Starting out in the cryptocurrency world can be daunting and risky–especially if you don't do your homework first. We are going to discuss the main differences between the Ledger vs Coinbase wallet. You should be aware of these differences before you begin your journey—or change the trajectory of your current one.
Ledger vs Coinbase Wallet: Main Differences
Right about now, you're likely asking yourself, "Should I keep crypto in Coinbase or hardware wallet?" The main difference between a Coinbase wallet and a Ledger wallet is the overall security of each. Coinbase wallets store your private key information in a constant connection to the Internet. This means there is a higher risk of outside threats.
With the Ledger wallet, your private keys are stored in an offsite device you control. This decreases the likelihood you could be hacked. Private keys allow you to make outbound transactions on blockchain networks. Keys are stored on certified Secure Element (SE) chips coupled with Ledger's proprietary Blockchain Open Ledger Operating System (BOLOS). This helps to isolate crypto apps, significantly reducing the risk of cyber attacks.
Features of the Ledger Wallet
With the increased amount of crypto currency transactions, fraud, and hacking attempts, the need for boosted security is vital. This is what makes the Ledger wallet so special. Here are the top features:
- Ultimate Security: With its off-site private key storage, SE chip, and BOLOS, Ledger is one of the most secure, comprehensive wallets on the market.
- Cold Wallet Storage: A cold wallet is one where private keys are stored off-site, never exposed to the Internet world.
- Bigger Screen: The Ledger Nano X has a larger screen and bigger buttons than its "Ledger Nano S" predecessor.
Because Ledger is an external device, it is more susceptible to damage than its Coinbase alternative.
Features of the Coinbase Wallet
Coinbase is a digital wallet known as a "hot" wallet because your cryptocurrency and its private keys are stored online. Let's talk about some of the features of the Coinbase wallet.
- Safety: Rated as one of the safest of the "hot" wallet choices, Coinbase utilizes two-factor authentication, multiple signatures, and confirmation requests when completing transactions.
- Easy to Use: Coinbase uses everyday verbiage rather than complicated technical jargon to provide a more user-friendly platform. Using it simplifies any cryptocurrency transaction.
- Wallet PLUS an Exchange Platform: This wallet combines the safety of a wallet with the ease of the Coinbase exchange program. Once you have access to the crypto vault, the process is straightforward.
The Crypto Merchant: One-Stop Shop for Crypto Wallet Options!
The Ledger vs Coinbase wallet debate and the answer to "Should I keep crypto in Coinbase or hardware wallet?" is inherently one you'll have to make yourself. If you're looking for the most secure, safe place to store your cryptocurrency private keys, the Ledger wallet options provide the ultimate in safety and security, while offering the most accessible platform available. Check out our line of crypto wallets here.
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