Storage Options for Cryptocurrencies
Noted financial advisor Robert M. Ryerson is a leading source of information on retirement and legacy planning at New Century Planning, a financial planner in Freehold Borough, New Jersey. In addition to authoring a book and contributing to top publications such as Forbes, Robert M. Ryerson conducts in-depth workshops on investing in cryptocurrencies.

Like legal tender, cryptocurrencies are stored in wallets. However, cryptocurrency wallets can be physical or virtual. The three main types of wallets are:

- Paper. A printed copy of the public key, which is used to receive money, and the private key, which is used to send money, along with QR codes, paper wallets can be made on specialized websites. Once printed, the wallet should be stored in a secure place where it will not be stolen or damaged.

- Hardware. Storing cryptocurrencies the same way a USB or external hard drive stores files, hardware wallets come with extra security features for further protection when the wallet is attached to an online computer.

- Digital. Known as hot wallets, digital wallets exist solely online. Many large cryptocurrency traders, such as Coinbase, allow users to open a hot wallet for free. While digital wallets are compatible with every type of cryptocurrency, they are particularly vulnerable to hacking and are not ideal for storing large amounts of currency.
Storage Options for Cryptocurrencies
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Storage Options for Cryptocurrencies

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