Crypto Wallets Explained! Guide for beginners Blum Academy #blum #crypto #airdrop #bitcoin
Crypto Wallets Explained! Guide for beginners Blum Academy #blum #crypto #airdrop #bitcoin
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00:00Hi, today we will tell you about what cryptocurrency wallets are, what solutions the Bloom platform
00:08offers regarding these wallets, and how to create and set them up.
00:13Cryptocurrency wallets are tools that allow you to store, manage and use your digital
00:17assets.
00:18There are two main types of wallets, hot and cold.
00:21Hot wallets are connected to the internet and are convenient for daily transactions,
00:25but they are less secure due to higher risk of hacking.
00:29Cold wallets are not connected to the internet and therefore more secure but less convenient
00:33for frequent operations.
00:36Hot wallets include mobile and web wallets such as MetaMask and TrustWallet.
00:40They allow quick and easy transactions but require caution when storing large amounts.
00:45Web wallets provide access to blockchains through a browser interface and are often
00:49used for exchanges and other browser-based wallets.
00:52However, many web wallets store and manage your private keys, which can be less secure.
00:58Cold wallets, such as hardware wallets and paper wallets, are ideal for long-term storage
01:02of large amounts of cryptocurrency.
01:05Hardware wallets are electronic devices that generate public and private keys and store
01:09them offline.
01:10This ensures a high level of security by isolating them from online threats.
01:14Paper wallets are physical printouts of addresses and private keys, which provide protection
01:18from online attacks but require careful handling and secure storage.
01:22Choosing the best crypto wallet depends on the specific needs and preferences of the
01:26user.
01:27For example, the best bitcoin wallet may differ from the one intended for storing Ethereum-based
01:31assets.
01:32It's also important to ensure that the wallet supports the required blockchain network in
01:36order to avoid usage issues.
01:39As for Bloom, we also believe that storing funds on exchanges can be ambiguous.
01:44I'm not just talking about certain restrictions or dirty crypto.
01:49Of course, you shouldn't even encounter that at all.
01:51I mean that you should be the owners of your cryptocurrency.
01:55Therefore, Bloom is integrating a solution called MPC Wallet.
01:59MPC, multi-party computation wallets, provide a high level of security, allowing users to
02:03have full control over their funds.
02:05The keys are stored with three different caretakers, the user, the exchange, and an external provider.
02:13This allows the wallet to be recovered in case part of the data is lost.
02:18The advantages of MPC wallets are that your funds remain under your control and only you
02:23can initiate transactions.
02:24If you forget part of the phrase, you can recover the wallet without the exchange having
02:28access to your assets.
02:31Bloom will also allow you to link your existing wallets such as Metamask and Trust Wallet.
02:36Metamask is a popular cryptocurrency wallet available as a browser extension and a mobile
02:41app for iOS and Android devices.
02:43Trust Wallet is a mobile wallet for iOS and Android that allows you to securely store
02:48and manage your cryptocurrencies.
02:49It supports many blockchains and tokens.
02:53Installing and setting up Metamask and Trust Wallet is quite simple and straightforward.
02:57Visit the official website or download the app from the App Store or Google Play.
03:01Create a new wallet, set a strong password, and save the seed phrase.
03:05This process is intuitive and takes only a few minutes.
03:08These wallets allow you to manage your assets directly without needing to transfer them
03:11to an exchange, ensuring greater security and control over your funds.
03:16Want to learn more?
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03:22Thank you for watching and see you next time.