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Choosing a wallet

Lesson 2 of 6
After this lesson you’ll be able to pick a wallet that fits what you’re doing, buy a hardware wallet without being tricked, and tell a genuine app from a copy of one.
A collage of a giant kettle on a stove, with a tiny man on a tall stool holding a blue envelope in its steam with long tongs, the flap starting to lift.

Software or hardware

A software wallet is an app or a browser extension, free, with the key stored on the phone or computer it runs on. MetaMask and Trust Wallet are examples of the kind. They’re the right tool for small balances and everyday use, and the wrong place for savings.

A hardware wallet is a small device that keeps the key inside it and signs on its own screen. Ledger and Trezor are examples of the kind, and this course uses their names because their guides were checked for it. The plain models cost least and the touchscreen models most, and any of them does the job this course describes.

Software wallet
Where the key lives
On your phone or computer
Cost
Free
Protects against
Losing your phone, if you kept the phrase
Doesn’t protect against
Malware, fake apps, bad signatures
Setup time
Minutes
Right for
Pocket money and trying apps
Hardware wallet
Where the key lives
Inside the device, and it never leaves
Cost
Paid, once
Protects against
Malware and fake sites stealing the key
Doesn’t protect against
Bad signatures, a lost phrase, a thief who finds the phrase, a device tampered with before it reached you
Setup time
Half an hour, with the backup
Right for
Anything you’d mind losing

We don’t rank makers, and a ranking would be stale by the time you read it.

Choose a maker that has sold devices for years, publishes its own setup guides, and answers its own customers. Then buy from that maker, on its own site. Where you buy matters more than which you buy, and the next section says why.

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