This article introduces trusted Wallet Software & Apps.
Introduction to Software Wallets
In the previous article you have already learned how to secure your seed and private key. Now let's look at the differences between the software wallets.
The only software wallet that also stores the entire ledger entry (blockchain) is the core wallet, which is a full network node, also known as a full wallet or node.
So-called SPV Wallets (Simplified Payment Verification) offer a software in which not the entire blockchain has to be stored, but only the entry of a transaction. The SPV W. uses several randomly selected full nodes.
This technology can be found in all mobile wallets for smartphones; they are also referred to as lightweight clients or thin clients. All wallet clients connected to the Internet are referred to as hot wallets.
With online wallets you should make sure that only you are in possession of the private key or seeds. Third party providers promise security and user-friendliness, but the past has shown time and again that no third party can be trusted when it comes to the valuable digital units!
Pay attention to the address format before you make a transaction, use native SegWit or P2SH addresses to pay lower fees, otherwise the annoyance about the Tx fee of 1mBTC will be great. With all the wallets presented here you can use native SegWit & P2SH address formats to set the fees yourself.
Core Wallet / Bitcoin Graphical-User-interface
The Bitcoin Core Wallet contains the entire ledger, which means that this wallet downloads the entire blockchain from other nodes. The storage space required for the Core / Bitcoin Graphical User Interface has now grown to approximately 285GB, but it can verify its own transactions.
Using the console, this wallet can be used for mining and as a node. The use as a wallet is not suitable for beginners.
Electrum has been with us since the beginning of the Bitcoin and has very good wallets. The desktop and Android versions are mutisignature wallets, the IOS version has not been tested yet! I recommend the Protable version for Windows users, which is installed on a USB stick.
With this multisignature wallet it is recommended to create a backup of the wallet and export all private keys offline, print them out or encrypt them in a file. And again please don't forget to write all passwords for the wallet and the encrypted file for the keys into the password book! There were reports that the Electrum Wallet had been hacked, which is not directly true, as users were asked by a fraudster to change the node.
This allowed the fraudster to steal the credit of the gullible users.
In the network settings, auto-connect should be switched off so that no fraudulent node can steal the credit through a fishing attack!
The Samurai Wallet offers maximum anonymity through the transaction mixer Coinjoin, a multi-signature wallet for daily mobile undercover use. A Wallet with many technical functions, but without schnick schnack like price display or chart. Think Bitcoin only no fiat anymore!
Currently there is an unpublished version only available for Android. It is recommended to wait until the release of the full version, before a larger credit is received or sent!
The Wasabi Wallet is a desktop client, for anonymous use also by coinjoin like the Samurai Wallet.
It is also a mutisignature wallet that handles transactions via the gate network. Many users of Electrum have switched to Wasabi because of the attacks (see Electrum "Hack").
The Bluewallet is a HD SegWit Bitcoin Wallet, with integrated Lightning Wallet for Android and IOS, with many more functions. In order to use the Lightning Wallet, credit must first be transferred from the normal Wallet (e.g. Segwitt-W. etc.) to the L.-W. This Lightning Wallet is administrated however by castodial the user of this Wallet does not possess its Privatekey, to test and convince of Lightning it is enough for the first time!
Configuring Lighning Wallets correctly is a bit tricky, so there will be a Lighning Wallet tutorial in a few weeks to months!
BLockstream Green Wallet is an elegant Bitcoin Wallet, with complete control over network charges as well as Blue, Wasabi and Samurai wallets. This wallet supports API (Application programming interface) as well as many languages, the wallet uses an innovative multisignature model by generating two private keys, one is written locally by the user the second is stored encrypted on a server of blockstream to allow 2-factor authentication. Timelock smart contracts guarantee the user complete control. To be honest, I don't understand why 2-factor authentication is necessary, but since Blockstream is a trustworthy project, which bitcoin has always positively promoted by financing the CORE developers, this wallet should not be missing!