What is a cryptocurrency wallet

A wallet can be compared to an electronic wallet or a "private" current account. Such a vault allows you to make transfers in cryptocurrency and receive digital money.

A transfer using Bitcoin, Monero, or Ripple is virtually no different from a transfer using a regular bank account. Instead of an account number, only the recipient's address is required. Because digital currencies are "transferred" directly from person to person without intermediaries, there are virtually no commissions - neither the infrastructure nor the banker has to pay with them.

However, it is worth bearing in mind that the commission on the Bitcoin network can be quite high at certain times.
In addition, you can combine all cryptocurrencies in one wallet, regardless of which provider you bought them from. Thus, you can store Monero bought on a cryptocurrency exchange along with Monero bought on a trading platform in one wallet that supports this protocol.

Multi-currency wallets are much more convenient and functional, but there are also wallets for only one asset: bitcoin wallet for bitcoins, Monero wallet for Monero and Stellar wallet for Stellar.

You can set up a wallet on your smartphone that is ideal for everyday use. Or you can find and install a convenient and secure one on your PC.

Important: If you have a wallet installed on your device, you should secure it with a strong password as soon as possible, otherwise hackers can steal your cryptocurrencies. Write down your password and keep it in a safe place. You will then need your access code again to complete the transaction.
You can also purchase a hardware wallet, which can be compared to a USB drive. From time to time, you can transfer your digital money to this "thumb drive" and store it independently of your devices.

Tip: If you lose your hardware wallet, the cryptocurrency you saved there will also be lost forever. Moreover, this device costs money. Thus, a smartphone wallet with a strong password may be the best choice for the average user.
If you want to buy bitcoin for cryptocurrency, you can do it on the so-called bitcoin market. There, crypto traders trade directly with each other and the price is determined by supply and demand. A transaction occurs when an offer from one user is accepted by another user.

Depending on the trading floor, operators charge a small fee for exchanges, for deposits and for withdrawals. And in order to conduct all these transactions, you need a vault, too.

A mnemonic phrase to protect your wallet

In the cryptocurrency world, such a phrase is used for security. Investors can only access their crypto-assets protected in the wallet with an initial phrase, also known as a restore initial phrase, backup initial phrase, mnemonic phrase, code phrase, or basic initial phrase.

The start phrase is usually a random sequence of words, usually 12 or 24. A cryptocurrency wallet can only be accessed by entering them in the correct order. In addition, a wallet can be recovered with a seed phrase that is not tied to a specific cryptocurrency.

Connected to a hardware wallet or a cold wallet, this combination of words is the best protection against hacking attacks. It is very important to keep the initial phrase in a safe place to avoid unpleasant situations.

And you need to withdraw funds in fiat, you can always exchange cryptocurrency with us.