Many cryptocurrency owners prefer to store it on the exchange. Since modern exchanges support a large number of altcoins, this method of storage is quite convenient. However, this method of storage has one significant drawback — you have to trust the funds to a third party.
With the development of the cryptocurrency market,
new storage methods are emerging. To date, there are four most common methods of storing digital currency:1.Hard copy. It contains the wallet address, key, and other information, without which access to digital assets is impossible.
2.Local wallet. This is a special software that can be installed both on a computer and on any portable device (for example, on a smartphone). The currency is stored directly on this device.
3.Hardware wallets. All information about the cryptocurrency account is stored on a device similar to a USB flash drive, without a network connection.
4.Online wallet. It can be either just an online resource for "cloud" storage, or perform the function of an exchange, with the ability to store and trade.
All options have their advantages and disadvantages. The choice depends on the convenience required by the particular owner.
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