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Bitcoin Wallets

Software or hardware that manages your private keys and lets you send/receive Bitcoin. Types: hot, cold, hardware, paper.

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What is a Bitcoin Wallet?

A Bitcoin wallet is software (or hardware) that stores your private keys and lets you send and receive Bitcoin. It doesn't actually "hold" Bitcoin — your Bitcoin lives on the blockchain. The wallet holds the keys that prove you own it.

Types of Bitcoin Wallets

Hot Wallets (Online)

  • Mobile wallets: Blue Wallet, Muun, Phoenix
  • Desktop wallets: Sparrow Wallet, Electrum
  • Web wallets: Exchange wallets (custodial)

Convenient but internet-connected. Use for small amounts.

Cold Wallets (Offline)

  • Hardware wallets: Ledger, Trezor, Coldcard
  • Paper wallets: Printed keys (advanced, fragile)
  • Air-gapped computers: Never connected to internet

Maximum security. Use for savings and large amounts.

The Golden Rule

"Not your keys, not your coins." — Bitcoin community wisdom

If a third party holds your private keys (exchange, custodian), they control your Bitcoin. You have an IOU, not Bitcoin.

Seed Phrase

Modern wallets give you a 12 or 24-word seed phrase when set up. This backup can regenerate all your keys. Guard it with extreme care — anyone with these words can steal all your Bitcoin.

✅ Write seed phrase on paper (metal preferred)
✅ Store in multiple secure physical locations
❌ Never photograph or store digitally
❌ Never share with anyone
❌ Never enter on unknown websites

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