There are many different ways to use Bitcoin and so there are many different types of wallets:
- Online bitcoin wallets. Wallets that can be accessed on the web from any internet connected device.
- Bitcoin hardware wallets. Physical devices designed to secure bitcoins.
- Software wallets. Wallet applications downloaded to your phone, computer or tablet.
- Paper wallets. Bitcoin private keys printed from an offline computer
- By the end of this article you’ll understand Bitcoin wallets and have a better idea about which type is right for you. Here are some factors to consider:
- On the go? If you are making payments in person and not online then a mobile wallet like Copay (iOS & Android), breadwallet (iOS) or Mycelium (Android) is a must.
- Frequency of payments. If you will need to make frequent payments then it will be best to keep your funds in wallet that is easy to use and accessible. Mobile wallets and desktop wallets are good options.
- Amount. If you are dealing with large amounts of bitcoins you will need a secure wallet. Hardware wallets and secure offline wallets like Armory are good options.
- Use combinations. Use a mobile wallet as your checking account, and a hardware or secure offline wallet as your savings account. Mix and match to find a combination that provides both security and accessibility.