Assalamualaikum, if we talk about crypto wallet, then according to me 95% of the people working on this platform will have knowledge of it but despite all this, the first question of this contest is that I should explain it in my own words that what is a crypto wallet.

Crypto wallet is a wallet in which we can hold our cryptocurrency, as we are from Pakistan and we use bank for holding Pakistani Rupees, similarly crypto wallet is the wallet in which we hold crypto and we can send cryptocurrency from any other wallet through wallet easily and very fast, and it is also safe.

If I want to explain by example, as we enter the Easypaisa number of another person for Easypaisa to Easypaisa transfer, similarly when we have to make a transaction in crypto wallet, if we want to transfer crypto to someone, then we enter the wallet address of that cryptocurrency.

Now in cryptocurrency there are not 1 coin, not thousands but millions of coins, all of which are difficult to describe here. It is not very difficult but impossible, so I will put the names of some famous cryptocurrencies in front of you, which include Bitcoin, Ethereum, Cardano and apart from these, the reward of the platform on which we are working is given in Steem Coin, which is itself a crypto coin. I hope you have understood about the crypto wallet, if you have any question related to this, then you can ask in the comment

Source

If we talk about the types of crypto wallets, then we have mainly 3 types, but here I will explain only the main three types.

1. Hardware Wallet: This is the first type, hardware wallet or a wallet which is a physical device that stores the private keys of users offline and also offers increased security.

2. Software Wallet: This is the second type and it is also clear from the name that it is a software program that stores the keys of cryptocurrency through software, i.e. in mobile and computer.

3. Paper Wallet: This is the third type of wallet and it is also clear from the name that paper means something that is on paper, in it the public address of cryptocurrency is saved or the private keys that we use for transactions. These keys are offline and due to this their security is better.

Source

If talk about me, then for spot trading, I need a wallet because I need to hold cryptocurrencies. I use Trust Wallet which is very good and easy for me.

If we hold these coins on an exchange, then there can be a loss or it is possible that the coin we are holding may get delisted from that exchange in the future. That is why I think it is better to hold in a wallet, if it gets delisted from an exchange, then I can transfer it to another exchange through the wallet and sell it whenever I want.

The purpose of the private key is evident from its name itself that it is for privacy. That is why it is private. I will share with you an example of how it is.

For example if you want to make a transaction from one wallet to another wallet, then you will need a private key for this and it will be with only the person whose wallet it is, meaning the transaction cannot happen without his permission. If the public key was used instead of the private key for the transaction, then it would be a public key and anyone could have accessed it. In this way, anyone could have played with someone's account and made a transaction, so I will call the private key a safety key according to me.
I hope everyone has understood this description.

Source

10% to @hive-109435