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What are cryptocurrency wallets? ⚡ ...and how do
they work? 🤔 As we always discuss together on the
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channel, it is extremely important to protect
our digital asset investments 🔐 by completely
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owning and controlling them 🔗 using our own
cold storage hardware wallets!! 📲 🔑 However,
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besides finally deciding to take the plunge...
opening up an account with a crypto exchange 🏦 and
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buying our first cryptocurrency 🚀 many people find
the idea of setting up their own cryptocurrency
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wallets 📲 🔑 and transferring their crypto to it
incredibly daunting!! 😱 Public keys ❌ private
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keys ❌ wallet addresses ❌ seed phrases ❌ secret
phrases ❌ blockchain ❌ on chain ❌ off chain ❌ gas
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fees ❌ transaction fees ❌ ...different
networks like Bitcoin ₿ versus Ethereum
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versus Solana... 😕 This new speculative
tech is riddled with confusing jargon for
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newcomers!! 😮 And although it's a great sign that
we are extremely early adopters of revolutionary
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tech with likely insane upside potential 🤑 ...it
does take a fairly large investment of time and
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energy to wrap our heads around how it works!! 💫
And lucky for us ☘️ ...by the end of this video,
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and for some maybe after watching it a few times
over ⏮️ ...we will experience that "Eureka!"
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moment ‼️ ...where we finally understand how
crypto wallets work!! 🤗 We're going to break down
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some important information about cryptocurrency
wallet into simple and easy to understand concepts
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together 😎 Our goal by the end of this video,
is that we feel more comfortable transferring
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our cryptocurrency off of exchanges into our own
cryptocurrency wallets for safe keeping 🔗 ...and
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also explore different ways we can put our
new knowledge into practice by doing small
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transactions between exchanges 🏦 ➜ 📲 and wallets,
transferring crypto between different wallets
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we own 📱 ➜ 📲 ...also we are more confident and
prepared for likely the last once in a lifetime
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opportunity to invest as an early adopter in
cryptocurrency and blockchain technology 🤓 ...to
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achieve generational wealth 💥💰 Because big
traditional financial players 🏦 are getting in,
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under-the-radar 📡 The mainstream media has been
misinforming the public about crypto since its
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inception 🤞 So when the tides inevitably turn
and tons of money starts flooding into this new,
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small asset class 💰🤑 ...we need to make sure we
are in a position to reap the rewards of taking
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the time to watch videos like this ⌚ learning
new complex things 🧩 practicing using new complex
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tech, so in the end we will have truly earned the
potential life-changing gains over the next 18 to
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24 months 💥 By putting in the time, being brave
and taking on risk 💪 and being part of something
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bigger than us... something that will help
us build a better future together 🌴 Amazing,
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so what is a cryptocurrency wallet? 🔒 When we
hear the word wallet, we immediately think of
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the pocket or purse accessories that hold our
cash 💵, IDs, credit, and debit cards 💳 However,
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unlike cash, digital currencies are not stored
in a specific location and do not exist in
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physical form. Instead, cryptocurrencies, account
balances, and transactions exist on computers...
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a network of computers 🖧 using a blockchain
or similar technological foundation. So what
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is blockchain? ⛓️ Blockchain is just a fancy term
that describes a running ledger of transactions.
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Without losing sight of this video, if you would
like to learn more about blockchain and why it was
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developed, you can check out my video guide for
beginners by clicking on the link above 🖲️ ⬆ Nice,
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back to wallets a cryptocurrency wallet has
software that creates and stores your private
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and public Keys interacts with the blockchain
monitors your cryptocurrency balances and allows
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you to send and receive digital assets so to send
receive store and monitor your cryptocurrency
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balances and other digital assets like nfts you
need to use a cryptocurrency wallet and what's
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funny is we shouldn't really use the word wallet
when talking about crypto because a wallet in
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the traditional sense makes us think of our cash
actually physically inside of our wallet or our
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credit cards actually inside of our wallet while
a cryptocurrency wallet is more accurately a key
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to access our phones because our cryptocurrencies
and digital assets are not actually inside of our
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wallets they are on the blockchain which is a
running Ledger of transactions distributed all
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around the world so in reality our crypto is
basically assigned to our wallet's private key
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and our wallet gives us access to the crypto and
the ability to view our balances send and receive
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crypto stake it interact with smart contracts Etc
awesome hello I'm cryptocasian in this video we
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are going to explore how cryptocurrency wallets
work the different types of cryptocurrency wallets
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available on the market and why it's important to
use multiple cryptocurrency wallets to diversify
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the risks associated with investing in new
speculative technology let's hit it [Music]
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please be sure to check out our sponsors I
trust Capital Malwarebytes and tangent wallet
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trade cryptocurrencies tax-free within your own
individual retirement account or IRA with I trust
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protection on your computer or devices you are
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literally insane so get a free malware scan today
with Malwarebytes who is also offering us a nice
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discount for the protection products and services
it invests in your very own Cold Storage Hardware
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wallet like tangent wallet it's the size of
a credit card multi-currency multi-chain and
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it's by far the easiest Hardware wallet to set
up and use on the market right now while also
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being the most cost effective like starting at
around forty four dollars using the link below
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with a special discount for us note that since the
Ledger Fiasco tantrum has been swamped so orders
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have been backed up for a few weeks so pre-order
one to get your spa in line for the next batch of
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wallets scroll down and use links below to access
the correct and official sites as well as redeem
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any special offers they have for us so how do
cryptocurrency wallets work we are going to go
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through a very simplified analogy to help us wrap
our heads around around how cryptocurrency wallets
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work together please note this is not exactly how
the technology works it's just an analogy so a
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simplified way to understand how cryptocurrency
wallets work is to consider how your traditional
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online banking applications work imagine your
bank is the blockchain your bank account number
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is the public key your crypto wallet is your
online banking app and your online banking app
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login credentials are your private key so your
bank records and tracks all the transactions
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going to and from your bank account just like the
blockchain records and tracks all the transactions
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going to and from your public key using your
online banking app you are able to check the
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balance of your bank account and send or receive
transactions just like a cryptocurrency wallet
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allows you to check your balances and send or
receive crypto however in order to log in to your
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online banking app you need to first type in your
username and password which is like using your
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private key to access your cryptocurrency wallet a
public key is similar to your bank account number
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in that if you provide anyone with your bank
account number they can send you funds keep in
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mind that public keys are also commonly known as
wallet addresses however having your bank account
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number alone would not allow someone to take funds
from your account this is also how a public key
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works people can send cryptocurrency to you using
your public key or public wallet address but they
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cannot take funds from you using your public key
on the flip side giving your online banking app
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login credentials to someone would allow them to
send funds from your bank account to somewhere
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else this is similar to a private key if you give
someone your private key they can access your
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cryptocurrency and send it somewhere else unlike
traditional banking if you give away your private
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key and your funds go missing you will likely
not be able to recover them this is why it's
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so important to keep your private key private and
before sending and receiving cryptocurr currency
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you must first make sure you are sending the same
type of currency to a wallet address or public
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key that supports that particular cryptocurrency
for example you can only send Bitcoin to bitcoin
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addresses and you can only receive ether
from either addresses and the simplest way
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to understand why Bitcoin addresses only work with
Bitcoin ether only works on ethereum Solana only
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works on Solana Etc is to think of them like
software applications on Mac versus PC versus
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Linux or like Apple versus Android so they are
just different Tech foundations using different
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code which is why Apple apps can't be installed on
Android devices there has to be an Android version
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of the app to be supported on Android cool so if
you have another person's public key or address
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you can easily send them some corresponding
cryptocurrency and vice versa and when
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cryptocurrencies are sent or received no actual
physical or digital exchange occurs between the
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wallets remember cryptocurrency wallets interact
with the blockchain and the blockchain is where
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all cryptocurrency transactions are logged and
it's also where balances are tracked so just to
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recap a cryptocurrency wallet has software that
interacts with the blockchain stores your public
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and private Keys monitors your cryptocurrency
balances and allows you to send and receive
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cryptocurrency nice what are the different types
of cryptocurrency wallets there are many different
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types of cryptocurrency wallets to choose from and
each of them have their own pros and cons let's
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break down crypto wallets into two categories
hot and cold a hot wallet creates and stores
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your private Keys online while cold wallets create
and store your private Keys offline so examples of
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hot law include desktop or mobile app software
these wallets operate on your computers and cell
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phones which are connected to the internet so
when you set up these wallets your private key is
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generated on a hot device which just means it's
connected to the internet which could be more
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vulnerable to being compromised especially with
AI scamming tactics becoming more sophisticated
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Etc however by far the least secure way to store
large investments in cryptocurrency for the long
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term is on an exchange why well first of all it's
online therefore hot therefore more vulnerable to
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hacks and on top of it cryptocurrency exchanges
are huge targets for hackers since obviously
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there's a ton of potential crypto that can be
stolen with any wallet we manage on our own
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a hacker has no idea how much potential funds
there are to steal while crypto exchanges are
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a guaranteed Gold Mine of swords and second of
all due to lack of transparency and regulation
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there is an artificial supply of crypto meeting
real demand because exchanges lend out crypto
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you stake infinitely between other people and
exchanges which basically means that one ether
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you are looking at on your account could also be
the same either five other people on The Exchange
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are looking at meaning cryptocurrency exchanges
don't actually have all the crypto backed one to
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one for all of their customers so if there was a
massive run on exchanges where everyone wanted to
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move their Bitcoin and ether to their own wallet
there would not be enough to go around like we saw
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with FTX there are also some bad players out there
gambling with our funds we leave on the exchange
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and can go bust and third of all as we see with
coinbase regulatory bodies like the SEC can go
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after them sue them demonetize them by forcing
them to de-list a significant amount of crypto
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which would destroy their profits which puts
them at risk of going under as we've discussed
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at length on the channel exchanges need to be used
as a tool to exchange Fiat for crypto crypto for
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crypto and crypto to Fiat not for storing crypto
Investments we need to be transferring any crypto
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we want to exchange to them and when we are done
transferring our crypto back to our own wallets
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sweet now let's learn about the safest most ideal
way to store significant amounts of cryptocurrency
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for the long term cold wallets cold wallets are
also known as Hardware wallets Hardware wallets
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are designed to safely create and store your
private key offline and when sending receiving or
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managing funds you will need to use the hardware
wallet device and go through more security steps
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in general which makes your funds less vulnerable
to theft by creating and storing private keys
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with Hardware wallets your funds are safer from
hackers and other potential security issues that
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hot software wallets are more likely to experience
so store your cryptocurrency on a hardware wallet
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is the safest most secure way to manage your
funds so if you scroll down to the description
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area below you can access the correct and official
site of my recommended Hardware wallets note there
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are two important things you need to know about
buying a hardware wallet first only buy Hardware
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wallets from the real manufacturer do not buy used
Hardware wallets and do not buy them from other
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other companies or individuals this is because
hackers may buy a hardware wallet tamper with
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the software and resell the Hacked device to steal
your phone and second as with all crypto related
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activities make sure you double and triple
check the URL you are accessing to buy the
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hardware wallet make sure the address is correct
and that it has an SSL or secure sockets layer
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which uses the https protocol instead of HTTP
there are a ton of phishing scams online that
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will pretend to be the real website you intend
to access and if you access a fake website you
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may lose your funds or receive a hacked wallet so
again if you're interested in my recommendations
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using the links below get you where you want to
go safely all while supporting the channel since
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Ledger's announcement of their recover Services
software update to their devices tangent wallet
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an alternative that never reveals our private key
or seed to anyone has been blowing up like I said
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there is a wait for the next batch of wallets so
make sure to get your spa online earlier rather
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than later it looks like a credit card uses
the highest standard of security among crypto
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wallets known as eal 6 Plus which is a level
of protection used by NASA and in passports the
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source code for tangem's mobile app is all open
and available for review on their GitHub which is
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important for full transparency to ensure there
are no backdoors built in and that funds can be
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accessed if the company shut down for any reason
instead of a seed phrase as the only way to back
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up our crypto wallets backup copies of the wallet
are created and used on other tantrum cards that
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we encrypt with our own unique access code we
create breach card also note the pricing for this
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cryptocurrency Hardware device is much cheaper and
affordable than other ones starting at just over
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forty dollars with free shipping using our promo
code this is a plus for any beginners just getting
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started or anyone who is looking to onboard
friends and family into crypto with a simple
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easy to use secure self-custody wallet so scroll
down and use link below to access tangents correct
00:14:13
and official site as well as redeem any special
offers they have for us cool and we can check out
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the step-by-step Tanger wallet setup guide to get
a better idea about how tangent wallet creates and
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protects our private Keys differently than Ledger
trezor and other wallets that use seed phrases by
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clicking on the link above since the vast majority
of cryptocurrency wallets use seed phrases to back
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up our wallets and access our phones at large
while we wait for the next batch of tangent
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wallets or wait for whatever Hardware wallet
we've chosen to go with like Ledger treasure
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BC Vault to arrive let's create our own hot wallet
together using a mobile app called trust wallet it
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transfers some crypto to it get ready we are about
to have the Eureka moment we've all been waiting
00:14:54
for about what happens if your phone dies or if
your Hardware wallet breaks or if it's stolen
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Etc when it uses a seed phrase as backups let's
in it how to set up your own crypto wallet in
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this video we are going to set up the trust wallet
together on our mobile device step by step open
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the app store on your phone and type in trust
wallet and click download and install it then
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open the app tap on create new wallet tap to check
the box agreeing to the terms of service next we
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are going to create a passcode to add an extra
layer of security when using the app then confirm
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the passcode by entering it again and now we are
going to back up our secret phrase which is the
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master key to your wallet and anyone that has it
can access your crypto so never share it which is
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why I recommend backing it up manually versus to
your iCloud as it could pose more vulnerabilities
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if your iCloud is compromised so we are going to
tap backup manually on the next screen the app
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gives us more information stating this secret
phrase is the master key to your wallet tap on
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all check boxes to confirm that you understand the
importance of your seed phrase tap the first box
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that read if I lose my secret phrase my funds will
be lost forever tap the second box that reads if
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I expose or share my secret phrase to anyone my
funds can get stolen and tap the third box that
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reads trust wallet support will never reach out to
ask for it then tap continue and here are the 12
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words you need to write down in order and secure
to protect any crypto use into it after these next
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few steps it will become clear how our crypto is
on the blockchain and how private keys or recovery
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phrases are merely keys to access our funds that
are on the blockchain and how anyone with these
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words can steal all of your funds if you do not
properly secure these words these 12 words are
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the keys to your wallet literally by memorizing
these 12 words you can carry access to hundreds
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and thousands millions and billions of dollars
worth of crypto right here in your brain stay
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tuned for the end of this video when I show you
how I can gain access to your funds using these
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12 words anytime and anywhere but regardless of
whether you lose this particular phone or not it's
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for this reason I do not recommend backing this
phrase up to iCloud which is something that could
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also be hacked I don't recommend ever storing your
wallet private key on any device connected to the
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internet password manager or similar so don't
take a screenshot of it or picture the best way
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is using good old-fashioned pen and paper for now
securing it in multiple geographical locations in
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case of a fire flood or similar in this video
we are just doing a simple short-term solution
00:17:35
for storing our own crypto together to get it off
of exchanges until we can get a hardware wallet
00:17:40
so for now like I said I recommend writing
your secret phrase down on paper and storing
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it somewhere extremely secure like a safe or
inconspicuous like into your house in a book
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on a shelf or similar cool next we need to verify
the secret phrase by tapping the words to put them
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next to each other in the correct order and we
are done we have officially created our very own
00:18:01
self-custody crypto wallet where we can completely
own and control our digital assets using the trust
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wallet we can buy crypto deposit and store nfts
and deposit crypto tap deposit now let's say
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we have some ether we can send to our new trust
Wallet tap ethereum and from here we can scan the
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QR code or copy the address for our first example
to show you how easy it is to use tangent wallet
00:18:27
we are going to send some ether from tangent
wallet to trustwallet so I'm going to tap the
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copy button to copy our trust ether address then
I'm going to open tangem's mobile app and tap scan
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card then using my physical tangent Hardware
Wallet card I'm going to tap it to my phone
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then enter my access code then tap the card again
and here we are at our tangent wallet dashboard
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I'm going to tap ethereum TAPS in paste The Ether
trust wallet address into the address field enter
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100 worth of ether looks like the network fee to
process the transaction is about two dollars make
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sure everything looks good and tap send to verify
the transaction I'm going to enter my access code
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again tap my tantrum card to my phone and success
the transaction has been signed and sent to the
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blockchain so now if we open our trust Wallet
app enter our passcode hear almost instantly on
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the trust wallet dashboard we see the hundred
dollars worth of ether has a wrap amazing next
00:19:24
here comes the part that will probably be a
lot easier than you think transferring your
00:19:28
crypto from The Exchange to your new self-custody
mobile wallet for Simplicity I'm going to assume
00:19:34
your crypto is on coinbase in this guide however
no matter which exchange you use you should be
00:19:39
able to log in choose a send function and follow
similar steps to move your crypto on your computer
00:19:45
or phone log into your Exchange in this guide
I'm accessing The coinbase Exchange app on a
00:19:50
mobile device on the coinbase mobile app dashboard
TAPS in let's say we want to send Bitcoin from The
00:19:56
Exchange to our trust wallet so tap Bitcoin and
on the Trust app tap Bitcoin to see the QR code or
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or copy the address in this video we are scanning
the QR code like so then tap continue enter the
00:20:09
email of Bitcoin to send I always recommend that
beginners and seasoned crypto investors alike
00:20:15
send a small amount to a new wallet first to make
sure everything goes smoothly before sending large
00:20:20
amounts in this video we are going to send 100
worth tax preview make sure everything looks good
00:20:26
the fee will be about 73 cents it'll take about 30
minutes to complete the transfer tap send now if
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you have 2fa setup enter the six digit code from
your authenticator app and it's been successfully
00:20:38
sent tap done and we can see after a few minutes
the Bitcoin has arrived to our trust wallet
00:20:44
brilliant here we are we now are in complete
control of our Bitcoin and ether where it's
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stored on the blockchain and we are the only ones
with keys to access it rather than it merely being
00:20:55
an amorphous pool of Bitcoin controlled by the
exchange so secure your secret phrase and repeat
00:21:01
these steps to transfer all of your cryptocurrency
currency on exchanges you're looking to hold for
00:21:06
the long term to your new mobile wallet that
is until your Hardware wallet arrives now for
00:21:11
the Eureka oh my God I finally get it moment as it
relates to secret phrases and access to our crypto
00:21:17
let's just say I come across your 12 words and
just your 12 words not your phone not your address
00:21:24
or passwords or anything that has any connection
with you to it at all if I found a piece of paper
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in the middle of the street with these 12 words
and I wanted to take your crypto this is how it
00:21:35
can be done you can pretty much use almost any
other mobile crypto Wallet app to do this quickly
00:21:40
in this example I'm going to download another
crypto mobile app called Exodus next I'm going
00:21:47
to open the app but instead of choosing to create
a wallet I'm going to select I have a wallet and
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on the restore wallet screen I'm going to select
secret phrase and start typing in the 12 words on
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this paper I randomly found on the street note
that while it's like Ledger and trezor create
00:22:03
24 words and you can do the same exact thing if I
found your 24 word Ledger private key I can do the
00:22:09
same exact thing and take all of your funds cool
okay so all 12 words are entered and now I'm going
00:22:15
to tap continue and restart to restore this wallet
after a minute or so we've been notified that
00:22:20
the restore was successful in voila here is the
hundred dollars of Bitcoin and hundred dollars of
00:22:26
ether we sent to our new trust wallet but since we
didn't secure our 12 words I was able to download
00:22:32
another crypto Wallet app and restore access
to it using just the 12 words from here I can
00:22:38
easily send the funds elsewhere to another wallet
I control and you do not effectively stealing all
00:22:44
of your crypto and digital assets that fast and
that simple check it out here's the Bitcoin and
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it's gone and here's the ether and it's also gone
the next time we open our trust wallet we set up
00:22:58
but did not secure properly we can see our balance
is zero that's why it's so important to guard your
00:23:04
private key recovery phrase 12 or 24 words
whatever you've got and to consider getting a
00:23:09
horror wallet that generates a private key offline
and stores it offline for maximum security or we
00:23:15
can also consider different wallets that do not
use seed phrases that can easily be stolen or
00:23:20
in some cases we can be socially engineered or
tricked by scammers that pretend to be Ledger
00:23:25
or similar and try to have us type in our seed
phrases into a big website or by having us text
00:23:30
them or email them our seed phrase then by similar
steps we just went through using the words to
00:23:36
drain your wallet wallets that use alternative
ways to secure crypto wallet private keys are
00:23:40
BC Vault and tangent wallet for example with the
tangip wallet the private keys are actually never
00:23:45
exposed to anyone ever so if I found your tandem
wallet randomly on the street and downloaded the
00:23:51
tangent Wallet app and scan the card the the
requirement of an access code prevents me from
00:23:56
accessing your crypto and sending it elsewhere
to steal it at the end of the day with this new
00:24:00
speculative technology it's important to
diversify where we store our crypto long
00:24:04
term by using several different types of wallets
so we don't experience a total loss if something
00:24:09
happened to Ledger vs trust wallet versus BC Vault
or tangent so be sure to scroll down and use the
00:24:15
links below to access the corrected official
sites for any wallet you're interested in using
00:24:19
to secure your crypto Investments awesome if
you would like to watch a step-by-step video
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