Blockchain Wallets

Blockchain Wallets Customer Services

The whole concept of blockchain is attractive, no doubt. However, there is a catch here. As cryptocurrency is becoming the order of the day in financial markets, a lot of patience goes into understanding and managing them. We know cryptocurrencies are digital money, so where do we store them? The answer to this question is Blockchain Wallets.

In layman terms, if you want to take advantage of blockchain technology, then you should be familiar with what a blockchain wallet is and how it works. Developed by a company called Blockchain, blockchain wallets are basically computer programs that allow you to monitor and transact cryptocurrencies.

How Does Blockchain Wallet Work?

The private and public keys of a transaction are stored in the blockchain wallet store. With many blockchains in the network, interactions between stakeholders may be required to authenticate the transaction. Blockchain sign up is done first and then blockchain wallet logins are required. These interactions are required to allow users to buy or sell one or several cryptocurrencies.

Before understanding how blockchain wallets work, let’s first understand the role of public and private keys that are stored on a blockchain wallet to authenticate transactions. These keys are non-identical pairs of large numbers in total. No matter how many times you try to open the wallet, it will give you access only when the order of the private and public keys match with each other. Only when private and public keys pair together, can users provide access to the Blockchain Wallets to visualize the value of their digital assets and conduct operations on them.

For you, the private key in your wallet should not match the public key that is assigned to the currency so that you can spend those coins. When the public and private keys pair successfully, the balance in your wallet will increase. In this process, there is no exchange of currency units, but a transaction is made. This transaction is recorded on the blockchain, and therefore changes are reflected in your wallet.

Types of Blockchain Wallets

Basically, there are four types of Blockchain Wallets that are available to store and reflect any transaction on the blockchain.

  • Software Wallets
  • Hardware Wallets
  • Paper Wallets
  • Single or Multi-currency Wallets

By Alex Alena

Alex Alena has been the lead news writer at Cryptocurrency Updates. With a degree in communications, Matt has an uncanny ability to make the most complex subject matter easy to understand.