Your Crypto lives Online! NOT Offline. – Prophetic Money
I noticed there is a lot of Misinformation and Confusion about how a Hardware Wallet like the Ledger works. So I just want to clear up the most misunderstood fact about a Hardware Wallet / Ledger.
Myth: Crypto lives offline in your Ledger…
This is so False! I can’t believe this false myth is still being spread around. All crypto lives “Online” on the Blockchain — regardless if you use Exodus (software wallet), Ledger (hardware wallet), or leave your crypto sitting on Binance (hot wallet).
Here is the information currently displayed on the Ledger website — which specifically states, crypto coins live on the blockchain and don’t exist on the Ledger device:
“When you own crypto, what you really own is a private key that gives you access to your coins. You should be the only one in control of this key — and you need to keep it secure. Your hardware wallet keeps your private key protected at all times in a certified secure chip.”
https://www.ledger.com/academy/hardwarewallet/why-you-should-choose-ledger-hardware-wallets
“Your cryptocurrency is stored on the blockchain and your private key unlocks the use of the crypto coins/tokens. If Ledger didn’t exist anymore, your cryptocurrency coins and keys would be safe and you could still access them.”
“You can retrieve your private key that your Ledger wallet was securing with a 24-word recovery phrase and it can be entered into a compatible wallet, meaning your coins are safe from loss if anything happened to Ledger.”
“The crypto coins live on the blockchain and the keys to your coins live where you choose (ideally, in a secure location where no one else can access). The coins themselves don’t exist on any device or platform, not even on Ledger devices . Your wallet only stores and protects your private key.”
https://www.ledger.com/academy/what-if-ledger-goes-out-of-business
Also, here is a great Article by Crypto Exodus Wallet team about keeping your crypto safe:
https://support.exodus.com/article/767-how-do-i-keep-my-money-safe
Here is a great point they make: “If you only read one sentence, make it this one: A hardware wallet is the biggest step you can take to secure your funds. If you were to go all the way to Tier 4: “The Fort Knox”, devoting an entire computer only to running Exodus Wallet in a secure environment, it would be about as effective as a hardware wallet.”
Prophetic Money