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What is a self-hosted wallet?

Updated this week

A self-hosted wallet is a Bitcoin wallet where you control the private keys yourself. This means that you and only you have access to your Bitcoin.

Examples of self-hosted wallets:

  • Hardware wallets (Trezor, Ledger, BitBox)

  • Software wallets (BlueWallet, Blockstream Green)

  • The Coinfinity in-app wallet

  • The Coinfinity card wallet

The opposite of this is a custodial wallet. Here, your Bitcoin are stored by a third party – typically crypto exchanges, but some software wallets are also custodial wallets (e.g., Wallet of Satoshi). You trust the provider to keep your Bitcoin safe.

The most important difference: with a self-hosted wallet, you have full control. With a custodial wallet, you trust a third party.

Don't forget: not your keys, not your coins! πŸ”‘

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