What is a crypto wallet?

A crypto wallet is a piece of software that allows you to send and receive cryptocurrencies like BitCoin and Ethereum. They are used to store multiple tokens and coins at once, but most crypto wallets only support a limited number of cryptocurrencies. They come in many forms and can be stored on hardware that is occasionally connected to the web. You could even write the keys down on a piece of paper.

How do I create a crypto wallet?

It depends on how you plan to access your wallet. Some prefer to use their phone, others like to use their desktop computer. Another consideration is if you want to store your keys on hardware, and this will require you to check what platforms your wallet can work on. You also need to ensure that your crypto wallet supports the currencies that you are interested in, and you should make sure that it’s from a trustworthy company. Most wallet providers have simple step-by-step guides to help you get started, and it’s very simple to do.

Will I get in trouble for owning a crypto wallet?

A couple of countries, such as Pakistan and Cambodia, have banned BitCoin. Make sure you check your country's laws to ensure that cryptocurrencies have not been banned.

Can my crypto wallet be stolen by the company?

In theory, yes. There’s also the problem that wallet providers could collapse, meaning you’ll lose access to your funds and be unable to withdraw. Ensure that you create your wallet with an established company that has secure technology to protect what’s inside.

How can I keep my cryptocurrency safe?

Ensure that your laptop or phone is up-to-date with the latest security features and software. If you’re using a hosted wallet, then ensure that you’re always vigilant when opening emails that could potentially be spam or phishing attempts.

How long does it take to receive cryptocurrency?

The time between transactions will vary depending on the blockchain. A standard for BitCoin is six confirmations once a transfer is complete, and this could take an hour or more if there is a lot of activity. Other cryptocurrencies can require more confirmations, but this doesn’t necessarily mean that the transaction will be slower. For instance, when buying and trading Ethereum, deposits are often completed in mere minutes.

My funds are now on zero, where did my money go?

Some hosted wallet providers will occasionally move funds out of a pay-in address and into cold storage. This is to provide greater safety to keep user keys and personal assets safe. If you want to make a payment, then your assets are transferred out of cold storage to your payout address.

Will I receive new coins when there’s a blockchain fork?

Forks can launch new coins. However, it may take a while to support the new currencies. Once the developers analyze the forks and check for pre-mining or suspicious behaviour, they’ll accept it into their service and customers will be credited with the new asset.

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