This type of storage is called a hot wallet, and it is a software application that sits on your device and gives you security and control of your digital assets. This type of wallet can be divided into three parts. Let us take a look at them.
1. Web Wallets
Web wallets are hot wallets that have access to the blockchain through a browser interface (Google Chrome, Firefox, etc.) without having to download or install anything. This type of wallet is prone to attacks, and some service providers do hold and manage the private keys on your behalf. This type of wallet is convenient for an inexperienced user, it’s a good start, but it’s not a great practice to keep your valued assets.
However, web wallets can be hosted wallets and non-hosted wallets. To have full control of your funds, it’s best to use non-hosted wallets.
Some non-hosted wallets:
Some hosted wallets:
2. Desktop Wallets
Desktop wallets are the third most secure wallets. This is another type of software wallet installed on a computer/Laptop to store bitcoin and other cryptocurrencies. Desktop wallets are normally available to install on operating systems such as Windows, Mac, and Linux.
It is important that you ensure your computer is fully secure before you download and store your crypto assets on your desktop to prevent any risk of attack from hackers.
Currently, there are many desktop wallets available for Bitcoins and other popular cryptocurrencies because some digital assets do come with its own desktop wallet.
Below are Desktop wallets that store bitcoin and multiple altcoins.