The Best Crypto Wallets in Canada in 2023
Crypto wallets are an important thing to have when trading crypto. They keep your assets safe, and they also validate transaction information. There are many different types of crypto wallets available. They range from USB sticks to mobile apps. If you are not sure where to begin, then this buying guide is for you. This guide lists the best crypto wallets in Canada. We will also cover some frequently asked questions regarding some of the main crypto wallets available.
What to look for in a crypto wallet
The type of wallet: There are two types of crypto wallets, physical and digital. Physical wallets (also called cold storage) are physical devices, like thumb drives. Digital wallets (also called hot storage) are pieces of software, like mobile or desktop applications. They type of crypto wallet you choose can influence many things, the main one being the security level. In general, physical wallets are seen as the safer of the two. Since it stores crypto assets offline, physical wallets are less susceptible to system crashes or hacks. Those two issues are more frequent with digital wallets.
Security features: This may the most important thing to consider when shopping for a crypto wallet. We recommend that you go with a wallet that makes security one of its top priorities. Here are some features to look for:
- Password setup: Most crypto wallets let you set your own password. However, some create pre-set passwords.
- Multi-factor authentication (MFA): This feature requires you provide additional information to sign into your account. For example, after entering your password you will be asked to enter a six-digit code that was sent to your phone.
- Multi-signature: This feature is similar to MFA. Multi-signature requires more than one private key to approve an outgoing transaction. A private keys act like a pin number.
Open vs. closed source software: Open source means that anyone can view the software or firmware. That way, users and developers can find errors, report them, and then fix them. Since anyone can edit open source software, updates and fixes happen frequently. With cold source, the software developers restrict who can access it. This means individuals cannot edit parts of the source code without facing some type of consequence, like legal repercussions. Because the developers are the only ones who can edit the software, updates and fixes are less frequent. In addition, users rely on the software team to notice any security issues. While the team might be adept at finding cracks in the system, open source software allows more people to find security flaws and fix them promptly. We recommend going with an open source wallet since its software is constantly being improved.
Coins supported: The number of coins supported by a crypto wallet varies Some wallets support over 100 cryptocurrencies. Other are dedicated to storing one coin only. Consider what you plan on trading. Are you looking to own multiple coins, or do you want to hold one specific cryptocurrency?
Best physical crypto wallet
Ledger Nano X
The Ledger Nano X is one of the most popular physical crypto wallets available. The wallet supports over 50 coins, and it can hold up to 100 coin applications. The Ledger Nano X is also one of the most secure crypto wallets in the world. The device lets you set your own eight-digit password. And in case you forget your password, Ledger provides a recovery sheet as a backup. The sheet is a list of 24 words which must be entered in the corresponding order. Another security feature to highlight is a secure certified chip designed to prevent complex cyber hacks.
Using the Ledger Nano X is fairly simple. You use the two buttons to power/turn off the device as well as open and close the various applications installed. The wallet has a small LCD screen that displays the wallet’s content. You will also need to install the Ledger Live app on your phone or computer in order to use the Nano X. You use the app to send or receive crypto. You can also use Ledger Live to view market prices or buy, sell, or swap cryptocurrencies.
Because of its security and ease of use, the Ledger Nano X is one of the top physical crypto wallets. It remains the go-to choice for many crypto traders. However, there are some downsides. They wallet has limited storage space, so there are a finite number of applications you can install on it. Lastly, the Ledger Nana X is expensive. On average, the price is $199.00.
- Good security features.
- Easy to set up and use.
- Limited storage space.
- Expensive price.
Best digital crypto wallet
Among the many digital crypto wallets available, Exodus is on of the best. You do not have to set up an account with Exodus. All you have to do is install the application on your phone or computer. From there you can send, receive, or exchange one of the 180 cryptocurrencies supported by the wallet. Exodus also has other crypto related services. One example is Exodus Shares. This an investment service where you can earn interest on your crypto assets. Another example is the SportX betting service. You can place bets on the winner of various ports events using the stablecoin USDC. All wings are immediately sent to your account after the event ends.
While digital wallets are seen as being less secure, Exodus has several security measures in place. Your private key and transaction data is encrypted, which makes it harder for hackers to access/solve. After a certain amount of time your Exodus account will auto-lock, requiring you to sign in again. During the auto-lock, your data is encrypted.
A major positive of Exodus is the many services it offers. This helps you earn money on your crypto holdings as well as diversifying your portfolio. Another plus is that Exodus has a simple user interface that works for both beginners and experienced traders. Lastly Exodus has several security features, which are good for a digital wallet. With that being said, security is still an area of improvement for Exodus. Currently, the wallet does not use MFA or multi-signature, which may be major issue for some users. Another drawback is that Exodus has closed source software. This factor limits Exodus’ security level and the frequency the software is updated.
- Various crypto apps offered.
- Simple user interface.
- Closed source software.
- Does not have multi-signature or multi-factor authentication.
Best crypto wallet for begginers
The world of cryptocurrency is a complex and confusing place. This can intimidate many first time crypto traders. To make crypto investing easier, crypto exchange Coinbase has created its own wallet. The Coinbase Wallet supports thousands of cryptocurrencies, with some estimates hovering around 100,000 coins. That is the most out of any of the wallets on this list. It is a digital wallet, available on web browser or mobile phones.
Setting up Coinbase Wallet is a seamless process. You first download the app, whether it be on your computer or mobile phone. You then acquire your recovery phrase and create your username and password. After that, your ready to use Coinbase Wallet. If you already own a hardware wallet, you can connect with Coinbase Wallet. I decided to connect my Ledger Nano X with Coinbase Wallet. The process was fairly simple. The first step was opening Ledger Live and connecting my Nano X to my computer. I then had to open up the Ethereum app on my Nano X. Coinbase immediately recognized my wallet, and the connection was instant. All I had left to do was create a username and password.
The layout of Coinbase Wallet is simple and straightforward. Instead of displaying complex graphs and financial info, users are greeted with menu screen displaying the balance for your crypto, NFT, or DeFi holdings. Users can easily access the other menus of Coinbase Wallet.
Another positive to note is Coinbase Wallet’s tutorial section, which is found on the website. If you ever have a crypto related question, chances are you will find a video in the section which solves the issue.
Because of it ease of use, Coinbase Wallet is our pick for the best crypto wallet for beginners. And if you are looking to own multiple coins, this wallet is the one for you. But for experienced traders, they may find Coinbase lacking in advanced features, like investing options. Other users may not like the fact the Coinbase Wallet is a browser extension and not a desktop application. Even though it has security measures in place, Coinbase Wallet carries a higher risk. Hackers can easily access your web browser and steal your funds.
- Many cryptocurrencies offered.
- Designed for beginners.
- Several tutorial videos available.
- Lack of advanced features, like investment tools.
- Web browser version has some security concerns.
Best budget physical wallet
Ballet Crypto Wallet
Since most physical crypto wallets command an expensive price, there is always demand for affordable options. And one of the best by far is the Ballet crypto wallet. The wallet resembles a debit/credit card, but it is not made from flimsy plastic; it has a durable metal body. No account set up is needed with the Ballet Crypto Wallet. It is ready to use right out of the box.
Unlike the other products in this guide, you do not set your own private for your Ballet Crypto Wallet. Instead, Ballet provides the private key. It is located on the front of the card, covered by a sticker that contains crypto public address. While some people are unsure about this set up, Ballet has several security measures in place to protect private keys. First, the private key Is encrypted. Secondly, the private key and passcode for the wallet are generated in two separate locations. This means that information is never shared between the two, which also makes it harder for hackers to steal the information; there is no central place to steal the data from. Lastly, Ballet does not store your private key or passcode, users have full control over them.
Although you do not need additional software to use the Ballet Crypto Wallet, I recommend you pair it with its companion app, Ballet Crypto. The app acts as the digital interface for the physical card. Overall, it makes it much easier to manage all of your crypto assets.
The price for this crypto wallet averages $35.00, which is much cheaper than the Ledger Nano X. Plus, the Ballet REAL crypto wallet does not require maintenance or regular software updates. And if you know someone just getting into crypto trading, then this wallet is the perfect gift. But there are some security concerns with the Ballet REAL crypto wallet. Once you remove the stickers that cover your private key and passcode, they are open for all to see. This means that anyone that has your card can use the passcode and private key to steal your cryptocurrency.
- Affordable price.
- Made of durable material.
- Ready right out of the box.
- Passcode and private key are located on the wallet.
Best mobile crypto wallet
Mycelium is a mobile only crypto wallet designed to only hold Bitcoin. However, you can still hold Ethereum and a small number ERC-20 tokens like Tether and USD Coin. Mycelium is a fairly straightforward crypto wallet. Users can use the app to send and receive crypto, as well as trade from them to. The Local Trade feature allows people to buy and sell Bitcoin from others in their area. This feature is only available to Android users. Apple users cannot access the Local Trader feature. While Mycelium certainly has enough features for beginners, experienced crypto traders can take advantage of the wallet’s advanced services.
Mycelium was first launched in 2012 and has since gained a reputation as a secure bitcoin wallet. The app is reproducible, which mean the source code can be duplicated and compared to the original to spot any security flaws. Even though it is a digital wallet, Mycelium has cold storage. A unique security feature for Mycelium is the Watch Only account. This account only lets you view your crypto assets; you can transact crypto with the account. This feature allows you to check up on your balance without using your private key, which lowers the risk of hacks. Lastly, you can set up multiple password layers for your account.
As a dedicated mobile app, Mycelium is best suited for intermediate and expert crypto traders. The various account features can get confusing for beginners. To further highlight this point, Mycelium does not have many tutorial articles. iOS users cannot access the Local Trader feature, and the absence of a desktop version may steer people away from Mycelium. And the fact that Mycelium only hold a select number of coins could be a major dealbreaker for some. Despite these drawbacks, Mycelium is still a secure and adaptable crypto wallet.
- Strong security features.
- Geared towards novice and advanced crypto traders.
- Local Trader feature enables peer-to-peer trades.
- No desktop version.
- Only supports a limited number of cryptocurrencies.
- iOS users cannot use the Local Trader feature.
For this guide, we spent over eight hours researching various crypto wallets. If possible, we tested out some crypto wallets. The three main criteria used to judge our picks were ease of use, features offered, and security level. Our team also read customer reviews to gauge what people looked for in a crypto wallet. We also read posts made in the reddit page r/BitcoinCA. These posts also provided an insight into what customers want out of a good crypto wallet.
Frequently asked questions about crypto wallets
Do I need a crypto wallet?
If you want to trade cryptocurrencies, then you will need a crypto wallet. They are the one device that securely store your crypto assets. On top of the that, many crypto wallets have additional service that let you make the most out of your assets.
How do I get a crypto wallet?
Digital wallets are fairly easy to get. Most times, you can go to the wallet’s website to download the application. Or you can download the wallet from your phone’s app store. Plus, most digital wallets are free. For hardware crypto wallets, you can buy them off their website, Amazon, or from technology stores like BestBuy.
How do crypto wallets work?
Unlike traditional wallets, crypto wallets do not technically store cryptocurrency. They actually hold your private keys. Your funds are located on the block chain as data pieces. But what are private keys? They are a long set of numbers and letters that act as the password to your crypto assets. Private keys also allow you to withdraw crypto from your wallet and deposit to other destinations. Lastly, private keys generate your public crypto address, also known as your public key. You use the address to deposit or receive crypto from others. Whoever controls the private key van access your crypto balance.
Besides storing your private key, crypto wallets interact with blockchain networks. From there you can access and manage your crypto assets.
How do I use a crypto wallet?
Each crypto wallet slightly differs in how they operate. With hardware wallets, you must often pair them with an app to make transactions. For example, the Ledger Nano X uses the Ledger Live App. Digital wallets do not need an additional app. Still, most crypto wallets have similar steps when it comes to withdrawing and depositing cryptocurrency.
To receive cryptocurrency, you first need a public address. Most wallets will automatically generate an address when you click the Receive button. Other devices will have a tab called Generate Address, which you click to generate the code. Once you have your public address, copy it and provide to the person sending you crypto or the crypto exchange you are buying coins from.
Sending funds requires the address of the recipient’s wallet. Click the Send tab and enter the address you want to send funds to. Next, enter the amount of crypto you are sending, and hit confirm.
To cash out the cryptocurrency held in your wallet, you need to sell your assets. Some wallets have built-in exchanges where you can sell your crypto to buyers. For example, Ledger live lets you sell crypto to the exchange Coinify.
How many crypto wallets should I have?
While it is perfectly normal to hold all your cryptocurrency in one wallet, doing so can be risky, especially if you are storing a large amount. There are two main reasons why you should not store all of your crypto in one wallet. The first reason is the openness of blockchain technology. Blockchains allow people to view all transactions that occur on the network. Identities remain anonymous, but the transaction history of the wallets remains visible. Because of this visibility, moving large amounts of crypto to and from your wallet can generate lots of attention. This can alert criminals to your wallet’s existence and the amount of funds it is holding. And with one successful hack, you could lose all of your funds. The second reason concerns your wallet’s private key. Your private key is the only way you can access your wallet. Lose it, and you lose access to your funds. While most crypto wallets have recovery phrases, you could also lose this as well. To prevent this from happening, some crypto investors store funds on multiple wallets. That way, if they lose the private key for one wallet, they can use a separate wallet instead.
If you only store small amounts of cryptocurrency in your wallet, then you probably do not need multiple wallets. But if you are moving around large amounts of crypto, then it makes sense to use multiple crypto wallets.
Which crypto wallet type should I use?
Based on their stability and security, we recommend you use a physical crypto wallet over the digital version.
What is the safest crypto wallet?
The safest crypto wallets have security features like MFA, multi-signature, and an encrypted chip in place. Ideally, you should choose a crypto wallet that has these three security measures in place.
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