Top three non-custodial crypto wallets in 2022 ⋆ ZyCrypto

Announcement

&nbsp &nbsp

The issue of security in cryptocurrency storage has been a major setback over the years, with malicious attackers increasing by the day. According to a report by Chainalysis, investors lost nearly $ 14 billion in 2021, most of which resulted from compromising DeFi protocols. The trend has continued this year as more and more people flock to the DeFi market in search of life-changing opportunities. Is it worth the bet if stakeholders don’t know how to securely store their digital assets?

Prior to the invention of DeFi, most cryptocurrency investors relied on centralized exchanges for storing cryptocurrencies. However, it has gradually emerged that these custodial wallets are also not as secure as expected. There have been several occasions when large cryptocurrency exchanges have been breached, resulting in millions of losses in users’ funds. With DeFi now pictured, cryptocurrency savvy investors are opting for non-custodial wallets, as one has full control over one’s private keys.

So what are the best non-custodial wallets on the market? While major innovations in this niche offer similar services, software and hardware wallets fall into two categories. It is also interesting to note that existing non-custodial wallets differ in user experience. In the next section of this article, we will highlight three non-custodial portfolios currently leading the pack.

  1. Metamask

Metamask is one of the pioneers of non-custodial wallets; boasts over 10 million monthly active users (MAUs), according to an update from its developer, ConsenSys. This DeFi-oriented wallet is designed as a browser plug-in, which means that users need to download and install the official extension (add-on or plug-in). Once the installation is complete, users can create a password, after which the metamask will generate a 12-word backup phrase (master key).

Initially, the metamask only supported the Ethereum blockchain, but has since expanded to include other ecosystems, including the BNB chain, Avalanche, Fantom, and the Polygon network. DeFi users in all of these blockchain environments can use the metamask to store their digital assets, as long as they change network icon when they switch platforms. Most importantly, metamask users are in full control of their private keys, which means no one can compromise their funds without the 12-word backup phrase.

Announcement

&nbsp &nbsp

  1. To aspire

Ambition is another non-custodial wallet that’s friendly enough for beginners and veterans alike. Unlike metamask, this open source wallet was launched as a web application, allowing users to sign up via their emails. This design reduces the cumbersome work of handling seed sentences that can easily get lost if they are not filed properly. Meanwhile, Ambire users retain full control over their wallets and can also opt for automatic hosting.

Other additional benefits in this non-custodial wallet include hardware wallet support, automatic transaction fee management, integrated swaps and cross-chain transfers, and multiple network support (Ethereum, Avalanche, Fantom, Arbitrum, Polygon and the BNB chain).

As for ecosystem governance, Ambire features a native token called $ WALLET, which also acts as a reward tool for platform users. $ WALLET holders can vote for developments or integrations with other DeFi platforms.

  1. Ledger wallet

Ledger is one of the main hardware wallets currently in existence; was launched in 2014 to meet the growing need for offline storage of private keys. By design, ledger wallets are device-based and come in the form of USB drives. Unlike (online) hot wallets, it is quite difficult for hackers to access a wallet ledger over the web. A good number of cryptocurrency veterans store their digital assets in the ledger wallet, given the security attributed to offline storage.

Specifically, there are two versions of the ledger wallet; Nano S and Nano X. The former was the first to debut and included support for multiple cryptocurrencies and up to 20 applications. On the other hand, the Nano X (latest version) supports up to 100 applications and a Bluetooth connection, allowing users to manage their crypto assets from anywhere. Ledger’s biggest competitor is the Trezor wallet, which also enjoys a significant share of the hardware wallet market.

Closing thoughts

Cryptocurrencies can be a land of opportunity, but everything can disappear in the blink of an eye. It is prudent that participants in this market conduct proper due diligence before investing in any project. More importantly, cryptocurrency users should be careful in choosing where to store their newly founded wealth. The few examples in this article are a good place to start, but care should always be taken.

Leave a Reply

%d bloggers like this: