Bitcoin Wallets
When it comes to using the digital currency bitcoin, all transactions must be conducted through bitcoin wallets. These sites allow you to manage and receive payments through a secure server, and are easier to use for transactions than a bank’s mobile app. On this page, we’ll go over the basics of bitcoin wallets – like their security, what the difference types are, and the best kinds of wallets you can use. Bitcoin wallets can be broken down into four categories – Desktop, Mobile, Hardware, and Online. Here, we’ll dive in to each. We will also review a number of bitcoin wallets in each category, so that you have a good idea of what you should be looking for when it comes time to create your own bitcoin wallet.
There’s almost nothing more important than making sure your bitcoin wallet’s security is on the up and up. Knowing whether or not the wallet you would like to use has a centralized or decentralized operation and whether or not third parties can control your money is extremely important. That is why we have gone through the numerous bitcoin wallets available to online users, and picked out the best ones with the most secure operating systems.
When looking for a secure bitcoin wallet, you’ll want one that is mostly or completely decentralized. A full node wallet means that third parties do not need to be trusted for anything, which is what you want. It’s the best way to ensure that your funds are not being hidden from you. A mostly decentralized bitcoin wallet allows you to control payments, but third parties must verify these payments. They still won’t be able to hide anything from you, though, so bitcoin wallets like this are still very good to use.
Centralized bitcoin wallets rely entirely on third parties for transactions, meaning you have to trust them completely. This doesn’t mean they will be untrustworthy, it just takes more control out of your hands. It also means that the security of your bitcoins will rely entirely on how strong your passcodes are. Further down this page, we go review a number of different bitcoin wallets, so that you can choose for yourself exactly what you’d like to use.
There are two basic types of bitcoin wallets: full clients and lightweight clients. Full clients are those that should only be used on computers. They take up quite a bit of operating space, as they monitor the entire block chain, which, as of December 2016, was over 100GB. When monitoring transactions, they can peruse only parts of the block chain, but that’s still several GB to peruse. The extent of this, in addition to its complexity, is not well suited for mobile devices.
Lightweight Clients are much faster to install, and, because they don’t have to access the entire block chain, can be run on devices like iPhones and other smartphones. Lightweight clients will have to surrender some control to third party servers, however, in exchange for faster installation and access to transactions through mobile devices. This doesn’t diminish the security but can sometimes result in faulty values being reported back to the user.
Getting a bitcoin wallet is very simple. First, research what type of bitcoin wallet will best suit your needs. Whether or not you want a full client or lightweight client wallet type is entirely up to you. The biggest differences between the two basic types of bitcoin wallets can be more thoroughly explained above. After that, you’ll have a multitude of wallets to choose from. Each has pros and cons, and doing your research is important so that you have a wallet that works for you. After that all you have to do is signup and purchase bitcoins to fund your wallet with, which you can do directly through your wallet. It really is as simple as 1,2,3.
Desktop wallets are bitcoin wallets that use too much space and memory to operate on mobile devices. These wallets allow users to conduct bitcoin transactions securely, giving them nearly unfettered access to the bitcoin block chains. Below, we’ve put together a short review of the most popular types of desktop bitcoin wallets. These work on the most common types of computers, including MAC’s, PC’s, and Linux. The wallets listed below are a mix between full client and lightweight client bitcoin wallets.
This full bitcoin client works on common computers, like PC’s, MAC’s, and Linux. Bitcoin Core is one of the leading wallets when it comes to security, offering users two factor authentication when logging in to your wallet. They also provide users with the ability to download Tor, which is a proxy server that allows you to disassociate your IP address from your bitcoin transactions. This adds an extra level of security.
Bitcoin Core is incredibly stable and ensures privacy to all of its members. The only downside that some users have noticed is that this wallet ties up a good bit of your computer’s memory and space. This is something to consider when you are choosing between bitcoin wallets. Other than taking up a lot of room, though, Bitcoin Core has incredibly high approval rating in every other aspect – money control, transparency, and so much privacy.
Bitcoin Knots, a full client wallet, is slightly newer than other wallets. This wallet takes security to new heights as it is a full node. What that means is that Bitcoin Knots does not require you to use a third party to verify transactions. In addition to this, you have complete control over your money and because Bitcoin Knots is open source, you’ll be able to check the code for bugs or secrets any time you want.
The only downside to having a wallet that is a full node is that it takes up over 100 GB on your computer. It also can take longer to sync this program. Bitcoin Knots can be used on MAC’s, Linux, and PC’s. Extra security steps are recommended for computers that are more vulnerable to malware, so using solid passwords and enabling the double authentication features for login are suggested.
MultiBit HD is not a full node, so some trust in a third party is required when you are first installing the program. You can use MultiBit HD with Linux, PC’s, and MAC’s. This wallet provides top of the line security features for its members, but it is also highly recommended that you use tough passwords and authorize a two-factor authentication for your wallet.
MultiBit HD does allow you to use Tor, adding an extra security layer over any of your transactions. This wallet is a lightweight client, so it is much faster to use and doesn’t take up nearly as much room as Bitcoin Core or Bitcoin Knots. MultiBit HD allows members who are not tech savvy a much easier version of a bitcoin wallet to use. It’s software instantly and constantly syncs with the bitcoin database, and will always keep you up to date with everything.
Mobile bitcoin wallets are a convenient way to be able to conduct your transactions without having to log on to a computer. You can do these anywhere, so long as your bitcoin wallets are compatible with your smartphone. Below, we go over a few of the more popular and secure mobile bitcoin wallets available. There are mobile wallets for every operating device below, so you’ll be sure to find at least one wallet that meets your needs.
Copay is a popular mobile bitcoin wallet. This is one of the bitcoin wallets that is usable on a wide range of smartphones, including Android, iPhone, and Windows phones. Because it is using a mobile device with smaller broadband capabilities, third parties are in charge of conducting payments. This doesn’t mean that your funds can be frozen or lost to these parties, it just means you lose a little control.
Copay is incredibly secure, as the mobile devices it is compatible with isolates apps so that spyware cannot get to them. This bitcoin wallet is an HD-multisignature wallet. It does allow users to add on a private BWS node to enhance its privacy features, as Copay uses centralized servers. Copay is a great mobile bitcoin wallet.
Bitcoin wallet is aptly named, as this wallet allows users more control than most other mobile wallets. You have full control over your money and a third party is only required to verify payments. It uses the bitcoin network as well as SPV when conducting transactions. You can use Bitcoin Wallet with Androids and Blackberrys.
While peers are able to see your IP address alongside your payments, Bitcoin Wallet prevents spyware and malware from getting to your private information. This mobile wallet is perfect for those who are not technically inclined. Its usability is rated much better than most mobile bitcoin wallets, and it’s also incredibly fast. Servers are not centralized.
Like most mobile bitcoin wallets, Breadwallet users must surrender a little trust when it comes to payment processing. A third party must verify the payments. But, it is one of the most secure wallets we recommend. This site uses SPV and employs anti-spyware in order to keep your information safe. It is still recommended that you take basic precautions like using strong passcodes and not leaving everything in your account just lying about.
The creators of breadwallet are all about keeping things simple, making their app incredibly easy to learn and use. You can download breadwallet on iPhone or Android, both of which have strong security bases to begin with. You’ll have full control over your money at breadwallet, which is incredibly important. So you won’t have to deal with someone else coming in and freezing your accounts. Always make sure to back up your wallet.
The name of the game is convenience with Airbitz. This bitcoin wallet allows users elevated decentralization, privacy, and security. This is another of the bitcoin wallets that is great for users who are not particularly technological. Airbitz will work for iPhones and Androids, but nothing else.
As far as mobile bitcoin wallets go, Airbitz is as decentralized as they come. You still have to have a third party verify payment, but that’s nothing new when it comes to mobile bitcoin wallets. Airbitz is one of the few wallets that are encrypted and automatically backed up. It is also one of the few wallets that will still be able to operate even after the servers go down. AIrbitz bitcoin wallets are some of the best for mobile users.
While software wallets are able to provide great security features, there are a number of significant advantages to using hardware bitcoin wallets over software wallets. Hardware wallets are not susceptible to computer viruses or spyware. Hardware wallets are interactive and open source, giving users access to the code and the ability to validate everything that goes on. There are a number of bitcoin wallets that fall into this category, but just one that stands out above the rest.
Trezor is a hardware bitcoin wallet. It is a device that allows you to conduct secure transactions. This device provides a protected environment that specializes in secure transactions. Nothing can be downloaded onto the device, which means there is almost no risk of spy- or malware getting into the Trezor.
As far as bitcoin wallets go, Trezor is the most secure you can get. You can authorize payments from the device through a computer that has been compromised and your transaction – and bitcoin wallet – will be perfectly fine. Using Trezor gives you full control over your money, with no third party interference. The best of the best in bitcoin wallets is definitely this hardware wallet, Trezor.
Another class of bitcoin wallets are called online wallets. These wallets are centralized, rely on third parties for nearly everything, and can be lost or stolen due to a server’s error. In addition to this, they are operated from vulnerable environments, which opens them up to malware and spyware. Because of the discrepancies that are so common with online wallets, ReviewBitcoin.com does not recommend these types of bitcoin wallets to users.