THE DIFFERENT TYPES OF COLD WALLET IN CRYPTOCURRENCY BLOCKCHAIN

Hello to everyone in this wonderful community and on this awesome platform. I greet you in good spirit and I want to believe that we all are doing just amazing today. If so, we give God the praise for the sustainability of life and good health.

I welcome you all to yet another lovely weekend on here. I want to believe that we all are having a lovely and restful weekend after a long week this far. It is always a necessity to take some time out and rest well after working days.

As usual, I am here amidst you all to discuss another important topic with you all regarding the different types of cold wallet in cryptocurrency blockchain. As such, I beckon on you all to sit tight and relax while I begin the teaching for today. I wish you all a happy reading as I begin.

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The digital Blockchain has a unique features especially when storing or keeping our digital currency safe. Most individuals make use of what is known as the Hot wallet to store or keep their digital assets. The Hot wallet is regarded as a type of wallet that is connected to the internet.

It is an online wallet which can only be accessible via internet and as such, the hot wallet is highly vulnerable as we get to see certain fraudulent actions by individuals trying to steal or hack a user digital asset wallet.

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Before we move down to talking about the different types of cold wallet, it is quite important to understand what the word Cold wallet entails, that way we can get a good insight regarding the topic of today's lesson.

COLD WALLET

Cold wallet regarding the digital Blockchain enables digital assets users to safe and store their digital assets vehemently, and also the cold wallet can be use as medium to exchange digital assets from a particular user to another. The cold wallet is also use to exchange digital assets.

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The cold wallet is very safe especially when compared to the hot wallet. The cold wallet does not need to be connected to the internet, in fact it can be accessible offline. This is a major advantage the cold wallet possess over the hot wallet. Since the cold wallet need no internet for engagement it is then very difficult for it to be jeopardize or hacked by fraudsters.

TYPE OF COLD WALLET

There are various types of cold wallet which I will be discussing with you all briefly. So the below are a few examples of the various types of cold wallet that there are.

PAPER WALLET

Paper wallet is said to be a written information regarding your private key as well as your public keys that has been pened down on a paper. With the paper wallet, one can write down his or her public and private keys on a paper comfortable and this can be stored in a safe place and it can not be tampered with by hackers since it's not connected to the internet.

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Mind you, just like any other documents the paper wallet can be stolen or get missing and worst of all, it can get damaged totally that one can not retrieve any written information on it.

HARDWARE WALLET

The hardware wallet is regarded as an offline device and this work just as how a USB Drive operates. The hardware wallet is used to store private and public keys. The hardware is more safer and secure when compared to the paper wallet. The hardware wallet is efficient and more reliable to use when it is being kept safe.

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CONCLUSION

These are a few examples regarding the different types of cold wallet in cryptocurrency blockchain and we said that the cold wallets are very important and advisable to use by user and this is because the hot wallet users most times experience phishing attacks whereby certain unknown individuals always try to get into their digital wallet through the internet but the cold wallet does not need the internet for it to be accessible hence it is very difficult to be tamper with via online.

Thank you all for reading from me today. I will be seeing you all as soon as possible to continue this interesting teaching but for now, I say goodbye.