Cold Storage vs Hot Wallet

Cold storage is a cryptocurrency security method where private keys are stored completely offline on devices never connected to the internet, eliminating remote attack vectors and providing maximum protection for long-term holdings through physical isolation from network-based threats. See also: Cold Wallet.

A hot wallet is any cryptocurrency wallet that maintains a constant or regular connection to the internet, including mobile apps, desktop software, browser extensions, and exchange wallets, prioritizing convenience and quick access over maximum security. See also: Hot Storage.