Bitcoin investment is the new buzz in the market. Ever since Bitcoin emerged in the market, it has been running the news mill. Whether it is about the sudden rise in its value or apprehensions surrounding it. Irrespective of the access, Bitcoin has been the new headline’s favorite topic of discussion. You can find umpteen options to invest in Bitcoin. But you also need a safe place to store this cryptocurrency. In this blog, we are going to highlight the 5 best and safest ways to store Bitcoin.
1. Hot wallet- When it comes to storing Bitcoin, many people trust the hot wallet. These are also known as online wallets. These run on internet-connected devices like phones, tablets, and computers. Although this is one of the most preferred choices, they have a certain amount of vulnerabilities because they create private keys. So, the user has to be extra cautious about storing Bitcoin in the hot wallet.
2. Cold wallet- The next option that we have is the cold wallet. These are also popular, known as offline wallets or hardware wallets. They don’t need internet-connected devices and are considered the best choice for those looking for a safer option for Bitcoin storage. There are different types of a cold wallet, and these are covered below:
3. Paper wallet- This is also a type of cold wallet. You can generate this from certain websites. These can produce both private and public keys, which are written on a piece of paper. You must store this paper correctly. Make sure that you store it safely because once you lose it, you won’t be able to regenerate it back.
4. Hardware wallet- Another type of cold wallet that is issued for storing Bitcoin is a hardware wallet. This can either be a USB. As compared to hot wallets, these are safer, as they remain unaffected by virus attack. These devices are open-source and allow the community to determine its safety, rather than the company declaring the same.
5. Physical coins- New services are emerging in the market, which allows Bitcoin investors to buy physical Bitcoins. These coins come with a tamper-free sticker, and the value is predetermined. To buy physical coins, one has to pay some premium amount over the value of Bitcoin. This service is also gaining popularity, and many people are now willing to use Bitcoin as physical coins.
These were some of the popular ways of storing Bitcoin. If we have to pick the safest one, then we lay our bet on a cold wallet or hardware wallet. Make sure if you are using a hardware wallet or paper wallet, you keep a backup of the same. Don’t lose the private key as it would be difficult to get another one.
The growing interest in Bitcoin investment and other cryptocurrencies shows that this currency is here to stay, and you can use them to make good money. Learning in-depth about cryptocurrencies will give you an upper edge. To know more, connect with Blockchain Council today.