Cold Storage is an offline wallet that is used to keep a variety of cryptocurrencies in a safe way. When using cold storage, the digital assets are kept on a platform that is not linked to the internet, guarding funds against cyber hacks, hackers, and other threats that an online system is usually vulnerable to.
Crypto holders or investors can benefit from cold storage techniques, but they can benefit others too. Crypto exchanges and other businesses in the crypto field also can take advantage of this wallet. Additionally, the term “cold storage” can be used more generally to describe different techniques for keeping track of inactive data, including backup records, video, photos, and data needed for regulatory compliance.