What Is a Non-Custodial Crypto Wallet and Why You Need One

How well do you understand the basics of crypto security, dear reader? Do you use your exchange account as a handy wallet that’s always within reach, or would you never dream of doing that? Do you carefully store all your seed phrases, or are you unsure what they even are?

It’s time to boost your crypto literacy. In this short post, we’ll cover crypto wallet non custodial. It’ll take just three minutes to read but could save you a lot of stress – and money – in the future.

What is a non custodial crypto wallet?

A non-custodial wallet is one that gives the user full control over their private keys. This means that no transaction can be confirmed without the wallet owner’s involvement. No third party can block, freeze, or transfer your assets at will.

Example: An exchange account is a custodial wallet. You don’t actually own the assets stored there – the exchange does. Your account could be locked at any time, and your crypto could quietly be transferred to someone else’s secure, non custodial crypto wallet. Remember: only keep on an exchange what you can afford to lose.

How to choose a non-custodial crypto wallet

The best option depends on your needs. Some wallets are better for storage, others for quick access, some for personal use, and others for business.

For long-term holders

If you’re storing large amounts of crypto for the long haul, the most secure option is a cold non-custodial wallet, such as Ledger. It’s called ‘cold’ because it never connects to the internet, keeping your funds safe from online threats. The device itself looks like a USB stick and must be connected to a computer to complete transactions.

For quick access

Some self custodial crypto wallets function as browser extensions, giving you instant access to your assets. With MetaMask, for example, you simply click the icon, enter your credentials, and view your funds. It’s a well-established and trusted wallet, but it only supports the Ethereum blockchain. If you need to send or receive funds on another network, you’ll have to use the Bridge feature. MetaMask also has a built-in swap function, so you can exchange tokens without needing to sign up for a centralised exchange.

For business

Cryptocurrency сompanies have higher security requirements and need a robust set of tools. That’s why it’s crucial to choose a product designed specifically for businesses.

The BitHide crypto wallet allows you to use cryptocurrency:

• Anonymously. A special technology repeatedly changes the wallet’s real IP address before processing a transaction. This prevents hackers and fraudsters from tracking the actual IP address or the wallet’s real location.
• Securely. The wallet’s software runs on the client’s own server, meaning they have full control over their data and assets. Additionally, transaction history is encrypted using a 512-bit key, which is currently impossible to crack.
• Conveniently. With just a few clicks, users can generate balance reports, set up auto-withdrawals, or make bulk payments. To simplify financial management across multiple revenue streams, users can also create an unlimited number of sub-wallets.

Conclusions

A crypto wallet self custodial is synonymous with safety and reliability. If you want full control over your assets, this is the only way to go. Choose a wallet that suits your specific needs—what works well for personal use may not be the best option for business.