So you want some bitcoins ? but you don’t know how to store it, before buying any bitcoins you need a place to store them that place is called “wallet“.
Bitcoins is a digital currency, it means you have to store it digitally to anywhere. it will be just some bytes to store on any device. Once you install a bitcoin wallet it will create a unique wallet address for you. You can tell this address to your friends to receive bitcoins.
How a Bitcoin Wallet Looks
bitcoin wallet is a unique 34 character string. no one on the whole bitcoin network will have this address.
For Example: 3H4ZuLvKsZxG9vRtP4Hd7jPXbEVacUKvmH
There are different types of bitcoin wallet.
Web Wallet :
There are hundreds of website which provides free bitcoin wallet service. But this wallet is not much secure because your bitcoins will store online and you are trusting the third party. All you need to do is you need to create account on one of these website they will generate a unique bitcoin wallet for you. Some of trusted websites which are offering bitcoin wallet.
Software Wallet :
In this type of wallet you store bitcoins on your physical hardware like Computer, Mobile, Hard Drive etc. This is more secure wallet but you have to download all the transactions happening on the bitcoin network so you need few hundred GB’s to store them. The disadvantage is that you if your device get stolen or get corrupted you will loose bitcoins also if you don’t have backup of it.
you can research on google to find list of software wallets.
How Bitcoin Wallet Works:
It is similar to sending email and similar to send money online using internet banking. Lets take example of email, you need the receiver’s email address to send bitcoins and this email address is unique. You login to your email account and put receiver email address, enter message and press send Simple!. Same this way bitcoin wallet transactions happens. You need receiver’s bitcoin wallet address and the amount to send. But the difference is bitcoin wallet address changes after receiving it.
Every Transaction will be broadcasted to the bitcoin network and it usually confirmed within 10-20 mins. Think of bitcoin network is distributed public ledger. What is ledger then ? Ledger which records the credit and debit transactions. Same of bitcoin network which records which address has how much bitcoins. All this process is done by a process called mining. And the computers working in mining process are called miners.