Cold wallet

Because the keys never touch an internet-connected device, most remote hacking techniques (malware, phishing sites, compromised browser extensions) simply can't reach them. Signing a transaction requires physically confirming it on the device itself.

For example, sending funds from a cold wallet takes an extra manual step — plugging in the device and confirming the transaction on its screen — compared to a single click in a hot wallet, in exchange for that offline protection.

A common mistake is assuming cold storage removes all risk. Losing or physically damaging the device without a separate seed phrase backup can be just as costly as a hack, since the offline protection only covers remote attacks, not loss or damage.