Wallet
A tool that stores the keys controlling your crypto and lets you send, receive, and sign transactions.
A wallet doesn't hold coins the way a leather one holds cash. The coins live on the blockchain. What the wallet actually holds is the private key that proves you own them and authorizes spending.
Wallets split along two lines. Custodial means a company holds your keys; non-custodial means you do. Hot means connected to the internet, cold means offline. Lose the keys to a non-custodial wallet and the funds are gone — no support line can recover them.
Related terms
The secret number that proves ownership of crypto and authorizes spending it; whoever holds it controls the funds.
Hot WalletA crypto wallet kept connected to the internet for fast access, trading the convenience against higher exposure to theft.
Cold WalletA wallet whose keys are generated and stored offline, cutting off the remote attacks that target connected devices.
Self-CustodyHolding your own private keys directly, so no exchange or company stands between you and your crypto.