Wallet (Hot vs Cold)

A crypto wallet stores the private keys that let you access and move your cryptocurrency — the coins themselves live on the blockchain, not inside the wallet. A hot wallet is connected to the internet (a phone app or browser extension), which makes it convenient for everyday use but more exposed to online attacks. A cold wallet keeps your keys offline, typically on a dedicated hardware device or even paper, trading some convenience for much stronger protection against hacking. Most users keep a small amount in a hot wallet for spending and larger holdings in cold storage.