Since the advent of cryptocurrency, it has gained significant prominence in the financial market. At first, it seemed somewhat scary and unfamiliar to most users just like the early days of credit cards.

As a crypto investor or enthusiast, you must have heard of Bitcoin, Litecoin, and Ethereum. All these cryptos make use of the blockchain technology with a view to keeping it safe and secured.

Currently, there are over 1500 cryptos in the market. A simple search will show you the most popular cryptos and its corresponding market capitalization.

If you are a newbie in the crypto ecosystem, one major skill you need to sharpen is how to preserve your cryptos. Bitcoin and other cryptocurrencies are kept in a wallet in a similar fashion as your regular cash, except that the wallet is digitally stored on your computer.

There are various types of wallets used at different times. However, professional crypto investors store their assets in a cold storage wallet. The big question is how does cold storage safely preserve cryptocurrencies, and what are the options available?

It is in the light of the above, this article will take a look at the different cold storage options available on the cryptoecosystem.


Usually, we cold store any item we want to preserve. Similarly, in the crypto world, investors who want to preserve their cryptos for a long-term make use of the cold wallet. But, cold wallets are different from other wallets because it is an offline way of storing your assets. It is devoid of network glitches, fraud, and hackers won't be able to prey on your assets, unlike the hot wallets. The following are some of the most popular and reliable cold storage options:

Paper wallet

A Paper wallet is a single address printed or written on a sheet of paper. It is not practicable to use a paper wallet for your day-to-day transactions. However, it is one of the best cold storage options on the market.

The following are the benefits of using a paper wallet:
● Can be generated securely
● It is easily transported
● Not typically exposed to malware
● Can be given as a gift
● Relatively affordable
● It is easy and simple to store in another location

Hardware Wallets

These are the evolution of various software wallets into a safer physical wallet. Hardware wallets are a popular means of safely preserving your cryptos. Example of a hardware wallet is the Trezor wallet. Trezor is coded with strong encryption, making it difficult for hackers to prey. Plus, it uses lengthy passphrases rather than the usual password which most wallets use.

The following are some of the benefits of preserving your cryptos using hardware wallet like Trezor:

● Perfectly safe from malware and hacking
● Easily transportable
● Secured with strong encryption
● Backups and recovery are possible
● Continually tested and upgraded
● The wallet can easily be stored in a new location

USB Drive

Another great way to preserve your cryptos is to make use of a USD drive. Many crypto investors like this option due to its flexibility.

The following are the benefits of using this option to preserve your cryptos:

● Easily transportable
● Simply encrypted
● Easily stored in another location
● Usually readily available


Crypto backed loans are one of the safest ways to preserve your cryptos. One such platform to leverage is the Inlock platform.

Inlock is a leading platform where crypto users can safely preserve their cryptos being a borrower. Here’s the deal; when you sign up on the crypto-backed lending platform as a borrower, you get to pay every cost with their ILK Token. Therefore, when repaying the loan, you’ve indirectly preserved your cryptos.

The benefits of using this option are that it is highly flexible and you can set the in-lock based on your needs. Besides, when cryptos are left on exchanges where hackers can easily have access to them, they can be lost. But when you make use of them as collaterals for digital asset backed loans, the lending platform takes custody of the crypto and ensures they are not stolen. In a way, you get your Loans backed by cryptocurrency and at the same time have your cryptos preserved until your loans are repaid.

Author's Bio: 

Md Rasel is a professional blogger.