Join over 94,000 students, learn all you need to know about Bitcoin. One Email a Day, 7 Days in a Row. Hello multibit hd trezor bitcoin and gals, my name is Nate, and welcome to Bitcoin Whiteboard Tuesday! Every few weeks we’re going to send you a cool new video, just like this one, explaining some basic concepts around Bitcoin.
This way you can learn about Bitcoin yourself or forward these videos to friends or family members who have questions. What are private keys, public keys and a seed? What is the difference between hot and cold wallets? What are the different types of wallets? Today’s video is all about Bitcoin wallets and how to choose the best one.
We’re going to cover a lot of topics like mobile wallets, web wallets, desktop wallets, paper wallets, brain wallets, HD wallets, multisig wallets and of course hardware wallets. So even though we’ve got a lot to talk about, don’t worry, we’ll simplify it for you, and in the end we’ll also help you choose the best wallet for your needs. A Bitcoin wallet is a program to send and receive Bitcoins, store Bitcoins and monitor Bitcoin balances. Just like you need an email program like Outlook or Gmail to manage your emails, you need a Bitcoin wallet to manage your Bitcoins. Wallets monitor Bitcoin addresses on the blockchain and update their own balance with each transaction.
Now here’s one of the most important things to remember about a wallet: What defines a wallet is where its private key is stored. Well, a private key is just a very long string of numbers and letters that acts as the password to your Bitcoin wallet. It’s from this number that your wallet gets its power to send your Bitcoins to other people. You can also think of it like the secret coordinates for locating your Bitcoins. In other words, whoever knows your private key has control over your Bitcoins. It’s something you give out to people who want to send you Bitcoins. However, even though the Bitcoin address is generated through the private key, there’s no way figure out what the private key is just by examining a Bitcoin address.