Best Ethereum Wallet 2021: The Ultimate Comparison
After Bitcoin, Ethereum is the cryptocurrency with the second highest market capitalisation. Ethereum was released in 2015 and, like Bitcoin, is based on blockchain technology.
Ethereum is the system in which so-called Dapps or contracts can be created, executed and managed. The internal cryptocurrency is called Ether (ETH) and serves as a means of payment for transaction processing.
Ether is still one of the most popular coins and is considered one of the safest cryptocurrencies. Although ether was not spared from the bursting of the crypto bubble in 2018, it has since settled at a stable level.
If you are looking for a cryptocurrency that can also make profits in the future, Ether could be a good alternative. Before investing, however, one should first think about how one wants to store one's Ethereum in the first place.
If you want to get hold of Ethereum, you need a suitable Ethereum wallet. This digital wallet must meet various requirements.
Create Ethereum Wallet: Here's how
Using our test winner Wallet Etoro as an example, we would now like to show you how to set up an Ethereum wallet quickly, easily and securely.
Registration ("Ethereum Wallet Download")
This link will take you to the eToro registration page. Here you enter your details and email address and choose a password.
In the next step you transfer funds to your eToro account. This can be done via classic methods such as PayPal, credit card or instant bank transfer. Once your wallet is set up, you can also send Ether directly to and from eToro.
Once you have funded your account, you can buy Ethereum on eToro. After the purchase, you can transfer the Ether to your wallet.
To buy, click on the search bar at the top of your account and search for Ethereum. In the trading window you have to make sure that the leverage is set to X1. This is the only way to buy real Ether, which you can then transfer to your wallet.
To transfer, download the eToro app from the Playstore or Appstore and link it to your account. You can then transfer ether to your wallet via the app.
Ethereum Wallet Types
If you want to store your purchased ETH tokens securely, you can choose from a variety of different wallet types. We will briefly introduce the most important ones below.
Ethereum Desktop (Online) Wallet
Both types of wallets need to be secured by robust security measures, a hacker attack can result in theft from the Ethereum wallet by stealing credentials or PC access. Some of the most popular Ethereum desktop wallets include Mist, MyEtherWallet and Exodus. It is advisable to use private wallets such as MyEtherWallet, where you manage your own private keys.
Ethereum Paper Wallet
An Ethereum paper wallet offers a high level of security, as the private keys required to transfer tokens are only kept in paper form by the user. This is to prevent possible theft through hacker attacks.
The disadvantage of the Ethereum paper wallet is that it is time-consuming to use, because if you want to send or invest ETH, you first have to transfer it from a paper wallet back to an online wallet. A paper wallet is especially useful for Ether fans who want to hold their ETH for the long term with expected appreciation. The best way to set up an Ethereum paper wallet is with the Java-based open-source wallet MyEtherWallet.
Ethereum Wallet Android App
Ethereum Wallet as an Android app can be easily installed via the Play Store. Such a mobile wallet offers two important advantages: Convenience and availability. On your Android device, you can send and receive ETH tokens at any time and track their performance. The most popular Ethereum wallets for Android include ZenGo, TrustWallet, Jaxx Wallet and Atomic Wallet.
TrustWallet and Bread Wallet are particularly popular because they also support the storage of ERC-20 tokens issued during ICOs. Also innovative and popular is the Android wallet MetaMask, which has been available since September 2020 and is published by blockchain pioneer ConsenSys. MetaMask is also known for its integration with decentralised exchanges and Ethereum-based DeFi projects.
My Ethereum Wallet
With the sounding name MyEtherWallet, this open-source, private Ethereum wallet has become one of the most popular cyber wallets for Ethereum fans. After setting up with Seed-Phrase, it is recommended to install the browser plugin "MetaMask" in Chrome. This can be used to access the MyEthereumWallet, connect to DeFi services, or even participate in Initial Token Offerings.
The Ethereum wallet supports both Ether and all ERC-20 or ERC-721 tokens. In addition, the wallet, abbreviated as MEW, can also be integrated with hardware wallets from Ledger or Trezor. Since September 2020, it is now also available as a mobile wallet for iOS and Android. Anyone who wants to nibble away at the DeFi trend should use My Ethereum Wallet.
Ethereum Mist Wallet
The Ethereum Mist Wallet is an official GUI wallet developed and published by the Ethereum Foundation. It is a desktop wallet for Windows, Mac and Linux, the current version of which must be downloaded from GitHub. Via an integration with Shapeshift, new ETH tokens can be purchased via Bitcoin within the wallet.
Since the entire blockchain is downloaded with every update, using the wallet is somewhat slow and system-intensive. A practical feature is that backups of the wallet can be created. For beginners, the Ethereum Mist wallet is less suitable, as the setup is somewhat tedious and complex. Due to the security risks of a desktop wallet, large amounts should not be stored.
Ledger (Hardware) Wallet Ethereum
With a hardware wallet from Ledger, the French wallet specialist, you can securely store your ETH offline, which is also referred to as "cold storage". The Ledger Ethereum wallet looks like a USB stick, and the tokens are stored on a modern chip. Because the wallet is not connected to the internet, you are protected against token loss through hacker attacks.
Risks are either physical theft, loss or damage of the hardware wallet. The disadvantage of this Ethereum wallet is that it is somewhat complex and tedious to set up for beginners. Especially users who want to store large amounts of ETH for a longer period of time should use the Ledger Wallet for Ethereum.
Ethereum Wallet Comparison
You can choose between different methods of storing your Ether. You can use a hardware wallet, for example Trezor. You can also use desktop wallets, online wallets, mobile wallets or a paper wallet.
Each type of wallet has different advantages and disadvantages. It is now necessary to determine which wallet is most suitable for Ether owners.
Since the various wallets differ significantly in terms of compatibility, user-friendliness, security and customer support, a separate comparison will be made for each of these points.
Our test is intended to show which type of wallet is best suited for the cryptocurrency Ether in order to enable the investor to make a good decision.
1. Ethereum compatibility
If you decide to use an online wallet, you have to make sure in advance that the chosen provider guarantees the possibility to store Ether.
Reputable brokers are compatible with Ethereum. Hardware wallets must be specifically designed for Ethereum, an example of which is Trezor.
A paper wallet is generally compatible with any cryptocurrency, as you simply write down the seed on a piece of paper. There are also some mobile wallets that specialise in Ethereum.
Most desktop wallets are also compatible with the cryptocurrency. Since Ether is the second largest cryptocurrency by market capitalisation, it is not surprising that all types of wallets meet the compatibility requirements in principle.
You should just make sure that the wallet is not highly specialised in another cryptocurrency.
Anyone who invests in Ether also wants to trade with the coins in the vast majority of cases. Therefore, a cumbersome transfer from one platform to the other can be considered less user-friendly.
Therefore, a paper wallet is not advisable. Transferring to a piece of paper and back requires time that could be saved. Hardware wallets are also rather cumbersome here, as you always have to connect the USB stick and transfer the seed before you can start trading.
3. Security and backup functions
The security of one's Ether should be a high priority for every investor. A paper wallet can be a good alternative here, since a piece of paper cannot be hacked, of course. However, the risk of physical damage remains.
These two properties are also provided by hardware wallets. Online wallets from reputable providers can also be classified as very secure. Mobile wallets and PC wallets, on the other hand, are not recommended in terms of security.
The danger of attacks is highest here and therefore it requires a lot of know-how to secure one's wallet against potential hacker attacks.
4. Customer support
Newcomers in particular should attach great importance to customer support. Here, any questions can be clarified without having to first read through the relevant forums. In this respect, online wallets are clearly ahead.
Reputable providers have live chats where any questions can be clarified quickly and easily. Hardware wallets, mobile wallets and desktop wallets cannot keep up with this, as it can sometimes be inconvenient to contact customer service.
The latter is, of course, completely lacking with paper wallets. Here you have to get all the information yourself when questions arise regarding the Ether wallet.
Ethereum Wallet: The Conclusion
We wanted to find out which wallet is most likely to be recommended if you want to get your hands on your own Ethereum.
The bottom line is that an online wallet from a reputable provider is probably the best choice.
Here, a high level of security is guaranteed, customer support is usually available live and you can easily trade your Ethereum without having to transfer the seed from one platform to the next.
The only disadvantage is that the coins are stored externally.
Therefore, when choosing a broker, you should carefully check whether it is reputable. We recommend our test winner eToro.
Hardware wallets, such as Trezor, can also be a good alternative, even if the handling might be impractical, especially if you plan to trade your Ether frequently.
If, on the other hand, you want to store your coins for a longer period of time and trade them infrequently, a hardware wallet could be the right decision.
So it depends not least on the strategy that the investor is pursuing, which wallet is most likely to come into question for him. With an online wallet, however, you should always be on the safe side.
Top Ethereum Wallet 2021: eToro
For us, the best Ethereum wallet 2021: eToro. The crypto exchange offers a real wallet that can be used both online and mobile and is directly linked to the platform.
The English term wallet can be translated as wallet or purse. An Ethereum wallet is an access point to decentralised applications of the Ethereum blockchain. It is considered one of the most secure digital wallets for storing Ether (the payment method for Ethereum transaction processing). Ethereum, like Bitcoin, is based on blockchain technology.
These criteria make a good Ethereum wallet: Security, privacy, ease of use and installation, compatibility with operating systems.
The providers can be roughly divided into two groups: Full Wallet and Light Wallet.
eToro Wallet, MyEther, Atomic, Exodus, MetaMask, Ledger Nano S