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What is Software Wallet?

Crypto Terms Glossary: What is Software Wallet?

A software wallet is a digital wallet which stores a user's public and/or private keys, thereby securing the user's digital assets. Since software wallets are essentially computer programs, they are typically locally stored in a user's desktop or mobile phone and are remotely connected to the internet. Software wallets are oftentimes more convenient than hardware wallets, but are also generally more susceptible to hacks. Common types of software wallets include desktop wallets and mobile wallets. When using a software wallet, it is important for users to keep devices and software up to date in order to minimize the risk of a cybersecurity breach.

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