What is a Digital Wallet?
A digital wallet can be described as an electronic device or an online service that allows you to make electronic transactions between two parties.
In this article, I will share with you my experience on how to setup a digital wallet, and get the best use out of it. And best of all … it’s all done via your mobile phone.
There are several types of digital wallet. The most common are used via your smartphones with NFC technology. This allows for contactless payments such as Apple Pay, Google Pay, Samsung Pay, Android Pay, WeChat Pay, Ali Pay and many others.
An other type of digital wallet is synonymously used for many crypto-currency transactions. It’s some times referred to as crypto wallets. These can be used to store crypto-currencies such as Bitcoin, Ethereum, Ripple, Litecoin and hundreds more. Furthermore, there are also on-line and off-line wallets, with the main difference being on-line wallets allow you to trade/buy/sell, while off-line wallets are used mainly for storing and can be both software (App) or hardware based.
Pictured above is a hardware based cyrpto-currency wallet (off-line) in the form of a USB drive.
Jaxx Liberty – Crypto Wallet
Jaxx Liberty (formerly just Jaxx) is a multi-platform wallet created by Anthony Di Iorio, co-founder of Ethereum and founder and CEO of Decentral and Jaxx. There are loads of digital wallets available on the market, but I chose Jaxx Liberty for its security and robustness. Remember, this is just a standard digital wallet mainly used for storing your crypto currency – OFFLINE!
Pros:
- App available (iOS and Android)
- Web accessible
- No ID verification needed
- Store your crypto-currencies offline
Safer offline than on the exchange
Cons:
- Can not buy/sell your crypto-currencies
CEX.io – Crypto Currency Exchange
Digital wallets are great for storing your crypto-currency offline, however you can’t buy and sell your crypto-currencies using Jaxx Liberty. For this you’ll need to sign up to crypto-currency exchange such as Binance (JPN), CEX.io (UK), Coinbase (US) and others.
I opted to use CEX.io for selling your crypto-currencies, why? Because, I’m able to open an account and get verified pretty quickly without any hassle, for residents outside of US or UK.
Within minutes I was able to add my credit card details and start buying/selling crypto-currencies instantly.
ID verification required to remove limits.
Pros:
- App available (iOS and Android)
- Web accessible
- Open an account even if you are outside of US or UK
- Buy/sell crypto-currencies using your credit card/pre-pay card
Cons:
- No other forms of deposit or withdrawal – Only credit card/pre-pay card
Neat – Fintech Virtual/Online Bank
Neat is a virtual/online bank that provides an alternative banking solution over your traditional bank account. It’s suitable for both individuals and SMEs and does not require any credit checks.
I was able to open an account within minutes and receive my pre-paid Mastercard within days. There is no charge for customers opening an account or spending using the Neat card. Also, the Neat account does not have a minimum balance requirement, and you can top-up your card at any time.
This is the card I used for loading funds to my CEX.io account for buying/selling crypto-currencies. And it works fine. There are some credit/banks cards that does not allow you to buy crypto-currencies … so do check your bank first.
ID verification required to remove limits.
Pros:
- App available (iOS and Android)
- Web accessible
- No credit checks
- Pre-paid Mastercard can be used for buying crypto-currencies
- Easy top-up via bank transfer
- Supports payWave
Cons:
- Lacks support for Apple Pay/Google Pay (currently on their wishlist)
Final words.
Digital wallets are being used more and more these days. In fact one in five people in Asia are now using some form of digital wallet, and the numbers are growing around the globe including the UK, US and Europe.
This is partly driven by the massive increase of mobile phones over the past decade. People nowadays are doing a lot more using the mobile phones … things like online shopping, booking tickets, purchasing stocks and buying odd items at convenient stores. So what better to use than your mobile phone as a secure digital wallet, to do all of the above things – effortlessly.
With my current setup … I’m now able to venture into the world of crypto-currency via my mobile phone and trade/buy/sell cypto-currencies while on the move … anywhere, anytime, anyplace.
Use Neat Mastercard for purchases (worldwide), use Jaxx Liberty to securely store your crypto-currencies off-line, and use CEX.io to trade/buy/sell crypto-currencies instantly with no delays.
Disclaimer: Every investment is a risk! Always remember to only invest what you can and are willing to lose. I’m not a professional in crypto currency, nor am I giving you any proven professional advice. Invest at your own risk.
Watch out for my next article (coming soon) – How To Trade Stocks Using Your Mobile Phone. I will show you how to trade/buy/sell stocks and forex without going through a traditional bank. All of this can be done online using your digital wallet!
