Learn · Lesson 2
Wallets.
A crypto wallet does not store coins the way a leather wallet stores cash. The coins stay on the blockchain. The wallet stores the keys that prove you control them.
Three things a wallet has
- Address A public string of letters and numbers, like an account number. You can share it so others can send to you.
- Private key The secret that signs transactions. Whoever has it controls the funds.
- Seed phrase Usually 12 or 24 words that can rebuild your private keys. Write it down offline. Never type it into a website or share it with anyone.
Two kinds of wallet
Custodial
You use an account with a provider, and the provider manages access and security for you under its own rules. It is easier to start, and you can usually reset a password. Access depends on the provider.
Self-custody
You hold the keys yourself, in an app or a hardware device. Nobody can move the funds without your keys, and nobody can recover them for you if you lose the seed phrase. (Some tokens, like many stablecoins, can still be frozen by the company that issues them.)
You may hear “not your keys, not your crypto” and “your keys, your crypto.” They are reminders that self-custody gives you direct control, and full responsibility. Both setups are informed choices: pick the one you can run safely.
Networks
Each wallet address belongs to a network. A Solana address and an Ethereum address look different and are not interchangeable. Some wallets support several networks at once.
Good habits
- Download wallet apps only from the official site or app store listing.
- Store the seed phrase offline, somewhere safe.
- Nobody legitimate will ever ask for your seed phrase.