When you are starting to trade cryptos it's sometimes hard to understand what is a wallet and how it works.
As a rookie you just want to do your trades and let the marketplace platfrom manage technical questions. So after your registration on your favorite marketplace here is the path you follow :
- Connect
- Deposit money
- Buy your favorite crypto
- Waiting the pump
- Sell
During this process your money is stored and manage by your market place. For the fact that they generated your wallet they technically have all the information needed to perform transaction with your account. It's like saving your credit card information on a website.
So what can you do to be the only person able to manage your wallet ? Buy a cold wallet.
A cold wallet must be an hardware device able to generate a wallet on its own. After that you only need to send your crypto on the public address generated by your physical cold wallet and that's it. So you can ask yourself :
How my cryptos can be sent to a physical device that is not connected to the internet ?
In fact, nothing is sent to your device. You only placed your cyrpto on the blockchain at a specific place that is only accessible with a password. Nobody knows this password... Except your physical cold wallet. After that you can wait securely the right moment to send back your cryptos on your favorite market place and trade it.
There is several cold wallet that you can find on the internet. Here is a comparative video about it (wallet for Bitcoins) :
