Bitcoin recently reached another all-time high and the bulls, whether Hodler or trader, have reason to rejoice! However, despite all the euphoria, one should always keep a clear head and look into the possibilities of safekeeping.
There are now numerous storage options, which vary greatly in terms of security, complexity and application. If you want to get a rough overview of wallets and storage, first check out our blog post "How to store Bitcoin - Best Practices" or read on now to get to know the card wallet better.
Today we will take a closer look at the following area of application: storing larger amounts of Bitcoin over the long term without regular withdrawals from the wallet. In this context, we would now like to explain why the Coinfinity Card Wallet fulfils this purpose excellently and what advantages it has compared to so-called hardware wallets.
The Card Wallet is therefore a cold wallet and was created for the purpose of long-term storage of Bitcoin and cryptocurrencies. "Cold" means that the wallet never has to be connected to a PC or smartphone, or to the internet, while the coins are being stored. This unconditional offline existence results in many security advantages, which we will discuss in more detail below. The card wallet was developed by Coinfinity, a competence centre for Bitcoin, and is produced in cooperation with the ÖSD. The private keys are also generated using Secure Entropy Technology, which ensures the secure generation of random numbers for the private key.
Most wallets require an active connection to a PC or smartphone at least for setup. In many cases, however, a connection is also needed for transaction or data retrieval. This need for accompanying hardware carries additional risks that can occur due to a technical error or a flat battery. The card wallet, on the other hand, functions completely autonomously, it does not contain any electrical components and is therefore not exposed to such risk factors.
Almost all hardware wallets require the installation of a software or app on the PC or smartphone. This software is usually used to set up and manage the wallet. This aspect also brings with it the potential for additional risks. Apart from the risk of encountering fake software with malware, one must always rely on the competence and performance quality of the software developers if the software needs an update. The card wallet does not require any software and therefore cannot be hacked - it is a real offline cold wallet.
Time and again we read tragic headlines like this: "German programmer loses password for Bitcoin worth 220 million euros" or "Forgotten password separates a supposed Bitcoin millionaire from his fortune". Since you don't need any software with the Card Wallet, you don't need to write down or memorise any passwords. This eliminates the risk of one of the horror scenarios described above.
The Card Wallet is manufactured by the Austrian State Printing Office using proven security features that are also used in passports. These features ensure that a card wallet cannot be copied or forged. After purchasing a card wallet, however, you never have to contact the ÖSD or Coinfinity again if you don't want to. The card wallet therefore functions in an absolutely decentralised manner.
In life, less is sometimes more - in the case of the Card Wallet, this is also true. Due to the simplicity of the Card Wallet, many problem areas and risk factors are simply eliminated. You don't have to be a crypto expert to keep your Bitcoin safe. It is enough to take good care of a card.