What is Cold storage?
Keeping keys offline on a device that never connects to the internet.
A hardware wallet signs transactions offline, so a compromised computer cannot drain the funds by itself. The key never leaves the device.
Cold storage protects against remote theft, not against losing the seed phrase or signing a malicious transaction yourself.
Related terms
- Hardware walletSecurity
A dedicated device that holds keys and signs transactions after you confirm on it.
- Private keySecurity
The secret that proves ownership of a wallet; anyone holding it controls the funds.
- WalletWallets
Software or hardware that holds keys and signs transactions; it does not hold coins.