If you want to understand what a What is a Bitcoin Wallet is, it can be described as is a digital currency useful for making transactions. The currency is particularly efficient for performing online transactions. You will not need to use a bank or credit card to complete a transaction. To own Bitcoin, you need to have a digital wallet. There some of the main types of wallets you can use. They include a software Bitcoin wallet, paper wallet and hardware wallet.
Software wallet is the most efficient wallet you can have. Key function of the wallet is to save private key code. The key code is for the user to be able to prove ownership of the Bitcoin he owns. For a person to be able to receive Bitcoin, you will need a unique identifier. The Bitcoin address is usually long and is composed of different letters and numbers. This makes it difficult for a person to recall. Each Bitcoin address has a matching private key. The key is then saved in your wallet.
The Real Use of a Bitcoin Wallet
Most people tend to think that wallets are used for storing Bitcoin, this is not the case. Bitcoin wallet software is installed on your computer or web based. You have total control over the wallet, and you have sole access to it. There are factors that you will need to consider before getting a wallet. It needs to be secure and safe.
You will not be able to prove ownership of Bitcoin if another person can get access to your wallet. Ideally, software wallets are more secure than web-based wallets. However, web-based wallets allow online access. It all depends upon your needs, if you like to spend Bitcoin on the go, an online wallet is better in comparison to an offline wallet. The password to your wallet is the only thing that can gain access to a Bitcoin wallet. Once you have a wallet you are now ready to get Bitcoin.