Digital Money Purse Development: The distinction of the cold wallet and the hot wallet

1. What is a wallet?

A wallet is a tool for storing and using a digital currency, a coin corresponding to a wallet. Used to store currency, or "transaction" currency.

A cold wallet is a wallet that is not connected to the net, also called an offline wallet. The hot wallet is the wallet that keeps the Internet online, that is, the wallet. A cold wallet is more secure than a networked wallet.

Ordinary people, in fact, do not need such a professional safe cold wallet, with a hot wallet on the line.

But the platform of the issuing currency must be used, from "the ether coins for the most stolen coins fork in the ether" "Bitcoin virus Blackmail" and a series of money theft events, enough to prove the "importance of off-line wallet." When you do not need to use the currency, put the money in the cold wallet inside, cut off the Internet contact, so that even hackers can not attack to steal your currency. Because no one can guarantee the absolute security of the Internet, so in order to be stolen digital currency, you can have a cold wallet, you need to use the time to turn to the hot wallet can be.

2. What is the wallet address?

You can think of the wallet address as a bank card number, and others can pay for your wallet address. General addresses and private keys appear in pairs, and their relationships are like bank card numbers and passwords. The address is like a bank card number to record how many coins you have on the wallet address. We can simply understand the wallet address as a bank card number, the wallet address of the private key to become the corresponding bank card number of the password. Only if you know the bank password can you use the money on the bank card number. Therefore, please keep your address and private key when using the wallet.

3. What is a public key?

Public key is a concept in cryptography, it is obtained by an algorithm, the general public key and private key appear in pairs. For example, you have to send a message to me, and the content of this letter is confidential. You use my public key (the public key) to encrypt the letter, and only with my private key (the private key) to be able to see the content. That means you only act as a postman, and only people who keep the private key can see the letter.

4. What is a private key?

Based on the concept of address, public key, it is easy to understand what a private key is. You can think of it as your bank card password.

Note: Be sure to keep your private key, because once lost, your currency is really gone, never find back. The address and private key backup can be stored offline.