Crypto Wallet
A tool that stores your private keys and lets you send, receive, and manage your crypto — it controls access to your coins on-chain.
A crypto wallet doesn’t “hold” your coins the way a bank vault holds cash — the coins live on the blockchain. Your wallet holds the private keys that prove ownership, letting you authorize transactions.
Hot vs cold
Hot wallets (browser extensions, phone apps) are connected to the internet and convenient for everyday use. Cold wallets (hardware devices like Ledger or Trezor, paper backups) keep keys offline for large amounts. Most people use both.
Why self-custody matters
An exchange wallet is really the exchange’s wallet — you trust them to return your funds. A self-custody wallet is yours alone. “Not your keys, not your coins” captures the difference: who can freeze or lose your money?
Related terms
Private Key, Seed Phrase, Self-Custody, Exchange, Hardware Wallet