A Must-Read for Wallet Newbies: How to Choose the Right Encryption Wallet for You

Entering the encryption world, the first challenge is: which Wallet to use?

Many beginners feel confused; in fact, a Wallet has three core functions: storing coins, managing coins, and transferring coins. However, choosing the wrong Wallet may directly affect the safety of your assets. Today, let's clarify this matter.

What is a Wallet?

Simply put: a Wallet is your “account” on the blockchain. It consists of two keys —

Public Key: Your receiving address, which others can use to transfer coins to you, can be shared publicly.

Private Key: Your withdrawal password, known only to you, used to confirm transactions and transfers.

Both of these keys are indispensable. Lost your private key? Your coins will never be recovered. So keeping your private key safe is more important than anything else.

Five types of Wallets, each with its own way of playing.

Hardware Wallet (Trezor, Ledger)

Offline storage, security ceiling. Private keys never go online, leaving hackers helpless. The downside is that you have to spend money to buy equipment, and the operation is relatively complicated.

Who is it suitable for: People who hold large assets for the long term, safety first.

Software Wallet (Exodus, Atomic Wallet)

Installed on a computer or mobile phone for convenient daily use. However, the private key is on a connected device, which carries a relatively higher risk.

Suitable for: Those who need to transfer money frequently and are willing to take certain risks for convenience.

Mobile Wallet (Trust Wallet, Coinomi)

Portable and suitable for DeFi and NFT operations. Trust Wallet is particularly suitable for Ethereum ecosystem users, seamlessly connecting to DApps.

Who is it suitable for: Heavy users of mobile internet who frequently participate in on-chain activities.

paper Wallet

Print the private key on paper and store it well, completely offline. Theoretically the safest, but it can be easily lost or damaged.

Who is it suitable for: Minimalists who do not trust digital tools.

Custodial Wallet (Exchange Wallet)

Managed by a third party (such as an exchange), with the lowest threshold, friendly for beginners. However, your private key is in someone else's hands, losing the advantage of “self-custody.”

Who is it suitable for: Complete beginners or frequent traders, with convenience as a priority.

How to choose? Four key points

1. Are you a long-term holder or a daily trader?

• Long-term HODL → hardware Wallet or cold Wallet
• Frequent operations → Mobile Wallet or Software Wallet

2. How to balance security vs convenience?

• Pursuing ultimate security → Hardware Wallet
• Pursuing daily experiences → Mobile Wallet
• Want to take the middle route → Desktop Wallet

3. Are the supported cryptocurrencies sufficient?

• Only play mainstream coins (BTC/ETH) → Most Wallets are fine
• There are numerous altcoins → Choose widely supported ones (Exodus, Trust Wallet)

4. Are you willing to pay?

• Hardware Wallets need to be purchased (starting from ¥200-500)
• Most software Wallets are free, but may charge transfer fees.

Wallet Selection List

Final Advice

There is no perfect wallet, only the wallet that suits you best. Beginners typically start with exchange wallets or mobile wallets, and upgrade to hardware wallets once their assets grow.

Remember this golden rule: Your private key = Your asset ownership. If it's not your key, it's not your coin. Any third party claiming to help you manage your private key is essentially safeguarding it on your behalf. Weighing convenience against sovereignty is the wise choice.