Crypto Wallet
What is Crypto Wallet?
Software or a device that stores the keys used to access and move cryptocurrency.
Understanding Crypto Wallet
A wallet does not hold coins themselves; it holds the private keys that prove ownership on the blockchain. Anyone with your private key or recovery phrase can take your funds.
Custodial wallets, such as accounts at an exchange, hold keys for you. Non-custodial wallets, including hardware wallets, leave you in control and fully responsible for keeping keys safe.
FAQ
What happens if I lose my recovery phrase?
With a non-custodial wallet, there is usually no way to recover the funds. Store the phrase offline and securely.