Frequently Asked Questions

A cryptocurrency wallet is software or hardware that stores your private keys, which prove ownership of your cryptocurrency on the blockchain. The wallet doesn't actually store your crypto - it stores the keys needed to access and manage it. Think of it like a keychain for your digital assets.

Hot wallets are connected to the internet (browser extensions, mobile apps, desktop software). They're convenient for daily use but more vulnerable to online threats.

Cold wallets store your keys offline (hardware wallets, paper wallets). They're more secure for long-term storage but less convenient for frequent transactions.

Consider these factors:

• What cryptocurrencies do you want to store?
• How often will you make transactions?
• How much value are you storing?
• Do you need to interact with dApps/DeFi?

For beginners with small amounts: a reputable mobile or browser wallet. For larger holdings: consider a hardware wallet.

A seed phrase (also called recovery phrase) is a 12-24 word phrase that serves as the master backup for your wallet. It can regenerate all your private keys and restore access to all your funds on any compatible wallet.

Critical: Never share your seed phrase with anyone. Write it down on paper or metal, store it securely offline, and never enter it on any website.

Key protection strategies:

• Never share your seed phrase or private keys
• Verify website URLs carefully before connecting your wallet
• Don't click links in unsolicited messages
• Remember: No legitimate support will ever DM you first
• Be skeptical of "free crypto" or "giveaway" offers
• Bookmark official websites and use those bookmarks

If you suspect your wallet is compromised:

1. Create a new wallet with a new seed phrase on a secure device
2. Transfer any remaining funds to the new wallet immediately
3. Never use the compromised wallet again
4. Review how the compromise may have happened to avoid it in the future

Unfortunately, if your seed phrase was stolen and funds were taken, they cannot be recovered - cryptocurrency transactions are irreversible.

Gas fees are transaction fees paid to network validators (miners or stakers) for processing your transaction on the blockchain. On Ethereum, gas fees can vary significantly based on network congestion. Layer 2 networks offer lower fees for most transactions.

Not all wallets support all cryptocurrencies. Some wallets are blockchain-specific (e.g., Phantom for Solana), while others support multiple chains. Always verify that a wallet supports the specific cryptocurrencies you want to store before using it.

If you have your seed phrase backed up securely, you can restore your wallet on a new device. Simply install the same wallet software (or any compatible wallet) and select "Restore" or "Import" and enter your seed phrase.

Warning: If you lose both your device AND your seed phrase, your funds are permanently lost. Always keep your seed phrase backed up securely.

Cryptocurrency regulation varies by country and is evolving. Some countries have embraced it, others have restricted it, and many are still developing frameworks. Always check your local laws and tax obligations regarding cryptocurrency ownership and transactions.