How to Save Cryptocurrency in 2024

Company type wallet Purchase cost Embedded Exchangeable hardware Electrum Warm Free No Yes Exodus Warm Free Yes Yes Mycelium Warm Free Yes Yes

Steps to Store Cryptocurrency in a Paper Wallet

Step 1: Access a computer that you are sure is free of any malware. If you can afford it, get a new personal computer for this step. The reason is that generating paper wallet credentials with an infected computer makes your wallet vulnerable and insecure to crypto. Step 2: Visit a paper wallet generator site. These free sites can help you generate the credentials you need, such as the private and public keys, in seconds. Step 3: Generate an address. Select the number of addresses you want to generate and click “generate.” Some sites can generate up to 10,000 addresses at once. Step 4: Print out your paper wallet. Since you want to keep your crypto offline, one common method is to print out the wallet and fold it with the crypto address showing outside while the private key is in the inner flap. This will make it harder for someone to see your private key at a glance. Step 5: Send crypto to your paper wallet. After sending crypto, keep the wallet in a safe place, away from possible harmful elements such as moisture and heat. Since crypto is virtual, you can send crypto to any wallet, whether paper, digital or physical, as long as you have an address to use.

What you need to open a Cryptocurrency account

Opening a cryptocurrency account is quick if you have the necessary details. A few wallets even allow you to open multiple user accounts on the same wallet. Remember, you will need to provide the necessary KYC details; these details help exchanges and wallets curb money laundering and other financial crimes.

Research the Cryptocurrency account

It is crucial to run background checks before signing up with a scholarship/wallet. These checks save you a lot of headaches and prevent you from falling into the hands of scammers posing as legitimate business owners. The first place to look is the company’s website. There are several questions to ask, including:

Does the website look suspicious? Does the URL match the company name? Who manages the exchange?

While many things are anonymous in the crypto space, wallet/company owners rarely are. If you are satisfied with the authenticity of the company website, go to social media to check its official social media handles. Also pay attention to any red flags and listen to what other people are saying about the company. Do many people say it is ineffective?

Sign up

To use a cryptocurrency wallet/exchange for the first time, you need to sign up with some details and documents to give the exchange some background information about you. Here is the information most exchanges need:

Name Date of Birth Email Address Telephone Number Home Address Social Security Number Driver’s License or Passport

Understand the basics

Since cryptocurrency is money, it must be kept safe: away from hackers, scammers and other bad actors. If these people get their hands on your crypto, they can send it to another wallet or sell it for money, leaving you with nothing. In choosing a crypto wallet storage option, consider one with a security system that makes it difficult for anyone to hack your wallet and steal your assets.

There are different types of secure wallet options that you can go with, including crypto exchanges, cold storage wallets, paper wallets, and hot crypto wallets. If you want to access your crypto faster, choose either a crypto exchange or a hot crypto wallet. If you want to focus more on security and store cryptocurrency offline, cold storage or paper wallets are ideal options.

Cryptocurrency Exchange

A crypto exchange is an application that allows you to access crypto and conduct crypto-related transactions. Most wallets are free to download but involve a transaction fee for sending or selling cryptocurrency. Coinbase, Binance, and Kraken are all popular examples of cryptocurrency exchanges.

Coolberg wallet

A cold storage wallet is a type of wallet that is not connected to the internet. With this type of wallet, your crypto is safe from hackers, so it’s ideal for storing large amounts of cryptocurrency. Many users go for Trezor and Ledger.

Hot Crypto Wallet

Unlike a cold wallet, a hot crypto wallet is connected to the internet. This means you need an internet connection to access your crypto. Although these wallets are more susceptible to hacks, they often make accessing your crypto for transactions easier. Numerous hot crypto wallets are available on the market today, but Guarda and Mycelium are good choices based on security.

Paper wallets

Although paper wallets are now being phased out, it is still practical to store cryptocurrencies. A typical paper wallet contains your private keys and your address printed on it. Paper wallets are relatively safe, but if the paper is stolen or lost, the thief can easily read your keys and take your crypto, or you lose your crypto forever.

Know the risks

No cryptocurrency storage method is 100% secure, even with the various security measures.

Risks of Storing Cryptocurrency in an Exchange

Storing your crypto on an exchange is often considered the easiest way to keep it, but you can also quickly lose it to hackers. If your exchange is attacked, you could lose your crypto permanently, even though your passwords and private keys are safe.

Risks of a cold storage wallet

Usually, cold storage is the safest way to store your crypto away from online hacks and security breaches. But you can also lose your crypto, especially if you lose your device or it gets stolen. Furthermore, water or fire damage can permanently cause your crypto to go down the drain, especially if you haven’t backed up your seed phrase.

Risks of a Hot Crypto Wallet

Hot crypto wallets carry almost the same risk as storing crypto on exchanges. However, they are relatively safer. If your device gets hacked or you accidentally install malware, your wallet could be completely empty.

Risks of a paper wallet

Your paper wallet is very vulnerable to physical damage or wear and tear. These wallets are quite cheap, but they are easy prey for attackers. The attacker just needs to get hold of the paper to rob you. So even if you have copies of the paper wallet, it doesn’t help much since your private keys are on any copy you print out or keep as a soft copy in your device’s storage.

Factors to consider when opening a cryptocurrency account

Security: Review an exchange’s security features before setting up an account. We recommend going with one that offers two-factor authentication or an additional security measure to the regular password feature.

Fees: Many exchanges charge a small fee for sending, selling or buying cryptocurrencies. If you want to trade cryptocurrencies often, your best bet is to go with an exchange with moderately low fees to save you the extra money spent on fees.

Number and quality of supported cryptocurrencies for options trading: If your goal is to trade a variety of crypto assets, you will need to choose an exchange that offers more than just BTC and Ethereum (ETH).

Storage and Safeguarding: Using a custodial storage option like a hot crypto wallet is better if you’re not too good at keeping passwords and passphrases. These options keep your crypto for you and can help you recover your password if you forget it.

Customer Support: Although many exchanges have a customer support center or an email to reach them in case of problems, it is preferable to opt for one with a live chat option. It has faster response times and can be convenient for wallet-related emergencies.

Frequently Asked Questions