Keep your assets safe even when the computer you’re using isn’t secure. Hardware wallets give you an extra layer of protection against cyber attacks, phishing sites, and malware.
Hardware wallets use both public and private keys to manage crypto assets. Crypto assets are deposited to the public address, whose owner can spend them with the unique private key.
Hardware wallets have been designed to make it impossible to access the private keys they protect, because they never leave the device. This is called the principle of isolation, also known as cold storage. The private keys are never “hot”, or online, meaning they can never be exposed to the internet nor to the computer to which it’s connected.
Cryptocurrencies are never stored within the hardware wallet itself, they always live on the blockchain. The hardware wallet merely stores your private key. That private key opens the lock to your address on the blockchain where your assets actually live. Since the blockchain is everywhere, all you need is your hardware wallet to interact with your tokens.
They protect your private keys
Hardware wallets are often considered cold storage, as they isolate your private keys from the Internet, mitigating the risks of your assets being compromised in an online attack.
They let you sign and confirm transactions on the blockchain
When you create a blockchain transaction, you’re “signing” a special message. Your “signature” proves ownership of your private key. It’s impossible to forge this signature without the key, so no one else can make a transaction on your behalf without it.