/biz/ - Business & Finance

>>53179852
/biz/ is full of poor pajeets who legitimately can't afford to spend even $60 on security because they only have $100 in some shitcoin like $ICP or whatever.

Cold wallets aren't the same as hardware wallets, thought hardware wallets are frequently used as cold wallets. Anyone who actually uses crypto and doesn't just buy and hold it like a penny stock should definitely be using a hardware wallet with a system of wallets in place for security. The best setup is hot -> warm -> cold wallets, going further into a multisig if you have over $100k probably. They're important to use because you can safely plug them anywhere to transact if you're on the go, they don't expose your seed phrase to malware a computer may have, and they allow you to double check transactions before approving them in case you're being fooled by poor/hacked UIs. They're like a 2FA if you use them properly.

>Hot wallet
Spin these up whenever from metamask/coinbase wallet/rabby/rainbow/etc. They'll be used for minting crap, approving tokens, and general risky crap. Nothing should be in these but the funds you actually are using at the time.

>Warm wallet
This is where you have your storage of things that you may need access to from time to time but not everything. Use a hardware wallet for this, only interact with contracts you actually trust like Uniswap, Blur, Magic Eden, etc. Keep token approval to a minimum (transfer to a hot wallet if you're trading part of something valuable but keeping the rest to avoid draining it all.) This is where you'll DeFi on.

>Cold wallet
This should be a hardware wallet, or a multisig, but your own personal airgapped storage solution can work as well if you'd like. Ideally it's a different seed phrase than your warm wallet but not required especially if you're using passphrase protection which essentially generates a new phrase for you. This wallet is ONLY for in and out transfers. That's it. It's your vault that you don't interact with anything on.

SPY and SOX are approaching the 200 SMA