Bitcoin Cash wallet starter guide
Be your own bank!
As opposed to traditional currencies, Bitcoin Cash act as a fully digital coins. You can only manage cryptocurrencies like Bitcoin Cash with a tailor-made wallet. Consider it a digital bank account, with the caveat that you are in complete control of it. You do not have to go to a bank and ask or pay for it. Having a personal wallet gives you full control over your Bitcoin Cash assets.
We at SATOS find this particular aspect of cryptocurrencies extremely important, and that is why we do not manage our clients’ assets ourselves. Are you buying cryptocurrencies using our platform? Then we will transfer the funds immediately to your wallet so that you remain in charge of your own money. Take a peek in our beginners guide for more information and tips on how to store bitcoin safely!
What is a Bitcoin Cash – BCH wallet?
Now, it may sound very exciting to manage your asset portfolio without the need for a bank, but it is actually very straightforward. On this page, we will explain everything concerning the creation and management of your very own Bitcoin Cash wallet. Bitcoin Cash only exists in the digital domain. It is a coin that lives on the internet alone. You cannot store them at a bank, nor can you hide them in an old sock.
Bitcoin Cash is stored on a digital address on the blockchain, and it can only be transferred if you know the matching encrypted key. Are you not in possession of that key? Then you cannot do anything with the Bitcoin Cash stored on that address. Indeed, it is straightforward, and that’s also why it’s so effective. A Bitcoin Cash wallet allows you to manage your assets without the need for banks or other institutions.
What is the difference between different Bitcoin Cash – BCH wallets?
You will find plenty of different Bitcoin Cash wallets on the internet. We understand that it may appear overwhelming when you have only just started investing in cryptocurrencies. Which wallet is a good fit for you? To help you out a bit, we have listed the different wallet types and reviewed the pros and cons of all of them. We hope to make it a bit easier for you to make the right decision this way.
Generally, four types of wallets can be used to manage Bitcoin Cash. These are the mobile wallets, software wallets, hardware wallets, and web wallets. Every wallet has its features and properties. We will review them one by one. Make sure that you choose the correct cryptocurrency for the wallet. There are different wallets for different cryptocurrency for example: you can’t send Bitcoin to a Bitcoin Cash wallet.. For the specific wallets for cryptocurrencies see:
Mobile wallet
Are you thinking to opt for a mobile wallet? The advantage of mobile wallets is that they allow you to carry your cryptocurrency with you at all time. Installation is often free, and using a mobile wallet application is usually very straightforward. It is an affordable and easy way to store your Bitcoin Cash. A mobile wallet is well-suited for a starting investor. But are you considering to make very large investments? Then we advise you to opt for a safer option, for instance, a hardware wallet. You always carry a mobile wallet with you, which makes you vulnerable. You also wouldn’t feel comfortable having large amounts of cash in your purse while walking down the street, right?
Software wallet
A software wallet is a bit safer than a mobile wallet. It allows you to store your crypto assets on your computer and manage them from there. Although this means that you will not be carrying your Bitcoin Cash with you, it does enable safer management. Besides, it is easier to install a good virus scanner on your computer and to keep it secure than to install one on your mobile phone. Are you considering to make significant investments, or would you just like some added security? A software wallet may then be more to your liking! Do you need even more protection? Then it could be advantageous to purchase a hardware wallet.
Hardware wallet
Are you in need of top-notch protection for your cryptocurrencies? Then we advise you to purchase a hardware wallet. A hardware wallet is a physical device made for the sole purpose of managing cryptocurrencies. It offers the most secure way to manage your Bitcoin Cash assets. The only disadvantage to these wallets in comparison to mobile and software wallets is that they are not free of charge. The newest models generally cost a bit over a hundred euros. However, always ensure that you are buying a new hardware wallet, and not a used one! Always check if your purchased hardware wallet is new and has not been opened before.
Web wallet
The final option we review here is the web wallet. These wallets require you to make an account on a particular website or exchange. The primary disadvantage of such deals is that you are never entirely in charge of your cryptocurrencies this way. The security is as robust as the measurements implemented by the provider of the web wallet. That is also why we discourage you from using a web wallet to store your Bitcoin Cash.
How can I receive and send Bitcoin Cash?
We briefly discussed it before, but in principle, a Bitcoin Cash wallet only consists of two elements. The first element is the public key, which you use to receive Bitcoin Cash. This is your ‘recipient address,’ and this is the information you need to provide when buying Bitcoin Cash, as it allows us to see where we should transfer it to. You can compare this to an email address. You also hand this over to other people so they can reach you; there is no need to keep it a secret. Hence, it’s called a public key. The other component and perhaps the most important one, is the private key. This key allows you to send the Bitcoin Cash linked to your public key. As such, it is vital that you store this key somewhere safe and do not share it with anyone else.
Sending and receiving Bitcoin Cash with the keys mentioned above and a wallet application is often a piece of cake. To receive Bitcoin Cash, you should share your Bitcoin Cash recipient address with other people. But what does a Bitcoin Cash address look like? There are two types of recipient addresses for Bitcoin Cash. This was caused by the coin’s fork from Bitcoin. Initially, Bitcoin Cash addresses were almost indistinguishable from regular Bitcoin addresses, as they all started with a ‘1’. To prevent confusion, a new version was conceived, which has been in use since January 2018. From that moment onward, all Bitcoin Cash addresses start with either a ‘q’ or a ‘p’. It looks as follows: qqkzhz9nk4q79trg7sjarukr2a964hz3gvxdsnx2ng Of course, this is an example address. You should always only use your own address when receiving Bitcoin Cash.
Sending Bitcoin Cash is just as easy. You copy the address of the recipient of your Bitcoin Cash and paste it in the wallet application. Then you choose a fee, you click on the ‘send’ button, and the Bitcoin Cash will be disbursed to the recipient. Indeed, sending and receiving Bitcoin Cash with a wallet is extremely straightforward!
How can I securely store my Bitcoin Cash?
Even if you started with a modest investment, it is crucial to keep your crypto assets safe. It would be unfortunate if you lost your hard-earned money because you did not take the right security measures. To help you in this, we at SATOS provide you with a couple of security tips.
- It is vital to make a backup before you send Bitcoin Cash to your wallet. You don’t want to end up in a situation where losing the device you use for storing cryptocurrency also means losing the assets. Most wallets display a series of 12 words that allow you to restore your wallet when necessary. Write these down and store them in a safe location!
- Also, ensure that you install a good virus scanner on all your devices. This may set you back a couple of euros, but we can assure you that this is not merely a luxury
- Are you planning to send or receive cryptocurrency? Then always copy-paste addresses instead of typing them. Unfortunately, we still receive reports of users making typos. There is nothing we can do about this once this has occurred.
- You should also always provide someone you trust with access to your crypto assets. It would be unfortunate if everything you have gained becomes inaccessible when you are no longer around. It’s not something you want to think of, but it is vital nevertheless.
- Finally, always turn on 2FA (Two Factor Authentication) if your wallet app supports this. This provides you with that little bit of extra security that makes it much more difficult for hackers to gain access to your inventory.
Where can I install a wallet?
We have discussed why it is essential to have your own wallet, how you can manage your wallet, and which types of wallets are available. Now you probably want to install a wallet. You can find many installation manuals in our support environment. These cover the most popular wallets currently available. After installing a wallet you’re good to go, next step is to buy Bitcoin Cash and fill your new found wallet. Do you have any further questions? Our support team is always ready to help you!
