The current upsurge in the prices of altcoins including EOS has pulled in countless investors who are currently viewing the EOS token as a potential investment asset. This implies that it has become critical for traders and investors to find out and use the best EOS wallet to ensure their coins are held securely.
New users find it difficult to discover crypto wallets that deliver the best combination of security, convenience and accessibility. This guide will assess various components including ease of use, cost, and security to figure out the best EOS wallet in 2021.
Our List of the Top EOS Wallets
Users must evaluate various features, focal points, and weaknesses of these wallets to recognise the best ones so you are in a better position to make an informed decision about choosing the right EOS Wallet. The EOS wallets mentioned below provide you with the best of security, performance, accessibility and ease of use.
What is an EOS Wallet?
An EOS wallet or a digital currency wallet is a physical device or a software application that is used to store your EOS coins safely. Wallets can communicate with the blockchain and they can produce the data needed to send and receive digital currencies through blockchain exchanges.
It is critical for you to pick the most secure wallet. Crypto investors who hold long haul positions need to store their EOS tokens for quite a while before they sell. Their essential requirement is security and they don't give as much significance to other features.
Then again, some traders trade daily which requires prompt access to their EOS coins. While security is vital, they need to have a wallet that offers the correct combination of security and convenience.
Types of Cryptocurrency Wallets
To select the best wallet for your needs, you have to build up an understanding of different types of wallets so you can make the right choice.
- Hot Wallets
When an EOS wallet requires an online connection, it is characterised as a hot wallet. The term 'hot' implies that it is always accessible through online connectivity. They are less secure in comparison with the cold wallets yet are easier to use and set up.
Since they are connected to an online network, hot wallets can become victims to cyberattacks and hacking attempts. Hot wallets are a better choice for those brokers and investors who trade cryptocurrencies such as BTC frequently and don't have to hold their EOS tokens for an extensive period.
- Cold Wallets
Those EOS wallets that don’t require online connectivity are called cold wallets and they guarantee strong and robust security. Cold wallets don’t provide easier accessibility but on the other hand, the same lack of connectivity makes it highly difficult for cybercriminals to acquire unapproved access to your EOS coins.
Cold wallets are a smart choice for those brokers and investors who need to store their tokens for quite a long time. These financial specialists are frequently called 'HODLers' as they are hoping to hold their EOS coins for a long stretch to acquire significant profit.
- Cold vs. Hot Wallets
- Cold wallets provide better security as compared to hot wallets.
- Hot wallets are easier to set up and use as compared to cold wallets.
- Cold wallets make for a better choice for long-term investors.
- Hot wallets make for a better choice for short-term investors.
- Hardware Wallets
These are cold wallets that come in the form of an actual gadget that resembles a flash drive. These wallets handle the public keys and addresses separately and include buttons and a screen for using the device. There is no battery inside and they can be connected with a computer where you can use the native application to access them. Hardware wallets cost more but they offer the best security.
- Mobile and Desktop Wallets - Software Wallets
These are hot wallets that come in the form of mobile apps or desktop software programs. In the most recent years, software wallets have become progressively better and are now offering high-quality security combined with improved accessibility and features. Software wallets can be additionally categorised into two types:
- Desktop Wallets - These are software programs that you can install on your computer. They can be transformed into cold wallets as you can detach your PC from the web whenever you have moved the EOS tokens. They are easy to use, ensure anonymity and security, and there's no outsider access. You simply need to make sure that you are backing up your information so no data is lost.
- Mobile Wallets - These wallets come in the form of versatile mobile applications. They are not very secure, however, offer prompt and on the go availability to your EOS coins. They provide more flexibility for EOS traders and investors who want it. Ensure that your mobile wallet is encrypted to secure your digital assets.
- Paper Purses
This is another type of a physical wallet that makes sure your EOS tokens are secure by printing the keys in a QR coded structure. These require the broker or investor to be technically aware. They keep your private keys disconnected from the web but are the least accessible. Paper wallets or purses used to be quite mainstream before the rise of the hardware wallet, however, their usage has decreased in the last few years.
How Do EOS Wallets Work?
EOS wallets permit you to send and get EOS tokens by following the EOS blockchain protocol. An EOS wallet includes a one of a kind ID present on the EOS blockchain to track the amount of EOS coins you have. Each EOS wallet includes a private key which helps you to move your tokens out of the wallet to make a transaction. The addresses of EOS wallets are public but the private keys are kept secret and you are required to keep them confidential.
You need to remember that EOS tokens are not kept on the actual wallet. Each EOS token exists on the blockchain and you own the private keys to those EOS tokens that allow you to get access to the said EOS coins. The public wallet addresses are used to transfer EOS tokens between two parties.
Key Things to Consider when Choosing the Best EOS Wallet
Before you settle on your favoured EOS wallet, you need to make sure that you have assessed several key features and your decision will accommodate your requirements. The top factors you should be looking at include the following:
- Security - The essential purpose of an EOS wallet is to offer safe and secure storage. You need to make sure that the wallet you are going for offers the type of security you need for your use case. For example, day traders require a wallet that delivers decent security but long-term investors need a more robustly secured wallet.
- Compatibility - Although a large number of wallets are viable with EOS, you need to make sure that the wallet you are setting up is compatible with EOS token. If you have plans to buy and sell other cryptocurrencies, it is better to get a wallet that will support all of them for convenience.
- Accessibility - If you are an investor or traders who needs to buy and sell the EOS tokens consistently then you need to have a wallet that permits you to get to your coins and tokens quickly and easily but in a secure manner. You need to find a wallet that offers the best balance of security and accessibility.
- Ease of Use - Those who don’t know much about cryptocurrencies, trading or EOS wallets should get one that is simple to use and has an easy to use interface.
Pros and Cons of Using EOS Wallets
If you are hoping to store your EOS tokens in a risk-free way, then an EOS wallet is the ideal choice. Long term investors should use an EOS wallet to safely store their token since storing them on an exchange is risky. The genuine question is how to make the right choice. You need to assess many factors like security and accessibility to identify the best EOS wallet for your use case.
Frequently Asked Questions
Hardware wallet offers the best security.
Hot wallets. They are connected with the web and provide quick accessibility.
A few kinds of wallets, for example, paper and hardware wallets require knowledge of public and private keys and how it works. Software wallets and mobile apps are easier to use.
Paper or a hardware wallet. They provide the most elevated level of security.
EOS wallets use the most innovative security features including high-end encryption, passphrases and two-factor validation to keep your EOS tokens secure.
Once you lose your private key, it is very difficult to recover it.
Absolutely. Numerous EOS wallets today offer you the feature to trade, purchase and sell through the software interface.
All the EOS tokens are present on the blockchain. What you store are private keys that are used to get access to those specific EOS coins.