What is an external wallet?

Answer: All wallets not managed by LiteBit.

LiteBit allows you to save your cryptocurrencies in a central location; the LiteBit wallet. You can also send your cryptocurrencies to a different wallet (external wallet). This could be a third party or a wallet that you manage yourself.

A third party

You can choose to save your cryptocurrencies on external websites. These are websites that offer wallets. Take, for example, exchanges or other websites that allow you to save your cryptocurrencies. If you save your cryptocurrencies on a third party website, you do not have to download any software, and maintenance is taken care of for you.

Self-managed wallets

A self-managed wallet is a wallet with a private key that you manage yourself. A self-managed wallet can be downloaded or purchased in the form of a cold wallet.

Downloading a wallet

Some websites allow you to download a wallet. If you choose to download your wallet yourself, you are responsible for its safety and management. Because a blockchain processes large numbers of transactions, the wallet requires constant synchronization to stay up to date.

Cold wallet

A cold wallet is not connected to the internet. Despite this, it can receive transactions. You can only use it to send transactions when the wallet is connected to the internet, however.

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What is a LiteBit wallet?