Setting Up Your Crypto Wallet
In order to buy your first NFT or crypto you must have a crypto wallet. But:
- What even is a crypto wallet? 🤔
- How do I set it up?😵
- How do I get crypto in it? 💸
What is a crypto wallet?
Simply, your crypto wallet is your crypto bank account.
If your wallet is your bank account, it must have an account number and a pin. In the crypto world these have slightly different names and are referred to as ‘keys’.
🔑 A public key — think of this as your bank account number or your email address. You can share this publicly so that people can send things to it.
Unlike your bank account, anyone can see every transaction that has happened in your public address and what assets are being stored there.
🔑 A private key — think of this as your pin number. This proves that you own the assets in the wallet and authorizes you to spend funds. Never share this with anyone! If they get it — GAME OVER!
🔑 A recovery phrae/ seed phrase — the 12–24 words that let you recover your wallet if you lose it. Never share this with anyone! Same as your private key this should be kept safe! Once someone has it they can empty your wallet.
Recap:
- ⛔ NEVER share your private key or seed phrase with anyone.
- ✅ You can share your public key with others to receive transactions. Anyone can see your transactions and what is being stored there.
Which wallet should I get?
Crypto wallets can be hot or old.
🔥 Hot = online, software.
🧊 Cold = offline, hardware.
Hot wallet: Start with a hot wallet as they are more convenient but less secure than cold wallets.
The wallet we recommend for your first one is Metamask which functions on the Ethereum blockchain, the most popular.
Cold wallets: If you have assets that you want to keep long term and you want to keep them secure, move them to a cold wallet like a Ledger. They are a physical device that keeps your cryptocurrency completely offline. Many look like USB drives.
How to set up my first wallet?
If you prefer to learn through video here is a recording of us getting Paffs first wallet set up! It’s slightly chaotic but hey, that’s how we do it round here.
https://www.loom.com/share/643ba9727eac4c8c93502b2be10c575a
- Install Metamask on your web browser through https://metamask.io/. Click “Download” and pick the browser you want to install Metamask.
2. Click on the metamask icon in the top right corner of your browser once it has downloaded and click “Get Started”
3. Select “create a wallet”.
4. Create a password.
5. Write down your seed phrase on multiple bits of paper and store in a couple of secure places. DO NOT store this digitally!
6.
7. Confirm the seed phrase then your wallet will be created!
How do I get crypto in my wallet?
The easiest way is through Metamask. You can now buy Ethereum directly from your bank card through Wyre.
However we do recommend setting up an account with a reputable exchange such as Coinbase (beginner friendly) or Binance (more cryptocurrencies, more advanced) where you can buy a variety of cryptocurrencies.
Once you choose the exchange you want to use you will be guided through:
- setting up your account
- confirming your documents & identity
- linking your bank account.
Once you have done this we always practice good cybersecurity and set up 2FA (2factor authentication) on your accounts to help keep your accounts safe from hackers. Google authenticator app is what I use but there are other options out there.
Once you are secure you can now buy Ethereum. This is the cryptocurrency used on OpenSea and the most popular. You will need to buy a bit more than the NFT you are looking to buy to cover ‘gas fees’. These can range from £20-£120.
After purchasing your first Ethereum you may have to wait a little while for the exchange & your bank account to ok everything. After the first time it is much speedier!
Now you can make purchases with crypto! 🎉
