Wallets

Unlike traditional wallets, cryptocurrency wallets do not hold physical currency but rather store the digital keys that allow you to access and control your cryptocurrency holdings. These keys are used to sign transactions on the blockchain network, which is a decentralized ledger that records all transactions on the network.

There are different types of DeFi wallets, such as software wallets, hardware wallets, and web-based wallets, each with their own advantages and disadvantages. For example, software wallets are convenient and easy to use but are more vulnerable to hacks and security breaches. On the other hand, hardware wallets offer better security but may be less convenient to use.

It's important to note that when using a DeFi wallet, you are solely responsible for the security of your assets. You should always keep your private keys secure and not share them with anyone.