The Best Bitcoin Wallet For Beginners

Taking your first steps in the cryptocurrency world can be daunting. With all of these exciting new technological innovations being made, we can see how beginners and non-technical people would be overwhelmed by endless jargon. Despite how complicated it might seem, many people don’t want to miss out of this financial revolution and so they are willing to learn the ways of the blockchain. Perhaps you are one of them? So, as a beginner, what is a Bitcoin wallet, why do you need one, and which one is going to be the best for you?

What is a Bitcoin wallet?

A data scientist or cryptocurrency expert might tell you that a crypto wallet is a software that uses your secret keys to sign digital crypto transactions for distributed ledgers. This is a complicated explanation.

In simplified terms, a cryptocurrency wallet is an app or program that allows those who own various cryptocurrencies to store and retrieve their digital assets. Much like government-issued money, think GBP, USD, and EUR, a wallet isn’t a requirement for spending money, but it does allow you to provide some organisation and security. Not using a wallet is the equivalent of asking your Bank Manager to hold on to your cash for you, and asking them for it some each time you need it.

What’s great about a wallet is that as well as keeping your coins safe, it allows you to send them wherever you like, as long as you have the address. Some wallets have built internal exchanges so that you can swap your currencies without going to an exchange, and the more DeFi savvy ones even have coin staking protocols so that you can earn interest on the contents of your wallet! These features allow wallets to compete with traditional banks, especially as the interest gained from coin staking can be well over 100% on some specialist platforms.

Why do you need a wallet?

When you open an account on an exchange, they automatically provide you with a free exchange-hosted wallet in every cryptocurrency that they support, which for some, is hundreds! The problem is, when you use these exchange-hosted wallets, you do not have complete control over your funds, which defeats the purpose of cryptocurrency and financial democratisation. Exchanges can also close down overnight (Mt.Gox) or get hacked for billions (Bitfinex), so it’s important to keep your funds in your own wallet.

This is why a private and external wallet provides an excellent and much-valued service that remains true to the ethos of Satoshi Nakamoto, the mysterious founder of Bitcoin (the first cryptocurrency).

A Bitcoin wallet requires private keys, which, when only you have them, guarantee that you are in control of your own security. You’ll typically be provided with a mnemonic phrase for account recovery too, which you should write down somewhere safe and offline. Most mobile wallets also offer 2FA or biometric logins for additional security against physical hacking attempts.

Which is the best Bitcoin wallet for beginners?

Now we know what Bitcoin wallets are, what they do, and why you need them, we are going to give a few recommendations about the best options for beginners.

Exodus Wallet

First up we have Exodus, a super simple desktop, iOS, and Android wallet that has been completely designed with the beginner in mind. Part of their design is aimed at targeting users who have never even used a crypto exchange and are really making their first-ever steps into crypto.

Complex wallet features are gone; Exodus shows you only the data you need to know, alongside an in-built cryptocurrency exchange that allows users to swap their cryptocurrencies for other coins. The UI is really clean, friendly, and cool. There is even a coin staking feature that allows users to treat their wallet like a savings account and gain interest on certain crypto. Right now, Cosmos (ATOM) APY is 9.32%, virtually no bank is offering interest rates that high right now.

App store rating: 4.7

Google play rating: 4.5

Atomic Wallet

The first thing you should know is that I’m an Atomic user, so I might be a little biased, but, I might just be fond of what I believe to be the best wallet.

Atomic has so many excellent features, such as coin staking for 11 cryptocurrencies with gains up to 20%, cashback on transactions when holding their native AWC token, and compatibility with hundreds of major cryptocurrency projects. Then, there are Atomic Swaps, which are near-instant crypto-to-crypto conversions with hundreds of combinations available, all without having to leave the wallet app. Be warned though, they can be pricey.

All of these features are excellent, but what I like best is that Atomic shows me what I need to know: the name of the coin, my balance, what it’s worth in my chosen fiat currency, the current market price, the growth % in the last 24 hours, and a 7 days chart.

Anonymity is vital to their operation and so you won’t need to give any personal information to open your wallet, store coins, or trade crypto, but you will need to do a KYC check to purchase directly from them via credit card (which is also quite expensive).

App store rating: 4.5

Google play rating: 4.0

Edge Wallet

Edge (formerly known as Airbitz) has attracted vast numbers of wallet users to their service over the last couple of years, and for good reason. They’re not only an authority on security and open-source development, but they have developed a tremendous user-side encryption method that basically means the user is entirely responsible for their keys and their coins. This responsibility can be a good or a bad thing, as it means that you are not at the mercy of the wallet, but you are at risk of your own personal security measures.

Edge has also won a lot of customers for their numerous partnerships with exchanges (Wyre, Simplex, Changelly, MoonPay) and payment gateways, allowing for excellent internal trading opportunities, as well as the ability to spend crypto with hundreds of crypto-friendly businesses. You’ll need to go through KYC checks for some of these features, as is typical on the majority of wallets and exchanges when you want to engage with fiat currencies.

If there’s one downside to Edge, it’s that they only support 32 cryptocurrencies. If they want to dominate this market, they need to up that figure quickly.

App store rating: 4.4

Google play rating: 3.9

ZenGo Wallet

Finally, on this list, we have ZenGo, a keyless crypto wallet that makes security its main priority. If most other wallets require users to write down and protect their private keys, how has ZenGo avoided this? Well, beginners, who might be concerned about the private key aspect, will be pleased to know that ZenGo has developed unique cryptographic technology that allows you to use your fingerprint scanner or facial recognition software in your phone as your key.

Like the other wallets in this article, having an internal exchange is vital to generating appeal to beginners in the crypto world. These are the digital assets that are compatible with ZenGo:

• Bitcoin (BTC)
• Ethereum (ETH)
• Binance Coin (BNB)
• Dai (DAI)
• Maker (MKR)
• USD Coin (USDC)

• Tezos (XTZ)
• Tether (USDT)
• Aave (AAVE)
• Uniswap (UNI)
• Kyber Network (KNC)
• The Sandbox (SAND)
• Paxos Standard (PAX)

On top of the swap feature, they also boast a coin staking service, but only for Tezos, which is a small downside, as is the small range of crypto, however, with great visual designs and a pleasant portfolio display, it should do the trick for a beginner.

App store rating: 4.6

Goole play rating: 4.2

Is there a better wallet for beginners?

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