8 Best Crypto Wallets for January 2025 (Hot and Cold)

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December 23, 2024 03:27 EST

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Storage solutions such as crypto wallets are a cornerstone of cryptocurrency management. They ensure that digital assets are protected from theft, loss, or unauthorized access. Since cryptocurrencies operate on decentralized networks, the user is responsible for safeguarding their own assets. With so much pressure to choose the right storage solution, the selection can occasionally feel overwhelming.

This guide discusses the best crypto wallets for January 2025, assessing the top hot and cold picks separately. We analyzed key features such as security, compatibility, and ease of use. In the sections below, we discuss our top picks, why they made the cut, and what you need to look out for to be able to make informed decisions for yourself.

Best Hot Wallets in January 2025 Compared

Choosing the best hot wallet is about finding the right balance between convenience and security. Hot wallets are typically best for active crypto traders, as they can be used to interact with dApps, trading on DEXes and to stake your coins.

The Best Hot Wallets Reviewed — Our Top Picks

After reviewing over 20 hot wallets, we narrowed down our list to our 4 top picks, depending on what you value most. Whether you’re new to crypto, or consider yourself an advanced trader, we’re confident that at least one of the picks below would make a great choice for you.

1. Best Wallet – Overall Best Hot Wallet in January 2025

Best Wallet is a multi-chain, non-custodial wallet designed for versatile and privacy-oriented digital asset management. It integrates a comprehensive Web3 ecosystem, supporting various coins, tokens, and NFTs from multiple blockchains, namely Bitcoin, Ethereum, Polygon, and Solana. It features a native utility token ($BEST), providing holders with no gas fees and additional airdrop rewards.

The wallet’s user interface is designed for ease of use on iOS and Android, ensuring accessibility for all users. Check out our Best Wallet review to learn more about this non-custodian wallet.

Why we chose it: Best Wallet is the overall best wallet for January 2025 due to its holistic approach to user autonomy, privacy, and versatile functionality. It excels in supporting multiple blockchains, providing advanced security features, and offering extensive tools for market analysis and asset management.

Standout Features

• Presale Dashboard: Access to promising crypto presales at low prices.
• Token Airdrops: Regular airdrops of $BEST tokens and other cryptos for active users.
• Market Sentiment Analysis: Real-time insights and sentiment scores based on social media analysis.
• Advanced Security Measures: End-to-end encryption, two-factor authentication, and biometric security options.

2. Exodus – Best Wallet for Privacy

Exodus’s sleek and simple design makes it perfect for beginners and experienced users alike. The platform offers support for over 300 cryptos. You can use Exodus on multiple devices, from desktop computers (Windows, macOS, Linux), phones (iOS and Android), to browser extensions. The wallet also has a built-in exchange that lets you swap between cryptos.

You can also earn passive income using the wallet’s staking function. The amount you can earn varies, but it’s often competitive compared to other platforms. Lastly, the wallet has excellent customer support. They offer 24/7 help and have a huge library of educational materials to guide you through the basics of crypto wallets. Learn more about this crypto wallet by reading our Exodus review.

Why we chose it: Exodus keeps your private keys and transaction data on your own device to ensure high safety. While it lacks advanced security features like two-factor authentication or open-source code, you can connect it to a Trezor hardware wallet for even better protection.

Standout Features

• Private Key Control: Keeps private keys and transaction data on your device for high security.
• Device Compatibility: Available on desktop (Windows, macOS, Linux), mobile (iOS and Android), and browser extensions.
• Built-In Exchange: Allows swapping between cryptos without leaving the wallet.
• Staking Functionality: Earn passive income with competitive staking rewards.

3. Margex Wallet – Best Exchange-Based Wallet for Trading

The wallet stands out because it has low fees, doesn’t charge for deposits, and promises high staking rewards. It lets traders leverage up to 100x to maximize returns even in a down market.

For people who are new to crypto trading, the copy trading tool is very helpful because it lets them copy the strategies of more experienced traders in real-time.

Why we chose it: Margex Wallet is great for people who want an integrated wallet within a reliable crypto exchange. It’s a good choice for both new and experienced traders because of its simple design, low fees, and advanced tools like copy trading.

Standout Features

• Staking with Trading: Users can stake assets like USDT and USDC to earn up to 5% APY while still using those funds for leveraged trades.
• Copy Trading: Users can mirror top traders’ positions, making it easy for beginners to engage in the market without advanced knowledge
• Leverage Trading: Margex offers up to 100x leverage on Bitcoin, Ethereum, and Binance Coin, with varying leverage limits on altcoins.

4. Zengo Wallet – Best Hot Wallet for Security

Zengo has introduced a desktop wallet that prioritizes security without compromising usability. Sensitive data never touches your computer—instead, the wallet relies on decentralized Multi-Party Computation (MPC) to protect your crypto assets. This innovative approach ensures your funds are secure while offering a hassle-free way to manage your portfolio.

Zengo is especially beginner-friendly, with a clean interface that’s simple to navigate. Advanced security tools, like three-factor authentication and biometric login, help keep your funds safe. Zengo is designed for anyone who wants security without complications.

Why we chose it: Zengo is a great choice for anyone who values both security and simplicity. Its MPC technology replaces seed phrases, so you don’t have to worry about losing access to your wallet. The wallet also includes features like staking and an integrated exchange, making it easy to manage your crypto all in one place.

Standout Features

• No Seed Phrase Hassle: It uses modern MPC technology to keep your crypto secure, eliminating the need for recovery phrases.
• Hassle-Free Crypto Trading: Buy, sell, or trade crypto easily in the app—everything is in one place.
• Passive Income Opportunities: Stake supported assets to earn rewards and grow your holdings.
• Rock-Solid Security: Biometric security and 3FA ensure your funds are well-protected.
• Around-the-Clock Support: Help is always available with 24/7 support.

Best Cold Wallets in January 2025 Compared

Cold wallets are more suitable for long-term storage. If you’re looking for the most secure option for your crypto holdings, look no further than our top cold wallet picks for January 2025.

Best Cold Wallets Reviewed – Our Top Picks

After having analyzed the most popular cold wallets in the market, assessing factors such as security, cost and ease of use, the following 4 wallets have emerged as the best choices depending on your needs.

Whether you value security, affordability or convenience the most, we have curated a suitable choice for you.

1. Cypherock – Best For Security With Seedless Cold Storage

This wallet is perfect for anyone serious about keeping their assets safe while still enjoying modern features. From managing over 1,000 cryptocurrencies to securing NFTs and DeFi assets, Cypherock offers the flexibility and functionality today’s users need. Its beneficiary feature also ensures your assets are passed on securely if anything happens to you.

Why we chose it: Cypherock redefines crypto security by doing away with seed phrases and relying on decentralized key storage. Your private keys are divided into five tamper-proof cards, meaning even if one goes missing, your funds are still secure.

Standout Features

• Decentralized key storage: Cypherock secures your private key by splitting it into five pieces and storing each on a separate card. Losing one won’t jeopardize your funds.
• No seed phrase required: You don’t have to manage recovery phrases anymore. Cypherock simplifies access while keeping it safe.
• Plan for the future: A unique beneficiary feature lets you securely transfer your assets to someone else when needed.

2. Tangem Wallet – Best for Convenience and Portability

Tangem Wallet uses a card-based form factor that resembles a credit or debit card, embedded with a secure chip to store private keys. This design simplifies handling compared to traditional USB-like hardware wallets. Tangem cards are powered by NFC technology, activated when tapped on an NFC-enabled smartphone.

The secure chip inside the card is certified to the highest security standards (EAL6+), giving users full control of their private keys and ensuring that no third party has access to funds. Tangem Wallet also pairs seamlessly with a dedicated mobile app available for Android and iOS, enabling users to send, receive, and manage cryptocurrencies effortlessly.

Why we chose it: Tangem Wallet redefines crypto storage by focusing on portability and simplicity. Its unique design looks like a credit card, making it easy to carry around. You don’t need a recovery phrase; the wallet securely connects via NFC, making managing your assets simple and fast. With compatibility for over 6,000 cryptocurrencies, it’s a versatile tool for all types of crypto users.

Standout Features

• Slim and Portable Design: Hardware wallet the size of a credit card.
• Broad Asset Support: Works with more than 6,000 cryptocurrencies.
• Seedless Backup System: No need for recovery phrases—simple and secure.
• NFC Access: Use NFC for direct access via your phone

3. Trezor – Most Affordable Hardware Wallet

Trezor provides three models: the Model One (€59), the Trezor Safe 3 (€79), and the Trezor Safe 5 (€169). All models offer secure offline storage for cryptocurrencies, supporting over 9,000 coins and tokens. However, they lack native staking and NFT features, and there is no mobile app or Bluetooth connection.

If you prioritize security and don’t need mobile access, Trezor is a solid choice. The Model T includes Shamir Backup for added security, but advanced features may require third-party software. For users looking for simplicity and affordability, Trezor’s offerings are a reliable option.

Learn more about this crypto wallet by reading our Trezor Model T review and Trezor Safe 3 review.

Why we chose it: Trezor offers the most affordable hardware wallets this year. The Trezor Model One is priced at €59, making it cheaper than the Ledger Nano S Plus at €79 and significantly more affordable than other competitors like Ellipal and NGRAVE ZERO.

Standout Features

• Enhanced Recovery Options: Trezor’s Shamir Backup allows you to split your recovery seed into multiple shares, increasing security and redundancy.
• Fully On-Device Entry: The Trezor Model T offers a touch screen for secure PIN and passphrase entry directly on the device.
• Multisignature Security: Trezor integrates with Electrum to require multiple keys for transaction authorization, providing an extra layer of security.

4. Ledger – Most User-Friendly Hardware Wallet

Ledger offers two models: the Nano S Plus at €79 and the Nano X at €149. Both support over 5,500 cryptocurrencies. The Nano X adds Bluetooth connectivity, allowing you to manage your assets on a mobile device. These models provide comprehensive support for DeFi applications, staking, and NFT management.

Choosing Ledger means opting for a secure, versatile solution. The software isn’t fully open source, but it compensates with multi-signature security and two-factor authentication. With Ledger, you can access dApps and easily switch between hot and cold storage, making it a top choice for diverse crypto needs.

Learn more about this crypto wallet by reading our Ledger Nano X review and Ledger Nano S Plus review.

Why we chose it: Ledger is the most user-friendly hardware wallet, thanks to its Ledger Live app, easy integration with third-party services, educational resources, and responsive customer support. This makes managing your crypto straightforward, whether you’re a beginner or an experienced user.

Standout Features

• Ledger Academy: Offers a comprehensive library of educational content, helping users understand blockchain and secure cryptocurrency storage practices, making it easier for beginners to get started.
• Firmware Integrity Check: Ledger devices perform a self-check at startup to ensure the firmware hasn’t been tampered with, providing an additional layer of security against unauthorized modifications.
• Secure Element Chip: Both Ledger models use a certified secure element (CC EAL5+) designed to withstand sophisticated attacks and securely store cryptographic secrets.
• Customizable Security: Ledger allows users to add a passphrase to the standard 24-word recovery seed, offering enhanced security through a customizable 25th word.

What Is a Crypto Wallet?

Crypto wallets are software programs or hardware devices that allow users to manage, transfer, and store cryptocurrency safely. Some also support NFTs and other digital assets. Wallets can be hardware-based, like USB devices, or software-based, such as mobile apps and desktop programs.

Wallets can also be categorized as custodial or non-custodial:

• With custodial wallets, the provider controls the private keys, meaning that you rely on them for security. A benefit of these kinds of wallets is that it’s easier to recover access if you lose your login details. Examples include the Binance and OKX wallets.
• With non-custodial wallets, you have full control of your private key and assets. However, if you lose your private key, you lose access to your funds. Examples include Zengo and NGRAVE.

In other words, custodial wallets offer convenience with some trust in a third party, while non-custodial wallets provide more control and responsibility over your assets.

How Do Crypto Wallets Work?

A cryptocurrency wallet acts like a digital bank account, managing and safeguarding your cryptocurrency assets. It keeps digital assets secure by storing private and public keys, which are used for transactions.

• Public Key: The public key is the wallet’s “account number” and is used to receive funds from other wallets. It can be shared with others to receive funds.
• Private Key: The private key is an alphanumeric code unique to each wallet that proves ownership of the crypto assets inside. It’s like a password, meaning it should never be shared with anyone else.

Crypto wallets store and manage the private key – not the actual crypto assets. Crypto assets are held on the blockchain; the private key provides access and proves ownership.

The best crypto wallets use advanced cryptographic techniques to protect the user’s private key. Different wallets take different approaches. Examples include encryption, seed phrases, biometric verification, and Hardware Security Modules (HSMs). Digital wallets typically offer backup and recovery options that ensure users can’t lose access to their crypto.

How to Store Seed Phrases Securely

After choosing one of the top non-custodial wallets, you will be provided with a seed phrase, which acts as your master key and gives you access to your crypto wallet. It’s important to properly store your seed phrase. Some crypto users opt for a storage device like Cryptotag, which stores your seed phrases in aerospace-grade titanium plates. Depending on which Cryptotag product is selected, users can store between 24 and 42 seed phrases. The storage device is bullet-proof and offers water and heat resistance.

Types of Crypto Wallets: Which Should You Choose?

Deciding to buy cryptocurrency is a huge decision – yet choosing where to store them post-purchase is just as important. There are various types of wallets on offer. Below, we go over what software, hardware, and paper wallets are and which you should choose.

Software Wallets (Hot Wallets)

Software wallets are ideal for frequent traders and users who need easy, quick access to their cryptocurrencies. The best hot wallets offer convenience and accessibility on mobile or desktop devices, making them suitable for everyday transactions, unlike hardware or paper wallets, which are better for long-term storage.

There are two main types of software wallets:

• Mobile wallets: These are smartphone apps designed to provide on-the-go access to the user’s cryptos. Mobile wallets are often offered for free by top crypto wallets like Best Wallet.
• Desktop wallets: These are applications that can be downloaded and installed on the user’s computer. Desktop wallets are slightly safer than mobile wallets since they store the user’s private key locally on the computer. MetaMask is an example.

Software wallets are also known as ‘hot wallets’ because they’re connected to the Internet. This makes them more susceptible to cyberattacks than ‘cold’ wallets, which have no connection to the Internet.

Hardware Wallets (Cold Wallets)

Hardware wallets (also known as cold wallets) are best for users prioritizing security, such as long-term investors. They store private keys offline, reducing hacking risks. Ideal for substantial holdings, they offer strong protection against cyber threats, unlike software wallets, while being more durable and user-friendly than paper wallets.

These devices usually look like USB sticks and need to be connected to another device, such as a laptop or smartphone, to initiate transactions.

Hard wallets are essential for investors or traders managing large sums of crypto. In these cases, the relatively high cost of the best cold wallet is justified by its enhanced security, safeguarding significant assets from potential cyber threats.

Paper Wallets

Paper wallets are best for users who need an offline and cost-free storage method. They’re a type of “cold” storage that involves a user writing their public and private keys on a piece of paper.

The user would then store this piece of paper somewhere safe where nobody else could access it — for example, in a safe, safety deposit box, or locker. Ideal for long-term investors, paper wallets avoid online hacking risks. However, they require careful handling to prevent physical loss or damage.

The downside to this approach is that those with paper wallets still eventually need to use a crypto wallet app to spend or transfer digital assets. Thus, paper wallets are relatively impractical and considered less safe than the alternatives, which is why they aren’t widely used.

How to Find Safe Crypto Wallets

Finding the best Web3 wallet can be tricky since there are so many options out there. However, we’ve identified three tactics that traders can employ to find safe crypto wallets effectively.

Use a Reputable Provider

The most important tactic is to only choose crypto wallets offered by reputable providers. Before downloading a wallet, it’s a good idea to read online reviews and check a potential provider’s track record. Many crypto wallet providers are even endorsed by high-profile individuals or businesses, which can boost credibility.

Many of the top providers listed in this guide have a long track record of success in the space and high security scores. However, even highly trusted wallets can be susceptible to attacks. For example, Atomic Wallet was one of the leading providers in the space before the North Korean hacker group, Lazarus, stole more than $100 million of customer funds.

Consider the Wallet’s Security Features

When choosing a Bitcoin wallet, it’s also essential to thoroughly research the wallet’s security features. We’ll explore this further in the next section, although it typically involves checking the type of encryption on offer and deciding whether to use a hot or a cold wallet.

Test the Wallet Before Making Large Transfers

Finally, it may be best to test out a wallet with a small amount of crypto before fully committing. This minimizes the risk of catastrophic loss while allowing users to test the wallet’s functionality and crypto security features. Assuming the wallet is up to the task, users can confidently transfer more significant amounts of crypto.

How to Get and Use a Crypto Wallet

Before ending this guide on the best crypto wallets, let’s look at how to download and use one of these wallets. As noted earlier, our recommended crypto wallet is Best Wallet, which comes with a free app that’s simple to use and available on iOS and Android devices.

With that in mind, detailed below are the simple steps to download the Best Wallet crypto app and begin using it today:

Step 1 – Download the Best Wallet App

Best Wallet is available as a mobile app on both Android and iOS, so the first step is to head to the Play/App Store and download the app. It’s free and shouldn’t take long to add to your phone.

Step 2 – Create Account

Next, the app will ask you to create your account. Simply input your account name and password.

Step 3 – Confirm Security Features

Once an email address has been put in, the app will ask you to back up your mnemonic words. Read the instructions carefully here to make sure you keep your account safe. The mnemonic consists of 12 words and is used to restore your account.

Step 4 – Use the Best Wallet App and Wallet

An account should now have been created, and users should be able to use the Best Wallet app to manage their crypto assets.

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