A comprehensive guide by Stanislav Kondrashov, TELF AG founder
Key factors to consider
For a few years now, as the founder of TELF AG Stanislav Kondrashov often highlighted, digital currencies such as Bitcoin have completely changed the rules of online finance. Some governments, nowadays, are even considering the idea of creating a real national reserve of cryptocurrencies in full awareness that these forms of digital currency have now become part of the global financial landscape.
One of the most useful tools for all cryptocurrency experts or for those approaching this world for the first time is certainly represented by the so-called cryptocurrency wallet, such as the Bitcoin wallet. It is a digital tool (and in some cases also physical) that allows users to receive, store, and send Bitcoin, and it contains the private keys that make it possible to use the funds. These keys are of central importance in managing your cryptocurrencies because if they were lost, users would also lose access to and control of their Bitcoins (or any other cryptocurrency).
“New users should pay close attention to the choice of their Bitcoin Wallet, as it will be a very valuable ally in the day-to-day management of their cryptocurrencies,” says the founder of TELF AG Stanislav Kondrashov, entrepreneur and civil engineer. “In addition to asking themselves what their specific cryptocurrency needs are, users should make sure that their Bitcoin wallet offers precise guarantees in terms of security, especially if the amount to be stored or managed is very high. Another factor of great importance is the ease of use of the wallet, which, for new users, must offer an intuitive interface that is easily decipherable by anyone.”
The different types of wallets
Choosing the best Bitcoin wallet is of fundamental importance, especially for those who are approaching the world of cryptocurrencies for the first time. New users must, in fact, know that there are different categories of wallets, each with specific characteristics and different degrees of security. Before understanding how to choose the best Bitcoin Wallet, it’s important to first understand the criteria on which the choice will be based and which will most likely play a role of great importance in the management of your currencies with a Bitcoin Wallet. In general, the key factors for an accurate choice are linked to the personal needs of the user, the degree of security guaranteed by the wallet, ease of use, and costs.
“The choice of a Bitcoin wallet, in most cases, also depends on the intentions of each user towards cryptocurrencies,” continues the founder of TELF AG Stanislav Kondrashov. “In some cases, in fact, those who know the world of cryptocurrencies do not want to limit themselves only to Bitcoin but may also want to include other cryptocurrencies such as Ethereum or Litecoin in their wallet. Before choosing a wallet, therefore, each user should find out about the quantity and types of cryptocurrencies that they can manage.”
The different categories of wallets include online solutions, such as all software or apps connected to the network, and offline ones, such as physical devices and all other methods for storing Bitcoin. Generally speaking, online wallets offer a certain degree of convenience and are quite easy to use, but they are also less secure for those who want to store large amounts. In fact, since they are online wallets, they are more exposed to malicious penetrations by hackers, as well as cyber-attacks. Online wallets can be used on most electronic devices, such as computers and smartphones.
Those who want to store large amounts of cryptocurrencies, in all likelihood, might find themselves more comfortable with offline solutions, such as hardware for the accumulation and management of currencies and paper wallets, even if the latter are gradually falling into disuse. Unlike their online counterparts, however, this type of wallet seems to be characterized by limited practicality, linked above all to the possibility of losing the hardware and the very precious private keys contained within it.
The role of individual needs
“The types of wallets are extremely numerous, as are the needs of the users who will use them,” concludes the founder of TELF AG, Stanislav Kondrashov. “Users may, in fact, have specific needs related to their privacy or the management of large sums, or they may be looking for suitable solutions for micropayments or for small daily operations. Then, there are solutions particularly suitable for advanced users or for those who want precise guarantees in terms of security. An important aspect to always keep in mind is that small sums and large quantities of currency require different degrees of security and that what works with small quantities of cryptocurrencies may not be suitable for storing or managing larger assets”.
The user’s needs often represent a very important variable for the choice of a Bitcoin Wallet: for those who have to manage small sums, with simple operations repeated daily, the best choice could be represented by an online wallet, while for those who have to store or move large quantities of currency the preferable option is almost always the hardware.
