When people think of cryptocurrencies, they often imagine digital coins stored in cyberspace. In reality, those “coins” don’t sit inside a wallet at all—they’re recorded on a blockchain. What the wallet protects are your keys, the digital equivalent of a signature. If those keys are stolen, your funds can be moved without your permission, and transactions can’t be reversed. This is why protecting wallets is more like guarding the only copy of your house keys than locking cash in a safe.
Understanding What a Crypto Wallet Really Is
To secure something, you first need to define it clearly. A crypto wallet is a tool—either software or hardware—that stores your private and public keys. The public key is like your bank account number; you can share it freely. The private key is like the PIN to your account, but far more powerful, because anyone with access can transfer all your assets.…
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