How does a hardware wallet work?

6. February 2020 No Comments 1112 Views

Hardware Wallets such as the Ledger Nano X, TREZOR Model T, BitBox02 or KeepKey all work according to the same principle. They are a special form of a so-called wallet, which is used to manage cryptocurrencies. A hardware wallet is a physical device that securely and inisolationly generates the private keys to the cryptocurrencies. Due to the extra hardware, they have some advantages over software wallets:

• private keys are often stored in a protected area of a microcontroller and cannot be transmitted in plain text from the device
• immune to computer viruses stealing from software wallets
• can be used securely and interactively, private keys never need to touch potentially vulnerable software
• the software is open source in most cases, so that the user can validate the entire operation of the device.

However, it is important to understand that hardware wallets are a high-quality goal and depend on various assumptions that apply to maintaining security. They are not a miracle weapon, and there are several realistic ways to hack a hardware wallet Especially if someone has physical access to the device.

Ledger Nano X

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Reviewto the shop

improved successor of the popular Ledger Nano S for the protection of over 1000 crypto currencies offers state-of-the-art security due to the certified security element, which is also used in highly secure products such as credit cards and passports stores up to 100 applications simultaneously, including Bitcoin, Ethereum, XRP and many more now with Bluetooth, allowing mobile use via a smartphone in addition to PC use safe and free shipping directly from the manufacturer for 119,00 €

Ledger Nano S

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Reviewto the shop

first and only independently certified hardware wallet on the market for the protection of crypto currencies supports over 1100 crypto currencies including Bitcoin, Ethereum and XRP the most popular hardware wallet on the market: already sold over 1.5 million times offers state-of-the-art security through a security chip of the same type as used in passports safe and free shipping directly from the manufacturer for 59,00 €