The Trezor wallet keeps hackers from getting to your hard earned cryptocurrency, such as altcoin or Bitcoin. This wallet is the safest type of altcoin storage device in use today and accepts a huge variety of cryptocurrencies, which is essential if your business deals in more than one type of cryptocurrency. Because this device is relatively new, the purpose of this review is to both familiarize and inform. Those who do business using cryptopcurrencies have developed various methods for keeping their income safe, but security wallets like the Trezor hardware wallet are fast becoming the go-to for altcoin users.
What Is a Trezor Wallet?
Trezor has developed an altcoin wallet that is specially designed to keep currency safe, but is also relatively accessible for using currency for payment or receipt. The Trezor wallet was the first "hardware" wallet design, which allows users can keep their Bitcoins secured offline. If currency isn't secured in a separate hardware wallet, it is vulnerable to hackers. The Trezor wallet is a physically separate device that is plugged into a laptop or desktop USB, or other connected device for storage as well as uploading and downloading currency. When a user wants to spend some Bitcoin, the Trezor wallet connects.
Separate Device Means Safety
Having a hardware wallet rather than using software means data can be secured separately. The device itself can be hacked, whether it is disconnected from other systems or when it is uploading or downloading data, but the owner is better able to physically secure the wallet than he would be able to physically secure a computer, laptop or pad. The separate Trezor wallet functions more like a non-virtual wallet --- it is kept on your person and you create an extra layer of security.
Not Simply a USB
The technology includes a limited USB connection which assures that the computing device, if hacked, will not have any connection to the Trezor wallet. When the Trezor wallet is disconnected, all data on it is safe, and the owner can carry the "wallet" in his pocket. The Trezor wallet is far more sophisticated than a USB device in terms of securing data, but just as portable.
The Trezor wallet must be activated following specific set-up instructions that include a PIN and a passphrase to keep it personalized and secure. The setup process requires multiple steps but is not difficult, and clear instructions include step-by-step guidance. The key process in setting it up is allowing the Trezor wallet to communicate with blockchain.
After that communication is made, the wallet installs firmware. Once you have named the wallet and chosen a PIN, a specialized random number generator comes up on the screen. This extra layer of security requires double entry and following specific instructions.
Once programmed, the Trezor wallet produces a 24-word phrase that the user must write down and keep safe. If there are any problems with securing currency, the user may need to apply this phrase in order to access the wallet.
Why Use a Trezor Wallet?
The Trezor wallet was the first hardware wallet created to handle multiple cryptocurrencies and continues to add altcoins as it works with new currencies. Individuals who do business online and use unconventional currencies need a safe place to keep their funds since banks are not involved.
Typically, cryptocurrency owners store their funds on their computer device using sophisticated password or passphrase as the most basic type of security. This ensures that currencies are available when needed, or that new funds can be deposited when received. This virtual wallet does an adequate job but is vulnerable to hacking if the owner is not vigilant or if they're separated from the computer that stores the altcoin.
Currently, the Trezor wallet is set up for over 500 cryptocurrencies, or coins. The company continues to add altcoins as they become readily used, so it is updated frequently. This makes the Trezor wallet adaptable for virtually any type of altcoin currency used on the market today.
How to Use a Trezor Wallet
Using the Trezor wallet requires three distinct steps: set-up, sending, and receiving. One the set-up is complete by choosing a passphrase, pin, random number, and recording the 24-word security phrase, the next step is using the wallet. The Trezor wallet is designed to receive a wide range of cryptocurrencies or to spend cryptocurrency. Firmware updates ensure that new firmware is installed, making the device less vulnerable to hacking.
Whenever funds are received or spent, the device must be plugged into a computer device. Once manually plugged in to the USB port, an internet connection must be established. Typical browsers such as Edge or Chrome are adequate, or a specialized software can be used. When the wallet is opened, there is a drop-down box on the upper left that allows the user to specify which type of cryptocurrency is being received. After hitting the receive button, a unique address will appear, and the user will copy this address and paste in the location where the currency is being kept.
If you are paying for goods and services using Bitcoin, you can easily use the Trezor wallet to make a payment. Sending funds is simpler than receiving them because it is a matter of opening the wallet, going to the dashboard, and choosing the type of currency. Then, a "send" button at the top of the page requires only that you enter the wallet address of the recipient. After confirming the recipient's information is correct, hitting send will automatically transfer the Bitcoin.
Frequently Asked Questions
Why Do I Need a Special Wallet?
Desktop wallets and mobile wallets are often used to secure cryptocurrencies, as they have become necessary due to the popularity of online, non-traditional currencies. These types of wallets are a must because the currency, like real money, must be stored in a safe place. But desktop and mobile wallets have limitations since they exist on a computer device that can be hacked. A special wallet is essential, whether it is at home on the desktop or laptop, or on the go with a laptop or mobile device. The question is, do you want extra security with a hardware wallet?
What Is a Hardware Wallet?
The concept of a hardware wallet is that it keeps altcoin entirely separate from a computer device. The hardware wallet is similar to a specialized memory key; it keeps altcoin safe using passphrase, a lengthy additional set of words, random numbers, and physical separation. Many altcoin users choose to store their cyber loot using software programs or paper wallets. Although paper wallets can be just as secure as hardware wallets, their setup is cumbersome.
Aren't There Other Ways to Keep My Altcoin Safe?
As noted above, any desktop wallet or mobile style wallet will do the job for keeping cryptocurrency. Unfortunately, the online world of Bitcoin and other currencies is not regulated. There is no FDIC program to keep the money safe as the government is not involved in these types of exchanges. It is up to the individual user to secure their funds when dealing in Bitcoin.
Who Uses the Trezor Wallet?
Typically, anyone who deals in multiple cryptocurrencies is the prime user of a hardware wallet. Although free desktop and mobile wallets can keep currencies separate, some have limitations on the number of currencies. Using simple wallets works up to a point, but when online business use cryptocurrencies, and when funds approach more than several hundred dollars, altcoin users demand more security. In addition, anyone who believes their desktop or laptop computer is vulnerable to hacking should consider a hardware-style wallet.
Aren't All Hardware Wallets Alike?
If you are considering upgrading your altcoin security, a hardware wallet is a better choice than storing your altcoin on your computer device or using a free software to store it. Hardware wallets are equally secure when compared with paper wallets, but easier to use. But Trezor wallet has clear advantages when compared with other hardware wallets as it is compatible with other software wallets and can store nearly any altcoin. Trezor uses a specific data securing process that is both accessible to less technically sophisticated users, but creates a high level of security.
Why Use Trezor Wallet?
Trezor is not the right wallet for everyone. But if you trade in cryptocurrency, all hardware wallets should be considered to see if their features will meet your needs.
- High level of security
- Works with multiple cryptocurrencies
- Can be purchased using Bitcoin
- Relatively simple set-up
- Regular firmware updates
The first decision when storing altcoin is where: in a paper wallet, software wallet, or on the main computing device in a special file. Most business owners who use altcoin regularly gain enough currency to want to keep it safe. Once the mode of securing altcoin is established, the user needs to decide the level of security. When a lot of cryptocurrency is involved, more security is wise. A hardware wallet is a sensible choice, relatively easy to set up, and the technology is time tested. Trevor wallet pioneered hardware wallets to meet a need in the online community, the need to hold a private key on a separate physical device.