As cryptocurrency has continued to become more and more popular, so too has the need for proper cryptocurrency security. Since its inception in 2009, Bitcoin’s rise to prominence has led to the creation of thousands of cryptocurrencies in the world. With so much cryptocurrency being traded, crypto security has never been more important.
Initial crypto security came in the form of a hot wallet, a digital place to store cryptocurrency holdings. Over the years, though, major cryptocurrency exchange hacks showed the necessity for a safer form of storage — a cold wallet. In today’s post, we’ll break down exactly what a crypto hardware wallet is and why every person trading crypto should use one.
Here at ITBiometrics, we are proud to offer the safest crypto hardware wallet ever created. Complete with biometric security, fingerprint authentication, and a host of other technologies never before seen in a wallet, the ITBx Cold Wallet offers the best security available. Learn more about cold storage wallets below, then make sure to join the ITBx Cold Wallet waitlist to be one of the first to take advantage of this security.
Hot Wallets vs. Cold Wallets
To understand what makes a cold crypto wallet so valuable, it’s important to break down the main differences between the two forms of wallets. In simple terms, think of hot and cold wallets like checking accounts and safety deposit boxes, respectively.
- Hot Wallets — A hot wallet, or digital wallet, stores cryptocurrency holdings online. Like checking accounts, digital wallets are more active in the sense that you can access your holdings online and easily trade assets. Hot wallets are generally free and only require the user to register an account to begin holding.
- Cold Wallets — Hardware wallets are akin to safety deposit boxes in the sense that you can only access them offline using secure measures. These cold wallets allow users to safely store their assets in a secure location that only they can access, thus eliminating some of the threats posed by hackers.
What Makes a Hardware Wallet Better?
Crypto hardware wallets were invented for one reason — security. Highlighted by the Mt. Gox hack in 2014, the need for a more secure method of storage became clear. Prior to the hack, cryptocurrency keys were stored in hot wallets, making it possible for sophisticated hackers to breach the storage and steal those assets.
Enter cold storage. This offered cryptocurrency traders — especially those with large holdings — a new, safer way to secure their assets. Not only do hardware wallets prevent hackers from accessing your keys online, they also provide a large enough space to hold massive amounts of crypto.
Most hot wallet supporters rely on the fact that hot wallets store more types of crypto for free. It is true that hot wallets can be used free of charge with any cryptocurrency in the world, since many non-mainstream currencies can create their own means of storage. However, when it comes to securing your most valuable assets, it makes sense to pay a small portion of their value to protect them. Also, as hardware wallets continue to develop, they are able to hold more and more types of cryptocurrencies.
The ITBx Cold Wallet
There has never been a safer way to secure your cryptocurrency holdings than with the ITBx Cold Wallet. As cryptocurrency enthusiasts ourselves, we are passionate about protecting everything we’ve worked so hard to earn, and our hardware wallet does just that. Not only will your holdings be stored offline and out of the reach of hackers, they will also be protected by an additional level of security.
While other cold wallets are accessible via a passphrase or PIN, ours uses biometric authentication — including fingerprint recognition, body temperature and blood flow detection, and ephemeral key wrapping — to keep your assets secure. Are you ready to experience the future of cryptocurrency security? Join the ITBx Cold Wallet waitlist today!