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Unlike your old-fashioned physical wallet that keeps your bills and coins, a crypto wallet doesn’t actually hold your cryptocurrency like and . Instead, it contains the passkeys you need to and access them on the blockchain.
Crypto wallets can take the form of external hardware devices or software that runs on your mobile device or computer. And while their primary function is to keep your crypto safe and allow you to make trades, they also offer more control over your digital currency than you’ll get using a standard account at a or brokerage.
Some brokerages and payment services like , , and let you and other crypto easily without a crypto wallet. These services store your digital currency for you in their own “custodial” wallets, which means you’re trusting the company to secure, protect and hold your crypto. Ultimately, they have control, and you’ll need to trust them to act on your behalf.
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