What Is A Crypto Wallet?Just like how our everyday currency requires wallets for storage, a cryptocurrency realm also needs a wallet. In essence, a cryptocurrency wallet is a piece of software that helps in the storage, transaction, and handling of crypto coins.A cryptocurrency wallet is one of the most crucial user-facing elements of the crypto ecosystem. Every wallet is identified by a unique address that also assures anonymity. With this address, users can send crypto money to specific wallets.It is to be noted that the wallet does not store cryptocurrency physically but rather functions as a gateway for users to transact.A crypto wallet is accessed using a combination of alphanumeric strings. Just like how most online entities have a username and password, a crypto wallet has a public key and a private key. The public key functions like our user name and the private key works like the password.Since the wallet is expected to be the gateway between the real world and the blockchain world, it has to be extremely secure. It should ensure that no malicious access is allowed by introducing security layers like multi-signature wallets and two-factor authentication.Its Most Practical Application \u2014 ExchangesIt wouldn\u2019t be an exaggeration to say that cryptocurrency exchanges brought cryptocurrencies and blockchain technology from the confines of technology experts and high-performance computers for the common man. The need for cryptocurrency wallets exploded proportional to the number of cryptocurrency exchanges and the users. The growing legal acceptance of cryptocurrency exchange as a valid business model all over the world also contributed to this spike in the number of wallets.Since it is mandatory that every cryptocurrency exchange user needs to have a cryptocurrency wallet, the cryptocurrency exchange can be considered the most powerful fuel behind the proliferation of cryptocurrency wallets.The Different Types of WalletsThere are different\u2026<\/p>","protected":false},"excerpt":{"rendered":"
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