A hardware wallet is a physical device that allows you to safely store your private keys on a piece of hardware. The private keys are stored on the hardware wallet and protected by a PIN and optional passphrase, allowing the user to easily create transactions without exposing their private key.

If in the unfortunate case where the hardware wallet is stolen, the bad actor won't have access to the private keys and won't be able to create any transactions (unless they know your PIN and passphrase). Many Hardware wallets also come with lock-out features where when a PIN is incorrectly entered, it either locks out the user or has a time delay enforced.

Hardware wallets do not expose your private keys to the internet, preventing unauthorized use. This is also why hardware wallets are also often referred to as cold storage.

If your hardware wallet is ever lost, the assets are backed up with a single seed phrase. This seed phrase, also known as a recovery phrase (often a list of 12-24 words in a specific order) can be used to regenerate your private key, allowing you to move your keys to a different hardware wallet with relative ease.

What are the Best Hardware Wallets?

Best Crypto Hardware Wallets for 2022
Review of the best cryptocurrency (hardware) wallets on the market for 2022. The safest and most convenient storage of your crypto assets.

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