Are you looking to start accepting cryptocurrencies from customers? If you answered yes, you’ve probably struggled to find the right hot wallet.
In this article, we’ll look at the characteristics of a good crypto wallet and provide you with our top picks
What Makes A Good Crypto Wallet?
Good Security Features
According to the experts at Tezro: “security should always be your main priority when choosing a crypto wallet for your business”.
This ensures that hackers and cybercriminals cannot access your hard-earned coins. As a rule of thumb, you’ll want to keep a lookout for the following features.
- Top-tier encryption. Ensures that your data cannot be hacked and stolen by any malicious parties.
- Multi-factor authentication. It sends an alert whenever it detects a new login attempt. MFA also prevents unauthorized access if you lose your smartphone or access to your wallet.
- Stores private keys locally. Known as non-custodial storage, this method ensures that none of your cryptocurrency keys are stored on a hot wallet’s servers. This reduces the risk of losing your keys if the wallet suddenly collapses overnight.
But do keep in mind that if you forget or lose your password, you cannot regain access to your lost cryptocurrencies.
- Automatic logout. It prevents unwanted access to your hot wallet if you accidentally remain logged in.
Besides having suitable security protocols, your hot wallet should have a user-friendly interface that makes interacting with it easy. This reduces the likelihood of mistakes occurring when you’re using the wallet.
It’s also important that your wallet has a seed phrase. A seed phrase lets you regenerate the contents of your wallet if you lose access to it. Think of a seed phrase as a backup for your portfolio of assets.
My Top 3 Hot Wallets
Here are my top picks for the best hot wallets for businesses.
1. Coinbase Wallet — Best all-round crypto wallet for businesses
- Backed by a reputable crypto exchange; Coinbase
- Supports more than 40,000+ types of coins
- User-friendly design
- Can stake selected cryptocurrencies
- Strong security measures
Coinbase Wallet is provided by one of the world’s most reputable crypto exchanges, Coinbase. When I saw that and Coinbase’s past track record, my confidence in the wallet grew immensely. It also means that the company securely stores my cryptocurrencies.
Speaking of security, Coinbase has reassured users that 98% of their deposits are stored in hardware wallets. This makes them immune to hack attacks which is always good news.
Besides that, users also have the option to stake selected cryptocurrencies. So that way, you get to earn passive income on selected cryptocurrencies.
2. Trust Wallet — Great choice for crypto-based businesses
- Huge selection of cryptocurrencies supported
- Low trading fees
- Offers plenty of trading options and order types
- Optimized for mobile users
- Decentralized customer support
Trust Wallet stands out from the crowd as it supports more than 1,000,000+ different cryptocurrencies. This makes it an excellent wallet for businesses that regularly deal with niche altcoins.
Besides that, the wallet has relatively low trading fees, all published on its website. While it does charge you fees for specific transactions, these can be waived as long as you hold the app’s in-house token, TWT.
Its decentralized support system means that no one from the company handles your data. Although it has led to some complications, this approach reduces the risk of data breaches.
3. Coinomi — Good security features and multiple language support
- Zero fees for sending and receiving funds
- User-friendly interface
- Multilingual support: English, French, Spanish, and 20+ more
- Comes with a built-in exchange
- Supports a diverse range of cryptos
Coinomi does not charge any fees for sending and receiving, which is something most wallets don’t offer. If your business processes a high volume of cryptocurrency transactions, you may want to give Coinomi a try.
The wallet also has a user-friendly interface that is specially designed to be as intuitive as possible. In my personal experience, I found Coinomi to be easy to use and clear with its data hierarchy.
Making cryptocurrencies a regular part of your business’s operations can be tricky. And with so many wallets to choose from, it’s easy to get overwhelmed.
It’s important to do thorough research before making a decision and also diversify your assets through different wallets helps to avoid losing everything at once in case something terrible happens.
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