What is a crypto wallet?

A cryptocurrency wallet is a software program that interacts with the blockchain and stores private and public keys to enable users to receive or spend cryptocurrencies. The cryptocurrency itself is not in the wallet, it does not get stored in any single location or exist anywhere in any physical form. When a person sends you Ether or any other type of digital currency, they are essentially signing off ownership of the coins to your wallet’s address. To be able to spend those coins and unlock the funds, the private key stored in your wallet must match the public address the currency is assigned to. If the public and private keys match, the balance in your digital wallet will increase, and the senders will decrease accordingly. There is no actual exchange of real coins. The transaction is signified merely by a transaction record on the blockchain and a change in balance in your cryptocurrency wallet. If you want to use Ether or any other cryptocurrency, you will need to have a digital wallet.