To provide wallet services the private key in the web wallet is stored on the server of the internet service provider who offers Bitcoin private key storage facility. Each service provider has different features to offer to the users. There are few providers that let users link their desktop wallet to their cell phones. The address of your computer is replicated on the device you want to link it with. This type of wallet is similar to the mobile wallet as web wallet also allows users to access their funds on the tip of their finger using the devices that are connected to the internet. However, there is a huge risk in making use of this wallet because there is a possibility that the company that is offering this service might access your private key stored using their network and gain complete access over your funds but this can be avoided by implementing this properly.
There are some web wallets that operate on the basis of an exchange in which case sometimes it has so happened that the exchange itself shuts down scamming people and taking all the funds one example is Bitcoin Code, you check this out for details. Below are some services along with the features they are offering:
- Coinbase: It has features like
- This has an exchange that is unified with the wallet
- This e-wallet is a one-stop solution to all the Bitcoin users
- Circle: It has the following feature
- Buying, selling, sending and receiving of Bitcoin can all be done by the user using this
- Blockchain: This is considered as one of the best e-wallet available.
- Strongcoin: It offers features like
- This provides the hybrid type of wallet.
- Before the users send their private keys to the servers it allows encryption of the users’ private key address.
- Xapo: The features offered by this is
- It is simple in nature.
- It offers cold storage.
- The cold storage vault has extra security added to it.
To start using desktop wallets the user should download it and complete the installation process on their system following which the private keys are stored on the system’s hard drive. This type of wallet does not depend on the third party unlike online wallets and mobile wallets making them very secure as they are very hard to be hacked and stolen. It has inherently insecure meaning there is less security that is inbuilt as they are connected to the network.