Bitcoin & Crypto & NFT News
Given the rapid rise of bitcoin value, feels like a daily reminder wouldn't be a bad idea. Please, recommend other reputable wallet in the comments for others.
Did you purchase your bitcoins on an exchange? You think those coins are yours? You are wrong. If you do not have access to the private keys controlling those bitcoins, they are not yours. The exchange merely promises you to pay them out whenever you request those bitcoins. If the exchange collapses, your coins are gone too.
So where should I store my bitcoins?
Any wallet, to which you actually own the private keys. So, not a hot wallet.
Software wallets still face threats, but less than hot, online wallets or exchanges. If you want absolute security and plan on holding a significant about of money in bitcoin, choose a hardware wallet.
Exchanges: Hacks (Theft), Liquidity Problems, Closure
Software: Malware stealing private keys, data corruption, physical theft
Hardware: Physical theft and PIN extortion
Threats to exchange-based wallets and software wallets are remote, over the internet. Threats to hardware wallets are physical; requiring physical theft and extorting a PIN from its owner.