Understanding Wallet Addresses

Understanding Wallet Addresses

A wallet address is a unique identifier used to send and receive cryptocurrencies. It’s similar to a bank account number.

Example: Bitcoin addresses often start with "1" or "3," while Ethereum addresses begin with "0x."

Bitcoin: 1A1zP1eP5QGefi2DMPTfTL5SLmv7DivfNa

Ethereum: 0xe6574F02A9b88905C5d5CB4AE6b76C7dF20749e8

Best Practices for Wallet Security

1. Managing Private Keys:
   • Keep private keys secret and never share them.
   • Use hardware wallets for critical funds.
2. Avoiding Scams and Phishing:
   • Double-check URLs to prevent fake website scams.
   • Ignore unsolicited requests for your private keys.
3. Multi-Signature Wallets and Custodial Solutions:
   • Multi-signature wallets require multiple approvals for transactions, adding a layer of security.
   • Custodial solutions involve third parties managing your wallet—convenient but less control.