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Best Crypto Wallets for Online Gambling

Digital wallets are an indispensable part of cryptocurrencies and a tool you use to interact with the blockchain. Once you decide to deal with crypto gambling, choosing a convenient among the various crypto wallets is crucial. The reason is to ensure that you will have a smooth experience on your deposits and withdrawals from a crypto-friendly sportsbook. But, what is a wallet in cryptocurrency? The short answer is that it is a device that can be in a digital or physical form and serves as a place to store, send and receive your coins. There is one fundamental difference between crypto exchange and wallet.

An exchange is where you purchase and trade your crypto and can serve as a place to store your cryptocurrencies, whereas a wallet is a device or software where you should keep your coins. The reason is safety and access; Your coins are safer in your wallet because you are the only one accessing them. Exchanges have access to your wallet and this is not always a good idea. There are different types of crypto wallets and each category has its own most popular options. You can use hot wallets like Exodus and Metamask or cold wallets like Trezor and Ledger. In this article we will analyze the best crypto wallets, their beginner-friendly features, and their distinct use-cases.

Why Do You Need a Crypto Wallet for gambling

To put it simply, there are two major reasons why you need a crypto wallet for gambling. Firstly, you need a wallet to execute and store your transactions. Secondly, you should never send crypto directly from an exchange to a crypto bookmaker and vice versa. The reason for the latter is that major and trusted exchanges have very strict policies towards gambling. The best-case scenario would be that they lock you out of your exchange account and worst case, you lose any funds you have been keeping or sending there.

Coinbase, for example, is notoriously strict, having a zero-tolerance for gambling-related activities. You should read more about crypto exchanges and gambling in our guide. Wallets function the same way a physical wallet does, except for the fact that crypto wallets can be hacked or lock you out in case of a mistake. And if it is not clear by now, having a crypto wallet is much safer than keeping it in a bookmaker or exchange. Plus, you will need a wallet to successfully receive and send your coins to an exchange to convert them to fiat currency. Underneath, you can also see the top bookmakers for crypto gambling.

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What is the best cryptocurrency wallet for online betting

Even though there is no single answer for the best cryptocurrency wallet, there are several different types. Before getting into more technical details, here is a crypto wallet overview of our hand-picked selection for each category.

  • Desktop and Mobile Wallet - Exodus: If you want to play in Bitcoin Sportsbooks, you could go for a cryptocurrency desktop wallet, such as Exodus, which also offers a mobile version. Exodus is arguably the best option for beginners. Due to its simplicity and intuitive interface and support for multiple cryptos, make Exodus an ideal choice for gambling in different crypto bookmakers. It is also lightweight, meaning your device will not suffer from loads of additional data to download.

  • Web Wallet - Metamask: For Bookmakers that primarily focus on Ethereum, as well as USDC and USDT, you can simply add the Metamask wallet, which is a free extension to your browser. Like most web wallets, Metamask is light and its ease of use second to none. The only drawback is that it does not support Bitcoin and coins such as Cardano or Tron.

  • Hardware Wallet - Trezor model T: Perhaps our personal favorite, Trezor Model T is possibly the best hardware wallet, along with Ledger Nano X. These cold wallets feature undisputed safety. Meaning, you can not only enjoy all the benefits of the Best Crypto Bookmakers, but also use almost any crypto available for gambling. They also support more than three hundred coins, so you will definitely find your selection there. If you are a fan of mobile gambling, opt for Ledger Nano X, the only wallet with Bluetooth for wireless connectivity. All this sounds Greek to you? No worries, let’s go through all the crypto wallet types. 

What are the Different Types of Cryptocurrency Wallets

There are different types of cryptocurrency wallets, all with their strengths and weaknesses. The two main types are hot and cold wallets. The primary difference between them is whether they require a constant internet connection or not. Also, as a rule of thumb, hot wallets tend to be more practical but are more prone to security risks, whereas cold wallets are less practical but provide more security.

Crypto Wallets for Gambling

How does a Cryptocurrency Hot Wallet work

 hotA wallet is considered hot when it requires a constant connection to the internet. Hot wallets are ideal if you wish to execute many transactions. They are more practical for everyday use. However, the fact they access the internet all the time works both ways, meaning they can be accessed too, by hackers in particular. The funny thing is that the security of hot wallets depends entirely on the user behavior so think twice before you arbitrarily visit a suspicious website or open links in spam emails.

In short, you should only keep a small portion of your crypto in a hot wallet to avoid unwanted attention. Remember, everything is on the blockchain. So if you make a habit of leaving large amounts of cryptocurrencies in the address associated with your wallet, you essentially become a target for hackers. Best keep small amounts you aim to use in due time and place the rest of your crypto in cold storage or otherwise called cold wallets. Also, keep in mind that hot wallets are, to their vast majority, available for free.

There are lots of different variations of a cryptocurrency hot wallet. Let’s take a look at the basic types of this class of digital wallets. Remember, hot wallets are more convenient to use, but you must be extra vigilant on your internet activity and best not to keep large amounts of crypto in a hot wallet.

Mobile Crypto Wallets

Pretty self-explanatory, mobile wallets are hot wallets you basically download and install on your mobile phone or tablet. They are available in the form of applications and can be very handy in your Live Betting escapades. You simply load the application on your phone and send your crypto to your bookie in no time and for minimal fees. Mycelium is a perfect option for a mobile wallet, with a large number of loyal users and an excellent reputation.

Desktop Crypto Wallets

Desktop wallets are software you download on your computer. In a way, mobile wallets are desktop ones as well. You install the software on your device and tidily manage your transactions there. Exodus is a top-notch desktop wallet and a fantastic option for beginners due to its simplicity and popularity.

Web Crypto Wallets

Web wallets are extensions that you install to your browser and function as a wallet that allows you to send and effortlessly receive crypto. Metamask is arguably the most popular option in this category. Blockchain.com is also one of the largest and oldest web wallets around. Beware of imposters of the app, which will drain your wallet if you make the mistake of installing them instead of the official one.

Cold Storage Crypto Wallet: Hardware and Paper Wallets

coldCold storage options are wallets that do not require a continuous connection to the internet. These are physical devices that you can use to store your coins. They stay offline; therefore, the private keys used in your transactions become invisible to the prying eyes of a hacker. There are also offline software wallets that do the same job. This way, your funds stay safe and always offline. In fact, out of all the crypto wallet types, cold wallets are as secure as it gets.

The risks to cold wallets again depend on the user. The most important thing to do is guard your cold wallet’s private keys as best as you can. Because if you lose them, you will never be able to re-access them. Another relatively negative aspect of cold wallets is that because of the aforementioned process, it is significantly more tedious to execute many transactions through a cold wallet than it is from a hot one. To sum up, the two basic cold storage options are hardware and paper wallets.

Hardware Wallets

As described, hardware wallets are physical devices that do not require a constant internet connection. To their majority, hardware wallets are not free and you need to purchase one. It's not a coincidence that if you ask any crypto enthusiast about the best crypto wallet, according to them, they will immediately answer either Ledger or Trezor. These two giants of hardware wallets brands offer the most secure and popular options as far as cold wallets are concerned.

Paper Wallets

Paper wallets are perhaps the most traditional option for cold storage. Practically, they are printed documents from an offline printer, which contain the public and private keys in the form of a QR code. They have become obsolete due to the high risk of loss if damage or loss that paper entails. Still, they will always be the original wallet in the Bitcoin world.

Choosing the Best Gambling Crypto Wallet

We are sure the question you are asking yourself is, do I need different wallets for different cryptocurrencies. Luckily, nowadays, the answer is mostly no. Apart from the obvious coins like Bitcoin, Ethereum, Litecoin and the like, contemporary crypto wallets support many different coins. If your crypto escapades focus primarily on gambling, then you will be absolutely covered with any of the contemporary wallets. Remember that, apart from being the safest option, hardware wallets are the most likely ideal option for you, given they support multiple currencies popular in gambling, such as XRP, Tron, Dash, Dogecoin, Monero. The above examples will find support more easily in cold wallets than mobile or desktop wallets.

red arrowOnly use trusted options

You should always purchase or download a wallet from its original source, link, online shop and so on. There are countless scammers out there who place google ads with links to the supposed online shop or software download. If you make the mistake of installing or getting your wallet from there, it is almost guaranteed that you will lose your coins the moment you transfer them into these compromised wallets.

red arrowLook for Fee-Free wallets

So far, we have not mentioned the factor of fees when it comes to wallets. You should know that there are fees associated with any transaction you do in crypto. This does not exclude wallet transactions. Still, developers always strive to keep the fees to the minimum as an extra incentive to use their product. Meaning, unless you deal with very small amounts for your gambling, fees will not be an issue. Most of the time, they fall into the lower spectrum of the cost of using the network. Plus, they also offer the option of custom fees you can set for yourself.

red arrowGood UI goes a long way

A good user experience can not be underestimated when it comes to crypto. Sure, there are complex processes that are executed under the hood when you initiate a transaction. Still, you need a simple, responsive and informative interface to understand and see what you are doing. The most popular crypto wallets have a fantastic UI for beginners and a plethora of advanced features for experienced users.

Crypto Exchange vs. Crypto Wallet: What is the Difference

As we discussed, there is a big difference between a crypto wallet and a crypto exchange. Even though an exchange technically has a wallet, it is not entirely the same as your own cryptocurrency wallet. To explain, when you deposit anything, whether crypto or even fiat money, into your exchange account, this goes into something the exchanges call your wallet. This is basically the equivalent of your account in a bookmaker. Your account in the exchange is topped up with whatever currency you deposit. Read more on our guide about the Best Crypto Exchanges for Online Gambling.

Let’s focus on the case of depositing crypto there. One could argue that it is, all the same, to keep your coins in an exchange rather than transferring them to your own personal wallet. The main catch here is the private key to your cryptocurrency wallet and the distinction between custodial and non-custodial wallets in crypto. Exchanges and bookmakers are custodial options, whereas your wallet belongs to you and only you.

Custodial vs. Non-Custodial Crypto Wallets

There is an old saying in crypto: “Not your keys, not your coins”. This is one of the most important statements in the crypto world, both practically and philosophically. The reasoning behind it has to do with possessing a wallet’s public and private keys and sits at the core of how a crypto wallet works. A public key is like your bank account number. When you want others to send you money, you share a hashed version of the public key, which is your public address on the blockchain. Contrary to the traditional banking system, you and only you have access to it. This is when the crypto wallet private key comes into play.

Private Keys in crypto

Private keys are the only way to access the public address and the public key behind it. So when you leave your crypto in your wallet, you are the only person who can access it. On the contrary, when you keep your coins in a crypto exchange or a bookmaker’s wallet, you are not the one with the private keys, but they are. It is only through mutual courtesy, so to speak, that they allow you to access your funds within their wallet. Meaning in case of a catastrophic event, such as a hacking or bug in the exchange or bookie or simply a malicious intent on their behalf, you get locked out of your funds forever. The same reasoning applies to what the exchanges or bookies do with your funds whenever you are away from your account. They could be profiting off them or simply gamble with them.

Custodial and non-custodial options

crypto exchangeIn short, whoever holds the keys, controls the coins. This is called a custodian wallet because you surrender custody of your keys to them. We recommend you only use non-custodial options, where you do not need to surrender custody of your keys to anyone. Therefore you control whatever happens to your coins all the time.

Crypto Wallets Explained: Creating your Wallet

Let’s dive into how you can create and set up your crypto wallets. The process is relatively straightforward, but you need to be meticulous and follow every instruction to the letter. And always remember, keep your seed phrase stored somewhere safe.

  • Decide on your wallet: First, you need to decide on the wallet you will use. Determine whether it will be a web, mobile or desktop wallet or if you need to purchase a hard wallet online.

  • Buy or download it: As mentioned above, once you decide, go ahead and download the wallet or purchase it. Always use official links or websites from trusted sources. Don’t just click on a link you found on google. Do your due diligence.

  • Install the software: After downloading from the trusted source, install the relevant software. Keep in mind; even hardware wallets come with software you need to install.

  • Set up your account: This is perhaps the most crucial step. As soon as you install the software and run it, you will be asked whether to create or import a wallet. Assuming this is your first time, select create a new wallet. The system then will generate your seed phrase, which is a 12-24 word phrase that gives access to your public key. Copy it on a piece of paper or two and store them separately and safely. This is the only way to access your wallets if you lose your laptop and damage your hardware wallet device.

  • Deposit your crypto: Once you set up your wallet, you now have access to your public address. Use it to send and receive crypto there from your exchange, bookie, friend.

  • Important Note: Never send crypto directly to a bookie from your exchange account. Most cryptocurrency exchanges have very strict anti gambling policies. Meaning, at best, you will be kicked out from your account. Worst case, you will also lose your funds within that account because the exchange will never let you back in again.

Transferring Cryptocurrency to your Wallet

 You have successfully set up your wallet and have sent it to your favorite bookmaker. As far as moving crypto from exchange to a wallet, you now wish to transfer your gains back to your possession entirely. You want your funds to be safe with you and not in a custodial wallet. Let’s see the steps below:

  • In your crypto bookmaker, go to the withdrawal option and choose the coin you want to withdraw. Then enter the amount you wish to transfer.

  • Go to your wallet, select the receive option and copy the generated address.

  • Return to the bookmaker and paste the address.

  • Double-check the pasted information. Recheck it. Better be safe than sorry.

  • Confirm the transaction.

How to keep your Crypto Wallet Secure

We would like to add some tips on how to secure your crypto wallet. The number one rule is never to share your seed phrase with anyone. You should never store your seed phrase on your computer, phone or tablet, either in the cloud or as a photo or document on your device.

⏩ Always triple-check the link and website you are downloading software from, especially installing a web or mobile wallet app.

⏩ Do not disclose your seed to scammers, who promise they will send you back double the number of the crypto they ask you to send them. That, by the way, is the “Nigerian prince” scam version of crypto.

⏩ Some wallets provide the option to set custom fees. Don’t be tempted by lower costs too much because this increases the chances your transaction gets stuck unprocessed by the network, especially on busy days.

⏩ Many wallets provide the option to generate new addresses for each transaction. Use that feature. It makes tracking your steps on the blockchain by hackers more difficult.

⏩ Make a habit to bookmark every wallet website URL or online shop you use so that next time you do not risk googling again and risk getting scammed by impostors.

Our take on using Crypto Wallets in Online Gambling

Crypto Wallets for GamblingCrypto wallets are an essential part of any crypto process. You should pay attention to all the steps you implement to ensure their safety and not compromise with your coins. As far as using Crypto Gambling, we strongly recommend you go the extra mile and purchase a hardware wallet. Then, link it to a web or mobile wallet and transfer your crypto to your bookie from there. Remember to never send crypto directly from a bookie to an exchange to avoid losing your funds. And last but not least, remember, cryptocurrency wallets are not and can not be regulated, so it all depends on the crypto bookmakers you place your bets and the exchanges you choose to cash in and out. All in all, have fun but stay vigilant and you should be more than fine. For all the crypto betting sites, check the table below. 

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FAQ
Q: Should you use multiple wallets to store your cryptocurrencies?

Yes. It is a good practice to use multiple wallets. Furthermore, most wallets are free and using multiple wallets means using multiple addresses. This is good because you hide your activity from prying eyes.

Q: Does Coinbase allow gambling?

Absolutely not. Coinbase is infamous for its zero tolerance to gambling-related activities. You should never send any crypto to and from a bookie directly from/to Coinbase. They can and will lock you out of your account and you will lose your funds.

Q: Does Crypto still grow in a wallet?

Of course. The fact that you store your cryptocurrency in different wallets does not affect their change in value. Whether you keep them in an exchange, which we do not recommend, in your personal wallet or even at a paper wallet, your Bitcoin will still gain value over time.

Q: What is the point of a crypto wallet?

The point is that a crypto wallet is the only way to store, send and receive cryptocurrencies. For gambling, in particular, another fundamental reason is that a personal wallet is the only guaranteed way your coins will be accepted at an exchange.

Q: How do crypto wallets make money?

Even though most wallets are free, they do make money under a basic principle. Simple features the user finds very useful, such as token swaps within the wallet and the possibility to link a card, are all features offered by other companies with generous affiliated programs, rewarding wallets that implement them.

Q: Do I need different wallets for different cryptocurrencies?

Nowadays mostly, no. That being said, there is no single wallet to support all cryptocurrencies. The good news is that most hardware wallets support the vast majority of coins you will ever use for crypto gambling.

Q: What is a cryptocurrency wallet address?

A cryptocurrency wallet address is a hashed version of your public key. Think of the public key as the IBAN and the address as your bank account number. The public key generates the address, which you can use to store, send and receive a cryptocurrency.

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