I am sure you have heard about Bitcoin by now.
And I’m also pretty confident that some of you might even own some bitcoins!!
But where are you keeping those bitcoins?
On Bitcoin exchanges like Poloniex or hosted Bitcoin wallets such as Coinbase?
If that’s your answer, then you are putting the ownership of your bitcoins under serious risk!!
These services keep your Bitcoin private keys under their custody on your behalf. This is not a safe practice, as your Bitcoin private key is the only way to claim your bitcoins.
If you don’t know, consider reading this guide on private keys, and the MtGox hack.
So now the question is, where should you keep your bitcoins?
Here at Coinsutra, we don’t write about things that we have not personally used.
Moreover, I think one needs to look for the following things when selecting a reliable Bitcoin wallet, irrespective of whether it is a software or a hardware wallet:
Control private keys – A wallet where you own and control your keys.
Backup & security features – Seed backup keys and pin codes.
Developer community – Active development community for maintenance.
Ease of use – Elegant UI for fast and easy use.
Compatibility – Compatible on different operating systems.
Now that you know what to look for in a Bitcoin wallet, let’s check out the top 5 best Bitcoin wallets.
The Best Bitcoin Wallets: (Hardware, mobile & desktop)
- Mycelium
Mycelium
Mycelium is one of my favorite Bitcoin wallets.
It is an open source and well-established Bitcoin wallet with an active developer community that is always innovating.
This is a frictionless tool for storing bitcoins, as it requires no email verifications, no onboarding, and no usernames/passwords to get started.
If you are new to Bitcoin, you will love Mycelium’s very easy to use UI.
Moreover, you control your Bitcoin private key and can always import it when you need to.
Mycelium is an HD wallet which provides you with a 12-word backup seed key which you should write down somewhere and keep safe. In case you damage or lose your device, this backup seed key will enable you to recover your bitcoins.
Mycelium is compatible with Ledger Nano S, KeepKey, Trezor, and also with paper wallets.
At present, Mycelium is available on Android and iOS platforms.
Always remember: If you lose those 12 words, you will lose your bitcoins.
Download the Mycelium app from Google Play and check out this new video tutorial on how to set up your first Mycelium Bitcoin wallet.
- Jaxx
Jaxx
Jaxx is the world’s leading multi-asset digital wallet which stores both bitcoins and altcoins.
It currently supports 13 crypto coins, and is an ideal choice for multi-cryptocurrency users.
With an active development team working at lightning speed, it’s also very reliable. Altcoins such as Monero, Tether, Ripple, and many more are on their development roadmap.
Jaxx provides a seamless, frictionless, and easy to use UI. It takes no email verifications, no onboarding, and no usernames/passwords to start using Jaxx.
It is an HD wallet which comes with a seed backup key feature. The seed key helps you in controlling and restoring your crypto assets in case your device is damaged or lost.
You can export your private keys, and import bitcoins or altcoins from paper wallets.
Jaxx also has ShapeShift.io integration for currency exchange, which makes it a natural choice for multi-currency lovers.
It is available now on iOS mobile/tablet, Chrome & Firefox Extensions, and MAC/Linux desktop versions.
Download the Jaxx app from Google Play
- Exodus
exodus-portfolio
Exodus is a free to use, desktop-only wallet crafted by JP Richardson and Daniel Castagnoli in mid-2015.
It is the world’s first multi-cryptocurrency desktop wallet.
Simply looking at Exodus.io, you can tell that the company is putting a lot of effort into creating a good user experience.
You can store your bitcoins without worry, as Exodus has no hosted servers or logs. At present, it supports cryptocurrencies like Bitcoin, Ethereum, Litecoin, Dogecoin, Dash, Golem, and Augur.
No registration or identity verification is needed to start using Exodus. But you certainly need to take a backup of your seed key!
If you want to access and spend your funds, you are required to set a password.
While taking a backup of your seed key, it also asks for your email id for sending you a one-click link recovery feature. You can always use this email link along with your password to restore your Exodus wallet.
However, one thing to remember while using Exodus is that you can only take a backup of the seed key when you have some balance in your wallet.
I like using this wallet because a pie-chart at the center shows your entire token portfolio in one glance. The UI is very nice.
Exodus is the first desktop wallet to have ShapeShift built in for exchanging cryptocurrencies.
And if you need help, you can get personal support from the founders via email.
It is available on Mac, Linux, and Windows.
Download the Exodus wallet
- Ledger Nano S
Ledger Nano S
Ledger Nano S is a hardware wallet from a French start-up.
It’s like a USB drive which connects to any USB port. It doesn’t have a battery and only starts up when plugged into a computer (or mobile device).
The Ledger doesn’t come with an anti-tampering sticker as its cryptographic procedure checks for integrity of the instrument when powered on.
It also comes with an OLED screen and two side buttons for confirming transactions.
When you configure your Nano S as a new device, you need to set up your pin code in order to secure your wallet. After that, note down and store your 24-word recovery phrase. This recovery phrase can be used anytime to restore your bitcoins.
With this wallet, your private keys are stored offline, so you need not worry about the safety of your coins.
Nano S is also the cheapest multi-currency hardware wallet ($65).
The current list of Nano S supported cryptos:
BTC – Bitcoin
ETH/ETC – Ethereum/Ethereum Classic
XRP – Ripple
LTC – Litecoin
DOGE – Dogecoin
ZEC – Zcash (Z-addresses not supported)
DASH – Dash
STRAT – Stratis
(coming soon) XMR – Monero
Buy the Ledger Nano S now
Note: You should always use a hardware wallet when you have a lot of bitcoins or altcoins.
Watch this video by Coinsutra’s YouTube channel to learn how to set up your Ledger Nano S.
- Trezor
Trezor
Presented by SatoshiLabs, a Czech Republic-based company, Trezor is the world’s first Bitcoin hardware wallet.
It is a small device with an OLED screen, which connects via a USB to your personal computer or phone. Its fundamental purpose is to store your private keys offline and sign transactions.
The initial setup is a bit different from the Ledger Nano S.
With Trezor, when you first connect it to your PC, it shows a nine digit pin code on its OLED screen. You need to enter the same pin code by clicking on your corresponding PC screen. This code is generated randomly every time you connect Trezor, and makes sure that even a tampered PC can’t get your pin.
After entering the pin, you will be asked to write your 24-word recovery seed. Again, you need to keep your recovery key safe because this is the only way you will be able to restore your bitcoins.
After that, using it is pretty similar to the Nano S.
Trezor now supports many cryptocurrencies:
BTC – Bitcoin
ETH/ETC – Ethereum/Ethereum Classic
NMC – Namecoin
LTC – Litecoin
DOGE – Dogecoin
ZEC – Zcash
DASH – Dash
Trezor can be used with apps such as TREZOR Wallet, Mycelium, and Multibit HD.
It is available now for Windows (version 7 and higher), OS X (version 10.8 and higher), and Linux. You can also use it with your Android devices.
It is available in 3 colors – white, gray, and black – and costs $99.