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<h3 id="strong-quick-take-strong"><strong>Quick Take</strong></h3><ul><li><a href="https://art-wallet.medium.com/which-crypto-wallet-is-the-best-d3a16b5cd400" rel="noopener noreferrer nofollow">Crypto wallets</a> do not store crypto, and crypto stays on blockchain, even if it’s burnt.</li><li>Many web extensions store private keys on users’ computers, which is<a href="https://art-wallet.medium.com/most-crypto-wallets-arent-secure-what-about-yours-2bfc3c39dba4" rel="noopener noreferrer nofollow"> risky</a>.</li><li>Being able to access crypto ≠ owning it.</li><li>Hardware wallets and two-factor authentication may be insecure.</li></ul><p>Need more mind-blowing facts and explanations? Check out the OneArt article.</p><h3 id="strong-1-strong-strong-your-wallet-is-just-an-interface-and-doesn-t-store-crypto-strong"><strong>1.</strong> <strong>Your wallet is just an interface and doesn’t store crypto</strong></h3><p>Crypto wallets work differently from digital wallets we’ve got used to. Actually, it doesn’t store your assets. It records your transactions stored on the blockchain and proves you have assets. And wallet’s interface allows users to interact with the blockchain, i.e., send, receive, swap, etc. So, it’s a way to access your crypto.<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/46ee3cc5541d4a2197582d5ade2d39d9.png" /><h3 id=""></h3><h3 id="strong-2-strong-strong-crypto-never-quits-blockchain-strong"><strong>2.</strong> <strong>Crypto never quits blockchain</strong></h3><p>Since your wallet doesn’t store crypto, it can never actually be withdrawn from the blockchain. It’s just moved from one address to another. Even when<a href="https://www.coindesk.com/learn/what-does-it-mean-to-burn-crypto/" rel="noopener noreferrer nofollow"> burnt</a>, coins don’t truly disappear. They’re removed from circulation and can’t be used. These tokens are sent to a <a href="https://etherscan.io/address/0x0000000000000000000000000000000000000000" rel="noopener noreferrer nofollow">burn address</a> (also, “burner” or “eater”) that doesn’t have private keys and can only receive tokens.</p><p>Can you imagine a cemetery of burnt coins? This one is a good example.<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/eb5e2c70781b43b8a0bdf05f5a361024.png" /><h3 id=""></h3><h3 id="3-crypto-wallet-and-address-aren-39-t-the-same">3. Crypto wallet and address aren&#39;t the same</h3><p>It may sound confusing because creating a wallet &#61; also getting an address. The address is a long string of characters indicating a &#34;place&#34; to direct your crypto to and from.  Like this one:<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/614ea4e2279f459591b2f40d42561cfb.png" /><p>Or this: <a href="https://twitter.com/art_wallet/status/1564190220790206465" rel="noopener noreferrer nofollow">https://twitter.com/art_wallet/status/1564190220790206465</a></p><ul><li>A wallet, as we mentioned earlier, is an interface to let you access your crypto. You can add as many crypto addresses as you want to your wallet via importing a seed phrase or private key.<br /></li></ul><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/84393f15c4164764b52209859754d411.png" /><h3 id=""></h3><h3 id="strong-4-strong-strong-many-browser-wallets-store-your-private-keys-locally-strong"><strong>4.</strong> <strong>Many browser wallets store your private keys locally</strong></h3><p>In June 2022, more than ten extension-based crypto wallets faced a <a href="https://art-wallet.medium.com/most-crypto-wallets-arent-secure-what-about-yours-2bfc3c39dba4" rel="noopener noreferrer nofollow">critical vulnerability</a> so that tens of millions of users could have lost their funds. The providers solved the issue before the vulnerability was exploited. But the problem with most browser-based wallets remains the same: they rely on an operating system that can be compromised.<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/763c0bcc19874b63905701ba3c4222d9.png" /><p>The point is these extensions store private keys locally on the user’s computer. It means if hackers access your computer file system ➡️ they can access your crypto. The most popular case is downloading <a href="https://thehackernews.com/2021/12/malicious-kmspico-windows-activator.html" rel="noopener noreferrer nofollow">malicious Windows activators</a> that let criminals get credentials for crypto wallets, credit cards, etc.</p><p>That’s why at OneArt, we don’t store sensitive data in the file system. Instead, the OneArt extension will use the data from your mobile wallet.</p><h3 id=""></h3><h3 id="strong-5-strong-strong-having-access-to-your-crypto-doesn-t-necessarily-mean-owning-it-strong"><strong>5.</strong> <strong>Having access to your crypto doesn’t necessarily mean owning it</strong></h3><p>Over <a href="https://decrypt.co/37171/lost-bitcoin-3-7-million-bitcoin-are-probably-gone-forever" rel="noopener noreferrer nofollow">1/5 of all BTC</a> has already been lost for good. And we bet those who can’t now access their assets wish they had remembered one of the main crypto rules — “Not your keys, not your coins.” It means you can’t be sure you truly own your tokens if you don’t own a private key.</p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/29a8dfd4880343d6b7de6aa670b40bb4.png" /><p><br />What if your exchange or custodial wallet provider suspends your account, gets hacked, or changes its terms and conditions? They keep control over your keys &#61; control your funds and technically can do whatever they want with your assets. Entrusting your money to a third party means you agree to the changes that party makes. You’d better be your own bank, so when it comes to security non-custodial wallets are the #1 choice.<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/1bec4f3a045f4acf8f82128ca1633a3c.png" /><h3 id=""></h3><h3 id="strong-6-strong-strong-a-piece-of-paper-can-also-be-a-crypto-wallet-strong"><strong>6.</strong> <strong>A piece of paper can also be a crypto wallet</strong></h3><p>If you store your mnemonic and/or private key on a piece of paper, it becomes your cold wallet. It’s a great way to <a href="https://art-wallet.medium.com/how-to-retrieve-your-hacked-crypto-wallet-760ab060ce49" rel="noopener noreferrer nofollow">safeguard your crypto</a> if no one else can access the data and you don’t lose it.</p><p>Paper wallets might be rather sophisticated like the one from the<a href="https://www.nytimes.com/2017/12/19/technology/bitcoin-winklevoss-twins.html" rel="noopener noreferrer nofollow"> Winklevosses</a> brothers (those depicted in “The Social Network” movie as Zuck’s covetous antagonists). They cut up their key printouts into multiple pieces and put them into deposit boxes across the country. To have the key, fraudsters would have had to steal all the pieces and find out the right combination.<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/6e109c089959446ca31667f781292ac4.png" /><h3 id=""></h3><h3 id="strong-7-strong-strong-fake-hardware-wallets-can-steal-your-crypto-strong"><strong>7.</strong> <strong>Fake hardware wallets can steal your crypto</strong></h3><p>One more so-much-effort idea. Last year, fraudsters gathered Ledger users’ data from a breach to send them <a href="https://www.coindesk.com/tech/2021/06/17/scammers-are-sending-ledger-users-fake-hardware-wallets/" rel="noopener noreferrer nofollow">fake hardware wallets</a> with a scam letter and a manual to set up a device. If a user had entered a recovery phrase, he might have lost his assets. Fortunately, he <a href="https://www.reddit.com/r/ledgerwallet/comments/o154gz/package_from_ledger_is_this_legit/" rel="noopener noreferrer nofollow">hadn’t</a>.<br /></p><img src="https://academy-public.coinmarketcap.com/srd-optimized-uploads/61c32dc8adca40f8bad0baff58420517.png" /><h3 id=""></h3><h3 id="strong-8-strong-strong-2fa-might-be-not-secure-at-all-strong"><strong>8.</strong> <strong>2FA might be not secure at all</strong></h3><p>Actually, you can find a bunch of ways to hack 2FA:<br /></p><react-video url="https://youtu.be/GexQHFt9fTE"></react-video><p>Or:</p><react-video url="https://youtu.be/QJL63_LO6c8"></react-video><p>Two-factor authentication via SMS, which is the most popular, is also among the most vulnerable. To reach your sensitive data, fraudsters can hack your mobile provider app, exploit<a href="https://www.techtarget.com/searchnetworking/definition/Signaling-System-7" rel="noopener noreferrer nofollow"> Signaling System 7</a> protocol, duplicate a SIM card, etc. To secure your wallet, consider installing apps such as Google Authenticator or using a<a href="https://www.techradar.com/best/best-security-key" rel="noopener noreferrer nofollow"> hardware key for 2FA</a> like Yubikey.</p><p>What struck you the most about crypto wallets? Do you have more crazy crypto facts to add? Let us know! And stay tuned for more kicky facts, stats, and how-tos!</p><p><a href="https://oneart.digital/" rel="noopener noreferrer nofollow">Website</a> |<a href="https://twitter.com/BNBCHAIN" rel="noopener noreferrer nofollow"> </a><a href="https://twitter.com/art_wallet" rel="noopener noreferrer nofollow">Twitter</a> |<a href="https://t.me/BNBchaincommunity" rel="noopener noreferrer nofollow"> </a><a href="https://t.me/artwallet_official" rel="noopener noreferrer nofollow">Telegram </a>|<a href="https://www.reddit.com/r/bnbchainofficial/" rel="noopener noreferrer nofollow"> </a><a href="https://www.linkedin.com/company/oneart/" rel="noopener noreferrer nofollow">LinkedIn</a> |<a href="https://www.buildnbuild.dev/" rel="noopener noreferrer nofollow"> </a><a href="https://apps.apple.com/us/app/oneart-nft-wallet-browser/id1600729515" rel="noopener noreferrer nofollow">OneArt app (iOS)</a><br /></p>

8 Crazy Things You Should Know About Crypto Wallets

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