Where it used to be that cryptocurrency was something that only techies talked about and seemed to understand, online currency has come a long way and is now verging on becoming mainstream. Suddenly those who knew nothing about cryptocurrency, what it was, how it was generated, or what it was used for, are now buzzing about it just as much as the techies.
For those who are still relatively new to the cryptocurrency world, and are looking to learn about what a mobile wallet is, how it works, and how it can benefit you, you’re in the right place. This beginner’s guide will take a look at all you need to know about cryptocurrency mobile wallets.
What Exactly is a Cryptocurrency Wallet?
First things first, what is a cryptocurrency wallet? For those not in the computer software industry, there’s a large chance that the whole topic of cryptocurrency is nothing short of intimidating. Once you break it down, though, it’s a fairly simple concept.
Your mobile cryptocurrency wallet is actually a software program. What the program does is store public and private keys and then interacts with all kinds of blockchain users. It is able to receive and also send your digital currency. Your mobile wallet is also where you will be able to view your balance and the details of any “transactions”.
So, is this mobile wallet necessary? The short answer is yes. If you plan to use any cryptocurrency or Bitcoin you’re going to need to have a digital wallet. Without it, transactions just can’t take place.
Here’s Where It Gets a Bit Confusing
What people often get confused by is the fact that these digital wallets aren’t actually storing your currency. It’s not like the wallet you carry with you, that houses actual currency. The reason your digital wallet isn’t actually holding currency is because these cryptocurrencies don’t have a physical form. Instead they exist through transaction records that are housed on the blockchain.
Mobile Wallets Aren’t the Only Types of Digital Wallet
While we are specifically talking about mobile wallets, it’s important to also understand this isn’t the only type of digital wallet. Outside of mobile wallets that run through an app you have downloaded on your device, there are also desktop wallets (these need to be installed on your computer), online wallets (these operate through the cloud), and hardware wallets that are stored on an actual hardware device (something like a USB drive).
How Do You Know the Current Prices of the Cryptocurrency?
Just like if you were talking about traditional currency such as the Euro, American Dollar, or Japanese Yen, there are also different cryptocurrencies. They are valued at different amounts, which change all day long. Some of the better known currencies include Bitcoin, Ethereum, XRP, Tether, and Litecoin. As for the current value of them, you can see live cryptocurrency prices here. You’ll be able to view the current price in USD, the market cap, and the 24 hour percentage change of the value of that cryptocurrency. The prices are all in real-time and are streaming live. You can even use the sort, search, and filter functions to make the chart easier and more efficient for you.
What About Security of These Mobile Wallets?
Another big question that newbies tend to have is how secure and safe these mobile wallets are. Without having anything to physically hold onto, it can seem pretty scary when you think about how secure your currency is. The fact is that any type of wallet can get hacked, so it’s wise to always update software whenever recommended, back-up your wallet, and be sure to use difficult passwords that are hard to crack.
Head Into Your Mobile Wallet with Knowledge
Now that you’ve covered the basics, you’re ready to jump into the world of mobile wallets with a much better understanding.