How do you store bitcoin?

When it comes to storing bitcoin, you can store your funds with an established third-party custodian such as a cryptocurrency exchange, hold your bitcoin in your own personal wallet, or opt for a hybridized solution that balances these two options. What Exactly is Bitcoin Storage?

What is the best alternative to storing bitcoin at a financial institution?

The main alternative to storing your bitcoin at a financial institution is storing it yourself. This option is particularly popular for individuals who want full control of their own cryptocurrency. Within self-custody, there are three main types of crypto wallets: software wallets, hardware wallets, and paper wallets.

How secure is bitcoin storage?

The Bottom Line Storing your Bitcoin securely essentially boils down to how secure your private key (or seed phrase) is. Cold wallets are currently the benchmark for long-term storage as your private key is generated offline, significantly reducing the chance of your funds being compromised.