchange is very important. Some Bitcoin wallets ask only for their email IDs while others ask for the entire suite of details to do a full KYC (Know your customer). You need to know what you are comfortable with before making a decision.
The wallet that you intend to use should have an easy user interface. There must not be too much of technical jargons used which can confuse you. If you can get a wallet that you can use on your mobile devices, then it is a cherry on the cake. Some wallets also let you store Bitcoins offline on your hardware devices wherever you need them.
Backup for the wallet
You should also inquire whether you can back up the wallet when needed. How does the wallet provider provide for the backups and are the backups encrypted? Do ask these questions before you load your Bitcoins to the wallet
The wallet’s reputation
This is the most important aspect you need to consider. Look up the wallet provider at various community forums like the Bitcoin reddit and Bitcoin forum to know what others have experienced with the wallet so that you can make an informed choice. You can also ask your friends and acquaintances about the way the wallet works so that you can make an informed choice.
There are many options of wallets to choose from. Keeping your Bitcoins safe is now super easy with the right Bitcoin wallet bought from the Online Cryptocurrency Exchange. The above points can be a great way to ensure that you can choose the right option for yourself. If you are handling multiple accounts, you can even hold accounts in multiple wallets. All of this depends on your requirements.