What is a Crypto Wallet? How to Set one up?

Crypto Wallet

Typically, you own a debit card that you bring to the bank to deposit money into or withdraw cash from, or an online bank that maintains your debit and credit status.

Also, you can use PayPal, Venmo, or other mobile payment apps to make everyday transactions with friends and families usually within the country you reside in.

In the crypto world, you act as your own bank with full ownership of your crypto (digital) wallet. It syncs to the blockchain which serves as a public ledger to manage, use, and trade any cryptos or NFTs. It’s important to note that services like Robinhood or centralized crypto exchanges like Binance, Coinbase, or Kraken DO NOT give you FULL control of the wallet since you are not given a crypto address that you can use to send digital assets in or out of the “wallet” outside of these platforms.

Blockchain essentially removed profit-taking middlemen like Visa, which is the world’s largest payment network. Your credit card is most likely a Visa or Mastercard. Visa profits by the exchange of money from one entity to another, and then take a cut of every transaction between a merchant and a consumer. Using the Ethereum Blockchain, you can send millions between wallets with a transaction fee of less than $1 in less than a minute.

While I am not saying this is the only utility of blockchain technologies, it sure is an enormous disruption opportunity on the horizon.

MetaMask

The most popular wallet for Ethereum is MetaMask. It can be downloaded as a web extension and used easily for any Ethereum-based NFTs. It is also recommended to use a privacy browser like Brave and set it as your default browser. It is great for blocking third-party tracking and phishing devices. YOU ALSO GET NO ADS! You earn $BAT tokens if you choose to view ads in the settings.

Hardware Wallet

It is highly recommended to purchase a hardware wallet from a notable source like Ledger’s Official Website and not from any other third-party sites like Amazon or eBay. It will provide you with an extra layer of security to protect your assets. The ledger will need to be plugged into your computer to approve any transactions. When MetaMask only lives as an extension on your browser, it can be dangerous if you visit sketchy sites.

Set Up MetaMask

Install the MetaMask extension on your browser — https://metamask.io/download.html

  1. A new window will open once installed, and you will have to follow the instructions to “create a new wallet”.

  2. Your “Secret Recovery Phrase” will be generated. It is EXTREMELY important that you write this down somewhere and guard it with your life. This is your wallet’s master password and there is no way to recover your wallet or assets if this is lost.

  3. Once done, your wallet is set up and you will be able to access it from the MetaMask icon in your browser.

  4. To learn how to connect your Hardware Wallet to MetaMask, feel free to check out this video which also covered MetaMask installation: