18 Best Decentralized Crypto Wallets for 2025

Whether you’re a beginner or an experienced investor, picking among the best decentralized crypto wallets is crucial to keep your assets safe. It will help you retain full control of your digital investments, meaning third-party trust or authorization isn’t required.

Put otherwise, you’ll become your own banker and the only person with access to the wallet’s private keys.

But which decentralized crypto wallets are the best in 2025? Read on to discover 18 leading wallets for user-friendliness, security, fees, supported networks, and features.

Best Decentralized Crypto Wallets: A Closer Look

We’ll now review the best decentralized crypto wallets listed above. Read on to choose the right wallet for safe crypto storage.

1. Best Wallet — The Overall Best Decentralized Crypto Wallet for 2025

Best Wallet is a decentralized mobile app that takes seconds to set up. It is supported on iOS and Android devices and offers additional safeguards through biometrics and two-factor authentication (2FA). Users must choose a PIN and write down their 12-word backup passphrase.

This user-friendly wallet currently supports three networks: Ethereum, BNB Chain, and Polygon. Bitcoin and other popular networks will be added in future development phases. Receiving and storing tokens is free and there are no extra charges when transferring funds. Best Wallet also offers a decentralized exchange.

This means users can swap tokens without leaving the app. Swaps are executed in real time via partnered liquidity providers. Other pending features include a browser extension, staking tools, and an airdrop hub for new crypto launches. Best Wallet also offers a fiat on-ramp, enabling users to buy crypto coins with a debit or credit card.

2. Exodus — Popular Wallet for Desktop Users With Windows, Mac, or Linux

Founded in 2015, Exodus is an established wallet provider that offers decentralized storage. While other device types are also supported, it’s one of the best options for desktop users. Exodus offers desktop software for Windows, Mac, and Linux.

It also offers a Chrome browser extension. Exodus is free to download, and the interface is ideal for beginners. More than 50 blockchains are supported, making Exodus a great choice for diversified portfolios. Some of the blockchains supported include Bitcoin, BNB Chain, Ethereum, Solana, Monero, and Dogecoin.

Custom tokens can also be added, which will come in handy when investing in new cryptocurrencies. Exodus offers real-time prices on coins being stored – simply select your preferred currency via the settings. We also like that Exodus supports in-wallet staking tools with competitive yields. For instance, Ontology APYs are over 17%.

3. Margex Wallet — Flexible Crypto Wallet with Advanced Trading Tools

The Margex Wallet is a popular crypto wallet that works with the Margex trading platform. This makes it easy for users to store, manage, and trade digital assets. The wallet has various features, from basic storage to advanced trading tools, so both new and experienced users can use it.

This wallet is easy to use and accepts many cryptos, such as Bitcoin, Ethereum, and others. The best thing about Margex Wallet is that it works directly with the Margex trading platform. This makes it easy for users to access trading options with high leverage, copy trading features, and staking options.

One of Margex Wallet’s best features is its safety. The platform uses Strong security measures, such as storing most user funds in cold storage and requiring two-factor authentication (2FA) to access accounts. The wallet also has real-time portfolio tracking, which makes it easy for users to monitor their investments.

4. Cypherock — Secure Decentralized Hardware Wallet with No Seed Phrase Vulnerability

Cypherock is a decentralized hardware wallet designed to provide top-tier security without seed phrase vulnerabilities. This wallet stands out in the market by using Shamir’s Secret Sharing to distribute cryptographic keys across multiple hardware components. This ensures users’ private keys are never fully stored in one place. However, users can still access their seed phrase and back it up.

Cypherock offers a new way of securing digital assets that reduces risks like single points of failure. It’s worth noting that the hardware wallet is supported by the CySync app for easy management and integrates advanced cryptographic protections that have undergone independent security audits.

The private key is split into five parts that are stored on the X1 Vault and four X1 Cards. This gives Cypherock X1 the highest level of protection possible. To sign a deal, users only need to tap one card. You don’t have to back up your seed phrase, and the method works with other wallets because it follows BIP39 standards.

In addition to security, Cypherock offers more than 9,000 digital assets and lets you use WalletConnect to access DeFi and NFTs. Cypherock is a great option for hardware wallet users because it doesn’t depend on centralized storage.

You can use the promo code “coldwallet” to get 17% on your purchase

5. Tangem – Beginner-Friendly Hardware Wallet, Both In Design & App Functionality

Tangem is yet another compelling pick for the best decentralized crypto wallet to use this year. Since finding its way into the market around 2017, the hardware wallet has generated significant traction, drawing interest from all categories of crypto enthusiasts hunting for a safe and more durable storage device for their assets.

Tangem’s commitment to maximum users’ privacy and security is one of the major factors driving its credibility and appeal among users. The crypto wallet solution comes with a certified EAL6+ chip to ensure full protection of users’ private keys. The chip is highly resistant to harsh conditions like dust, water, extreme temperature, and even electromagnetic pulses.

Another impressive aspect of this wallet device is its support for a large number of crypto assets, catering to investors with large, diversified portfolios. Unlike most wallet solutions, Tangem allows buying, selling, and trading of over 6,000 cryptocurrencies across more than 70 chains, allowing investors to maximize their investments.

Also, setting itself apart from competitors, Tangem epitomizes simplicity – both in design and app functionality, making it one of the easiest crypto wallets to use this year. It comes with a companion mobile app, tailored for effective management of crypto assets, even while on the go.

Also, thanks to its integration with WalletConnect, users will be able to explore various decentralized applications and engage in staking to amplify their returns.

6. Zengo — Free Wallet App Without Seed Phrase Vulnerabilities

Zengo offers a free yet highly secure decentralized crypto wallet services for desktop and mobile users. It’s a great option for beginners, considering Zengo doesn’t have a seed phrase vulnerability.

The recent Zengo desktop upgrade is a new, more secure class of self-custodial desktop wallet, with no personal information stored on your computer. Instead, they are secured in a decentralized manner through the MPC technology.

This strategic approach has helped the wallet maintain a zero hack record, reinforcing its position as a safe crypto wallet for all investors.

Zengo, which is used by over one million users, supports some of the best cryptocurrencies to buy. This includes Bitcoin, Dogecoin, Ethereum, BNB, and Polygon. Custom tokens on supported networks can also be added. Additional features include token swaps, fiat on-ramp services, and 24/7 customer support.

7. Ledger Stax — The Next-Gen Hardware Wallet for Secure Crypto Management

Ledger Stax is a cutting-edge hardware wallet designed for crypto users who prioritize security and user experience. It features the world’s first secure curved E-ink touchscreen.

The wallet is powered by a Secure Element chip and the Ledger OS, making it one of the most secure hardware wallets available. It lets you connect multiple devices to control your assets on iOS, Android, and desktop computers without risking security. Its curved E-Ink screen makes reading, signing, and protecting transactions easier. It also makes the user experience simple, quick, and clear.

Users can personalize their Ledger Stax by keeping their favorite NFTs or images on the 3.7” curved E Ink display. Even when turned off, the device retains your custom display.

Additionally, its energy-efficient design allows for days of standby time and up to 10 hours of active use on a single charge. Ledger Stax’s magnetic shell provides additional protection, and this magnetic design allows you to stack multiple Stax devices, whether for NFTs, crypto, or different asset allocations.

8. ELLIPAL Titan 2.0 — Best Option to Safely Keep Coins in Cold Storage

ELLIPAL Titan 2.0 is the safest option on this decentralized wallet list. It comes as a hardware device that’s never connected to the internet. This means your crypto coins remain in ‘cold storage’ – so you won’t need to worry about online hacks or phishing attempts.

Unlike other hardware wallets, ELLIPAL Titan 2.0 doesn’t require a USB or Bluetooth connection when transferring funds. This adds an extra layer of security – especially if you’re holding a large balance. To transfer coins to another wallet, users must scan a QR code from the ELLIPAL device. The scan should be made via the ELLIPAL app for Android or iOS.

ELLIPAL Titan 2.0 supports over 10,000 coins and tokens from the most popular blockchain ecosystems. This includes Bitcoin, Ethereum, Litecoin, TRON, Bitcoin Cash, and Solana. However, ELLIPAL Titan 2.0 might not be suitable if you’re on a budget – it retails for $169 on the manufacturer’s website. This is in addition to shipping fees.

9. Trezor Model One — Trusted Self-Custody Crypto Cold Wallet for Just $59

The Trezor Model One is also worth considering when choosing a decentralized hardware wallet. While Trezor is a secure and safe option, it’s also one of the cheapest; it retails for just $59 on the manufacturer’s website. Do note that shipping fees will be charged depending on where you live. 

Like any other cold wallet, the Trezor Model One offers offline storage. Outgoing transfers require a PIN, which must be entered on the device. What’s more, even if the device is lost or stolen – the wallet funds can still be recovered remotely. Just make sure you keep the backup passphrase somewhere safe and accessible.

In terms of drawbacks, the Model One supports fewer blockchain networks than other Trezor versions. Nonetheless, this includes Bitcoin, Ethereum, Bitcoin Cash, Stellar, BNB Chain, and Dogecoin. Plus any sub-tokens on each supported network. Notable networks that aren’t covered include Solana, Cardano, and Ripple.

10. Ledger Nano X — Established Hardware Wallet With Unparalleled Security

Next on this list is the Ledger Nano X, an industry-leading hardware wallet with unparalleled security features. This small device looks like a USB stick – so it’s easy to store and transport. The wallet remains offline at all times – removing the risks of hacking attempts.

Moreover, transactions must be authorized on the device by entering the 4-8-digit PIN. Users can set the transaction up via the Ledger app, which requires a USB type-C or Bluetooth connection. Ledger Nano X also comes with a backup passphrase, which enables users to recover the wallet if it’s lost, damaged, or stolen.

Ledger Nano X is also a great option if you’re holding lots of different coins. It supports dozens of blockchain networks, including Bitcoin, Ripple, BNB Chain, Solana, Ethereum, and Cardano, not to mention Avalanche, Dogecoin, Polkadot, and TRON. Ledger Nano X retails for $149, although there’s also a $79 model with fewer features.

Not quite convinced by Ledger’s Nano X? Read our Ledger Flex vs Stax comparison review to find which of its latest hardware wallet models suits your cryptocurrency trading needs in 2025.

11. OKX Wallet — Top Decentralized Wallet for Storage, Trading, and Earning

OKX Wallet is a great option for active crypto investors. It has developed a bridge aggregator that connects with hundreds of Web 3.0 applications. This enables users to buy and sell thousands of coins and tokens without leaving the OKX Wallet interface. 

Users always get the best price based on the required trading volume. Not only that, but users can also earn competitive yields on idle crypto investments. Just search for the crypto, and OKX Wallet displays supported staking pools based on the APY and total value locked (TVL). Liquidity farming is also supported, which often comes with double-digit yields. 

In terms of storage, OKX Wallet is safe, secure, and completely decentralized. It comes as desktop software for Windows and Mac, plus a mobile app for iOS and Android. A browser extension for Chrome is also supported. OKX Wallet also offers MPC security as an extra safeguard, which removes a single point of failure on private key storage.

12. Bybit Wallet — Web 3.0 Wallet Supporting Over 10,000 Tokens and 20 Networks

Bybit, considered one of the best exchanges for leverage and margin trading, offers a decentralized wallet app for iOS and Android. Users can also install a Chrome browser extension. Either way, the Bybit Wallet comes with seedless phrases and MPC technology. 

This makes Bybit Wallet a good option for beginners, as there’s no requirement to safeguard the wallet from remote hacking attempts. More than 10,000 coins and tokens are supported from over 20 networks. Bybit Wallet also supports NFTs from multiple chains. It also connects to Web 3.0 applications from the Solana and Mantle ecosystems.

This includes decentralized exchanges, staking protocols, and NFT marketplaces. Bybit Wallet also supports crypto airdrops, not to mention first-mover access to initial direct offerings (IDOs). The wallet also directly connects to Bybit’s centralized exchange, which supports margin products with leverage of up to 125x.

13. Blockstream Jade — Open-Sourced Bitcoin Hardware Wallet With Air-Gapped Security

Blockstream Jade is an open-sourced decentralized Bitcoin wallet. Being open-sourced is an important feature for many crypto investors, as it ensures the wallet’s software code is transparent. It also enables the Blockstream Jade community to identify potential vulnerabilities.

In terms of security, Blockstream Jade is also an air-gapped hardware wallet. So, rather than authorizing transactions via Bluetooth or USB cables, users scan a unique QR code. Although Blockstream Jade is a safe decentralized wallet, do note that it only supports Bitcoin. This means investors with diversified portfolios will need to choose another option.

Nonetheless, Blockstream Jade retails for just $64.99 – making it an affordable option for cold storage. Shipping charges are added when checking out – fees vary depending on the delivery country. Blockstream Jade is purely for long-term storage, so it doesn’t come with staking, fiat on-ramp services, or other popular features.

14. NGRAVE — Ultra-Clear Touchscreen Wallet for Crypto Beginners

One of the top decentralized wallets on this list is NGRAVE. Unlike other hardware wallets, the NGRAVE device is a touchscreen. Its 4” ultra-clear touchscreen makes it easy for beginners to transact, just like a small smartphone.

What’s more, the NGRAVE wallet comes with air-gapped security, so there’s no requirement for WIFI, Bluetooth, or USB connections. On the contrary, outgoing transfers are signed via unique QR codes, ensuring the wallet’s private keys are always offline. Another innovative feature is how backup passphrases are secured.

Users can order GRAPHENE alongside their NGRAVE wallet, which allows passphrases to be engraved on stainless steel. The main drawback with NGRAVE is pricing. Its touchscreen wallet retails for $398. If you also want the GRAPHENE stainless steel, the total cost is $498. This means NGRAVE is only suitable for large crypto holdings.

15. COLDCARD — Secure Bitcoin-Only Wallet Device Retailing for $157.94

COLDCARD is the best cryptocurrency wallet for BTC and the first native hardware wallet for PSBT (Partially Signed Bitcoin Transactions). This means that multiple parties can sign the same transaction. This air-gapped wallet has a code that can be viewed, edited, and verified. However, what makes COLDCARD stand out is its security feature called Trick PINs. Trick PINs allow users to open a duress wallet, brick the device, and wipe the seed.

COLDCARD supports BIP-39 passphrases. This means that users can generate 12-word and 24-word BIP-39 seeds and import 12-, 18-, and 24-word BIP-39 seeds from other wallets. You can buy two COLDCARD models: COLDCARD Q and COLDCARD Mk4. We recommend getting the COLDCARD Mk4 model since it is cheaper and easier to use.

16. Bitbox — One of the Best Offline Wallet Solutions for ERC-20 Tokens

Bitbox is the best hardware wallet for altcoins that supports 1,500+ ERC-20 tokens. This hardware wallet also supports EVM-based networks, from Polychain and Binance Smart Chain to Arbitrum, Optimism, and Fantom. When it comes to security, the Bitbox wallet features a dual chip, microSD card backup, and a bug bounty program. Plus, you can use it to connect to dApps.

Bitbox has a native app for desktop and Android devices. The app allows users to trade cryptocurrencies, manage multiple accounts, and connect to wallet apps such as Electrum, Specter, Sparrow, and MyEtherWallet. Its user-friendly interface makes it suitable for beginners, and it enables its users to run a full Bitcoin node, which makes it suitable for advanced traders.

This Swiss-made device has invisible touch sensors, an OLED display, and a 120 MHz microcontroller chip that speeds up multisig setups.

17. Keystone — Anti-tamper Self-Custody Wallet With Data Isolation and Biometrics

If you’re looking for cryptocurrency wallets that support 5,500+ tokens, 200+ blockchains, and 30 software wallets, opt for Keystone 3 Pro​. This hardware wallet is equipped with three security chips – Microchip ATECC608B, Maxim DS28S60, and Maxim MAX32520. This makes it one of the most secure self-custody wallets. Keystone 3 Pro features a 4-inch touch screen that can be unlocked via a fingerprint recognition system. It also comes with a customizable backplate.

This is a fully open-source air-gapped wallet that offers advanced security features, such as Shamir Secret Sharing and multiple recovery phrases. Moreover, it can be integrated with popular Web 3 wallets, such as MetaMask and Trust wallet, allowing it to interact with dApps.

Keystone 3 Pro has a beginner-friendly companion app that’s compatible with Android and iOS devices. The app supports BTC, ETH, BCH, DASH, DOT, LTC, TRON, XRP, ERC-20 tokens, and TRC 10/20 tokens.

18. SafePal — Bridges the Gap Between Cold Storage and Web 3.0 Integration

SafePal S1 is the first hardware wallet backed by Binance, a crypto exchange with the highest daily trading volume. This air-gapped wallet supports 30,000+ tokens and 100+ blockchains. This is also an EAL 5+ certified wallet that comes with an anti-tampering self-destruct mechanism.

SafePal S1 is probably the best cryptocurrency wallet for iPhone and Android users due to its native app. Namely, you can use the app to trade and store your NFTs across multiple blockchains. At the same time, you can view your DeFi assets across multiple chains. On top of that, you’ll be able to spot trade on the Binance mini-program, import existing wallets, and interact with dApps on Ethereum, Arbitrum, Optimism, and Polygon.

This wallet is the size of a credit card, making it easy to carry. It includes a 400mAh rechargeable battery that can last up to 420 hours.

19. SecuX — Military-Grade Security for Crypto Assets and NFT Investments

If you’re looking for popular crypto wallets that will allow you to trade and store your NFTs, give SecuX a go. As its name suggests, this company is known for its hardware wallets that use military-grade features. With that in mind, SecuX offers multiple hardware wallets, including SecuX Nifty – the first NFT hardware wallet.

This wallet enables its users to store and manage 5,000+ tokens and NFTs that run on Ethereum, Polygon, BNB Chain, and Solana. SecuX Nifty also has a companion mobile app that allows users to access popular DeFi apps and NFT marketplaces, such as Opensea and Etherscan.

The wallet is embedded with a military-grade CC EAL5+ secure element chip. It supports BIP32, BIP39, and BIP44 standard 12, 18, 24 recovery words, and it has a large 2.8-inch color touchscreen.

How We Ranked the Best Decentralized Crypto Wallets

Here’s how we ranked the best decentralized wallets in the market — the core features and factors we focused on are summarized below:

• Complete Decentralization — At a minimum, all of the wallets ranked offer a decentralized experience. This means only the wallet user has access to the private keys. What’s more, users can send and receive funds without requiring approval from a third-party custodian. This ensures users have full control over their crypto investments.
• Security — Decentralized wallets should offer adequate security features, although the specifics vary depending on the device type. For instance, hardware wallets are the most secure option, as private keys are always offline. Hardware wallets can also offer MPC and air-gapped security. Software wallets have alternative security features, such as two-factor authentication and biometrics.
• Supported Coins — The best decentralized crypto wallets support a wide range of coins, such as Bitcoin, Ethereum, BNB, and Solana. Additional preference was given to wallets supporting custom tokens on each network. For instance, if the wallet supports Ethereum, it should support all ERC-20 tokens.
• Fees — We included a selection of free software wallets to ensure that budget-conscious investors are catered for. We also ranked hardware wallets with various price tags. For instance, the Trezor Model One costs just $59. In contrast, NGRAVE retails for $398. We also examined fees for additional features like token swaps, staking, and fiat purchases.
• User-Friendliness — Some wallets are ideal for beginners, as they require little to no experience in crypto storage. That said, we also included decentralized wallets more suited for intermediate and advanced users. This ensures that all skill sets are catered for.
• Device Type and Operating Systems — We included decentralized wallets for all device types, including desktop software, mobile apps, and browser extensions. We also covered the most popular operating systems, such as Windows, Mac, Linux, Android, and iOS.

What Is a Decentralized Cryptocurrency Wallet?

What makes a crypto wallet decentralized?

Decentralized crypto wallets are also known as ‘self-custody’ or ‘non-custodial’ wallets. They enable crypto investors to become their own banks because they do not rely on custodians, such as exchanges. As such, users can send and receive crypto coins without needing approval from a third party.

What’s more, only the wallet owner has access to the private keys. These keys are essentially the wallet’s password — without them, access isn’t possible. Put otherwise, decentralized wallets are synonymous with keeping assets in a safe at home. In contrast, centralized wallets are controlled by intermediaries, meaning investors never truly own their coins.

For instance, if the crypto custodian is hacked and your account is impacted, your coins could be stolen. Similarly, transferring coins to another wallet requires authorization. This goes against the broader blockchain ethos, which believes in a decentralized, fair, and inclusive ecosystem for all.

Benefits of DeFi Crypto Wallets vs Centralized Wallets

This section explores the key benefits of using a decentralized crypto wallet.

Make Transfers Without Third-Party Approval

One of the core functions of a crypto wallet is sending and receiving coins. However, the process varies depending on whether the wallet is centralized or decentralized.

Let’s say you’re using a centralized wallet offered by Coinbase, Binance, or another popular exchange. You want to transfer some Bitcoins from the exchange to another wallet. You’d need to log into your account, request a withdrawal, and wait for the exchange to approve the transfer. The Bitcoins won’t reach the destination wallet until approval is received. This could take minutes, hours, or days. Delays can happen for many reasons, such as a request for KYC documents.

Now consider the transfer process when using a top DeFi wallet. You’d simply need to provide the destination address and authorize the transfer, such as by entering a PIN or providing biometrics. Either way, the transfer is approved automatically, meaning the Bitcoins will be received in about 10 minutes.

Build Wealth and Become Your Own Bank

As mentioned, the best decentralized crypto wallets allow users to become their own banks. There’s no reliance on custodians and other intermediaries, which isn’t the case when keeping coins in a centralized wallet.

• For instance, suppose you have $5,000 worth of Ethereum held in a crypto exchange account.
• Only the exchange has access to the wallet's private keys. This means they control the Ethereum coins, as transfers can't be made without the exchange's approval.
• Now, let's say the exchange is hacked, resulting in a loss of client funds, including your $5,000 Ethereum balance.
• The exchange does not have the means to repay its clients, so it declares bankruptcy. This means your Ethereum coins are gone forever.

In contrast, you don't need to trust the provider when using a decentralized wallet. You, as the wallet owner, are the only person with access to its private keys. So, even if the wallet provider runs into financial issues, this won't impact your investments.

Otherwise, your crypto assets are safe — even if the provider goes bust. This also means that, unlike a traditional bank, wallet balances can't be frozen, and accounts can't suddenly be closed for uncited reasons.

Access Web 3.0 Products On-Chain

We've established that decentralized wallets' primary functions are storage and transacting. That said, many decentralized wallets connect with Web 3.0 ecosystems. This means users can access on-chain products without using third-party intermediaries.   

For example, suppose you currently hold BNB and want to swap some of those BNB coins for Ethereum. Ordinarily, you'd need to use a centralized exchange to complete the transaction, which means going through custodians and third parties.

However, using a decentralized wallet means you can swap BNB for Ethereum without leaving the wallet interface. Similarly, some decentralized wallets support earning tools like staking and liquidity farming. This means you can earn yields on idle crypto assets without trusting a centralized provider.

Decentralized Wallets Are Anonymous

Another benefit of using decentralized wallets is that they offer an anonymous experience. Simply download and install the wallet on your preferred device type — no personal information is required. This means incoming and outgoing transactions are associated with a wallet address rather than your identity. 

Conversely, most centralized wallets are backed by exchanges, many of which have KYC processes. For instance, let's say you're using Coinbase's web wallet. Before accessing the wallet you will have opened an account. In addition to personal information, this would have required a government-issued ID.

Therefore, any transactions sent from the Coinbase web wallet can be traced back to your identity documents. This isn't the case when using a decentralized wallet. However, there is an exception — hardware wallets are usually purchased from the manufacturer. This means you'll need to provide a name and delivery address, plus financial details.

Types of Decentralized Wallets

All the best decentralized crypto wallets on our list can be downloaded as software or purchased as hardware devices. The key differences are summarized below.

Software Wallets

Software wallets are typically free to download and install. Supported device types and operating systems will depend on the wallet provider. For example, Best Wallet is available as a mobile app for iOS and Android. The wallet app is secured by traditional safety controls, such as facial biometrics.

Some software wallets are designed for browser extensions. Their security is weaker than that of mobile wallets, as they're only secured by a password. That said, browser-based wallets are popular with active crypto traders, as they easily connect with exchanges.

Another option is to download a desktop software wallet. These are often designed for Windows and Mac, although some providers also support Linux. Desktop wallets often come with two-factor authentication, meaning access also requires a secondary device.

Nonetheless, all software wallets are exposed to internet threats such as hacking attempts, viruses, and phishing scams. A simple mistake, like clicking a suspicious link, can result in a wallet breach. Therefore, those with a safety-first mindset might be more suited to a hardware wallet.

Hardware Wallets

Hardware wallets are the safest way to store crypto coins. So, if you're a long-term investor and/or you're holding large balances, hardware wallets are a must. Unlike software wallets, they're never connected to the internet. This is known as 'cold storage,' which removes virtually all hacking-related risks.

What's more, transactions must be confirmed directly on the hardware device, which often requires a PIN. There are also hardware wallets that use air-gapped security, which removes the need for external connections like Bluetooth—another solid safeguard.

Hardware wallets are still considered safe if they're stolen. This is because they come with a backup passphrase, which is usually a string of 12-24 words. Entering the passphrase on another wallet (software or hardware) will recover the funds, meaning the thief is left with a worthless device.

There are a couple of drawbacks to consider before choosing a hardware wallet. First, hardware wallets aren't free. We discussed options ranging from $59 to $398, which might not be suitable for everyone. Second, although hardware wallets can connect with Web 3.0 applications, the process is more cumbersome than that of software wallets.

Are Decentralized Wallets Safe?

In general, the very best decentralized crypto wallets are as safe as it gets when it comes to digital assets. However, some risks should still be considered. For a start, it's important to remember that you're 100% responsible for the crypto coins. After all, the wallet doesn't rely on custodians and other third parties, so there's nowhere to turn if things go wrong.

For example, let's say you're using a decentralized wallet app and lose the smartphone on which the app is installed. Ordinarily, this isn't an issue, as the wallet can be recovered via the backup passphrase. Entering the passphrase on any wallet will import the crypto coins to the new device.

However, if you've also misplaced the backup passphrase, those coins can never be recovered. Not even the wallet provider can access the required credentials. Similarly, let's suppose the decentralized wallet is hacked. The thief will immediately transfer the coins to their own wallet.

This means the coins are gone - as per the anonymous nature of blockchain transactions. This is why hardware wallets are the safest option, as they don't connect to internet servers. This means hacks are virtually impossible. If you do opt for a software wallet, ensure it offers adequate security controls, avoid clicking unknown links, and keep the passphrase safe.

How to Setup a Decentralized Crypto Wallet

We'll now explain how to get started with a decentralized crypto wallet. This walkthrough shows the steps with Best Wallet, a secure and trusted wallet app for iOS and Android.

Step 1 — Download Best Wallet

Visit the Best Wallet website and download the app to your smartphone.

This will ensure you're downloading the official app.

Step 2 — Set Up a New Wallet

Open the Best Wallet app to begin the setup process. Click on the 'Create Wallet' button and follow the on-screen security instructions.

You'll be asked to choose a PIN and set up biometrics. These are required whenever you want to access the wallet balance. Next, Best Wallet will display 12 random words - this is your backup passphrase.

Write them down in the right order. Before proceeding, make sure they've been written correctly. Keep the sheet of paper somewhere safe. If you lose access to the wallet, the backup passphrase will help recover the crypto coins.

Step 3 — Add Crypto to Best Wallet

You've now set up and secured the Best Wallet app. The next step is to transfer some crypto coins to your wallet. Click on the 'Receive' button and choose which crypto you want to deposit. Make sure the correct network is selected.

A deposit address will then be displayed. Transfer the coins to this address. The coins will show in your Best Wallet balance in a few minutes. Although the time frame will vary depending on the network.

If you don't have any coins to transfer, you can buy some on the Best Wallet app. Click on the 'Buy' button from the main wallet interface. Choose which coin you want to buy.

Select the purchase amount (e.g., $100), currency (e.g., USD), and payment type (e.g., credit card). The on-ramp provider will ask for a government-issued ID, as fiat money is being used. Complete the purchase, and the coins will be added to your Best Wallet balance.

Conclusion

The best decentralized crypto wallets on our list are the ideal options for long-term investors. They enable users to send, receive, and store crypto assets without third-party involvement. This means users can become their own crypto bank without needing to worry about frozen accounts or blocked transactions.

However, no two decentralized wallets are the same, so users should consider their core requirements. They should explore security controls, supported networks, and pricing, not to mention user-friendliness and side features like token swaps and staking.

FAQs