Hardware wallets are physical devices designed to keep your cryptocurrency safe. There are specific online wallets ( not available in Android OS) which also supports these hardware wallets.
- They create and store the required private key on the device.
- All the operations and transactions are executed on the device, along with the result.
- Hardware wallets Displays all the transaction information.
- It requires a confirmation by manual mode of an operation using a hardware button, thereby more secure than the mobile wallets.
- It Allows to create a backup of private keys even if the device happens to be broken, lost or stolen, this is not promised in all other mobile wallets.
- Unlike the mobile wallets where some only works on the modern versions of Windows, Linux, MacOS, hardware wallets work on all.
Popular Examples of hardware wallets are TREZOR and Ledger.
TREZOR is a secure bitcoin storage as well as a transaction signing tool.
The private keys are created by the device thus it can not be accessed by malware.
It uses a deterministic wallet structure.
Even In case, TREZOR gets lost or stolen; all its contents can be recovered from another device or a different wallet.
Ledger Nano is another hardware wallet which protects your Bitcoin data with the help of a smartcard
It has micro-processor certified against all types of attacks
The device connects to your computer through the USB port
It signs transactions inside its secure environment.