What is a crypto wallet?

A crypto wallet, also known as a digital wallet, is a software program that stores private and public keys used to interact with a blockchain network and manage cryptocurrency. It allows users to send, receive, and store digital assets such as Bitcoin, Ethereum, and other cryptocurrencies.

Do you really need a crypto wallet?

If people who buy cryptocurrencies intended only to hold on to them as speculative investments, there'd be no real need for crypto wallets. Exchanges and online brokerages that convert dollars to, say, bitcoin would store all that digital currency for you like so much money in a bank account.

Why do people store cryptocurrency in a wallet?

Another reason people choose to store their cryptocurrency in a wallet is that wallets are required to make certain kinds of crypto transactions — e.g., interacting with blockchain apps to do things like buy and sell NFTs.

What are the best cold crypto wallets?

Here are some of NerdWallet’s top picks for cold crypto wallets. Ledger is one of the best-known names in crypto wallets. Its prices range from around $79 to $149, and Ledger can integrate with many popular software wallets such as Crypto.com and Guarda.