When acquiring your first crypto asset like Ethereum or Bitcoin, you need to choose where to put it. Much like your traditional wallet, a crypto wallet acts as a secure vault where you can store and manage your digital assets. The best crypto wallet will also allow you to send and receive cryptocurrencies, trade between digital assets, and discover new ways to use them. However, crypto wallets come in several forms and you must fully understand your needs before choosing one.
Here are five factors that cryptocurrency users should consider before choosing a crypto wallet in 2024.
Ownership
Ownership in cryptocurrency refers to who controls or has access to the private keys identifying a user’s crypto assets. In this regard, crypto wallets can either be custodial or non-custodial.
- Custodial wallets are similar to e-wallets like PayPal or Skrill. They allow crypto users to access the assets in their accounts, but the operator retains ownership of the wallet and the cryptocurrencies. That means the custodian must approve each transaction, which might slow the transfer process. However, they’re easy for beginners, and you can quickly convert your assets to fiat currencies to play live casino games at Betway.
- Non-custodial wallets give you full control of your crypto assets and the underlying private keys. When you choose a non-custodial wallet, nobody else can access your cryptocurrencies, including the wallet provider. That eliminates the need for authorization when transacting, but you must diligently manage your private keys.
Security and fraud detection
Whether you’re setting up a betting account at Betway or your crypto wallet, security is critical for anything that involves money. Beyond the classic cybersecurity measures that users should adopt, like setting strong passwords and avoiding suspicious links, you should also consider the availability of advanced security measures. These security measures include two-factor authentication (2FA), backup & recovery, and multi-signature.
Supported cryptocurrencies
No crypto wallet can store all the cryptocurrencies available on the market. Some crypto assets are designed to work with a specific blockchain framework and apps in mind and won’t be compatible with anything else.
Some crypto wallets focus on maximizing compatibility and supporting multiple digital assets but lack some functionalities and conveniences. That means there is no universal cryptocurrency wallet, so you need to consider which options support your chosen crypto asset.
User interface and functionality
It’s crucial to know what you can do with your chosen crypto wallet. However, understanding the functionality and how to access everything can also influence your decision when picking a crypto wallet.
The optimal crypto wallet should prioritize accessibility and simplicity without using confusing jargon on the user interface. Your wallet should also ensure that its security measures don’t interfere with your overall user experience while offering multiple personalization options.
Reputation
Reputation plays a critical role when selecting a crypto asset considering the dynamic nature of the blockchain industry. Do your research and select a wallet provider with a solid reputation in the market for offering reliable services to past and current clients. Fortunately, find all the information about a crypto wallet provider online, ranging from past issues to successes.
