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WHAT IS A HARDWARE WALLET?
Imagine a hardware wallet as a special piggy bank, but instead of keeping regular coins, it keeps your virtual coins, called cryptocurrencies. It's like a little safe box that you can carry around. Inside this piggy bank, there are secret keys that help you use and protect your virtual coins.
WHICH IS SAFER? HARDWARE OR SOFTWARE WALLETS?
Hardware wallets are generally safer than software wallets due to their offline storage, which keeps private keys isolated from internet-connected devices and potential cyber threats, as well as their dedicated security features such as strong encryption, PIN codes, passphrase protection, and anti-tampering mechanisms, providing an added layer of protection to users' cryptocurrency holdings.
IF MY WALLET IS DAMAGED, LOST OR STOLEN, WILL I LOSE ALL MY CRYPTOS?
If your hardware wallet is damaged, lost, or stolen, you won't necessarily lose all your cryptocurrencies. Hardware wallets come with a recovery seed or mnemonic phrase, a sequence of words that serves as a backup of your private keys. With this recovery seed, you can restore access to your funds on a new or replacement hardware wallet. It's crucial to keep your recovery seed secure and not share it with anyone, as it is essentially the key to your cryptocurrency holdings. By using the recovery seed, you can regain control of your assets even if the original hardware wallet is no longer accessible.