Key Takeaways There are three types of cryptocurrency wallets: hardware, software, and custodial. When selecting a wallet, four key factors should be considered: security, convenience, compatibility, and control. Do your assignment, avoid untrustworthy platforms, and choose a wallet accordingly. There are several types of cryptocurrency wallets that cater to different needs and preferences. Here are some common types of wallets: Software wallets: These are wallets that are installed on your computer or mobile device. They offer a convenient way to store, send, and receive cryptocurrencies. Online wallets: These are wallets that are hosted on the cloud and can be accessed from any device with an internet connection. They are convenient, but they also carry a higher risk of being hacked because the private keys are stored on a third-party server. Hardware wallets: These are physical devices that store your private keys offline. They provide an extra layer of security, as it i...