Best non-custodial wallets for cryptocurrencies 2023

Cryptocurrency adoption is on the rise, and with it comes the vital question of how to securely store the keys that unlock these digital assets. While enthusiasts can point to the best non-custodial crypto wallets for maximum security and ownership, it can be intimidating for beginners to dive in without understanding the importance of storage. To begin with, cryptocurrency storage falls into two broad categories: vaults and non-vaults.

Custodial vaults are wallets that transfer control of your private keys to another party. You trust a third party to keep your assets safe and give you access when you need to exchange or move them, which is similar to keeping money in a bank. While custodial wallets provide convenience and ease of use, trusting someone else to secure your assets is at risk of losing them.

A more secure alternative is a non-custodial wallet. In this case, you have full control over your private keys and, by extension, your digital assets. But if you are in charge of your cryptocurrency, you are solely responsible for the safety of your keys and the safety of your assets.

In this article, we'll take a look at the best non-custodial wallets and the features that make them the best.

What is a non-custodial wallet?

A non-custodial wallet allows you to own and control the private keys of your cryptocurrency. This gives you full access to your funds.

The basic principle is that users control the private keys to their accounts. The non-custodial wallet provider should not have any access to the keys, and therefore cannot freeze or manage your assets in any way. To clarify, wallets do not actually store cryptocurrencies. They simply store private and public keys and provide an interface for users to interact with their digital assets, which are decentralized on a public ledger or blockchain.

This raises the question: Why use a non-custodial wallet?

While allowing a third party to manage and secure your cryptocurrencies is convenient, transferring control can result in you becoming a victim of fraud, hacking, and theft.

Consider the cautionary tale of Mt. Gox, a leading bitcoin exchange that filed for bankruptcy in February 2014. Mt. Gox reported missing about 850 bitcoins belonging to customers and the company, which at the time were valued at about $000 million. A security audit revealed that the missing bitcoins were stolen directly from Mt. Gox since 450.

Another storage disaster was the story of FTX, which used billions of dollars of user funds and eventually filed for Chapter 11 bankruptcy, resulting in huge losses for users who had funds in FTX. After this incident, the sale and use of non-custodial wallets skyrocketed.

In addition to the catastrophic risk of loss associated with the transfer of control of your assets to a third party, as was shown in the case of Mt. Gox and FTX, there are other reasons to use a non-custodial wallet.

A custodial wallet provider may set a maximum withdrawal limit or unilaterally set fees for the use of its services. You may temporarily lose access to your cryptocurrency if the platform experiences technical problems. Essentially, your assets are in someone else's power if you don't own your keys. After all, as they say, "not your keys, not your coins."

On the other hand, a custodyless wallet gives you complete control over your hard-earned digital assets. You set your own rules and do whatever you want with your funds. However, you are solely responsible for the safety of your keys. Therefore, choosing the best wallets without guardianship is very important.

What is the difference between hardware and software non-custodial wallets?

Hardware Wallets are safe and simple devices that store your cryptocurrency offline so that you cannot be hacked. Also known as cold wallets, they look like small external drives and are not dependent on online exchange platforms. Hardware wallets require a device connection before you can access your cryptocurrency.

Software wallets are applications that can be downloaded to a computer or mobile device. They are also called hot wallets because they operate online and have more vulnerabilities than cold wallets. They store your private keys and provide you with an interface to trade and manage cryptocurrencies. Software wallets are encrypted and require a password to access the keys they store, but they are vulnerable to malware attacks.

When it comes to deciding between one of these best non-custodial wallets, investors tend to have different opinions. Due to their offline status, hardware wallets are more secure than software wallets. Thus, these crypto wallets are better suited for storing large amounts of cryptocurrencies. On the other hand, software wallets are connected to the Internet, so theoretically there is a risk of possible hacking or attack. However, they offer more convenience and are well suited for users who transact frequently and need quick access to their assets.

Best non-custodial hardware wallets

The principle behind the best storageless hardware wallets, which makes them superior in terms of security, is that they are completely isolated. This separates them from your very vulnerable computer or connected device. Here are hardware wallets worth considering.

Ledger

When it comes to the best non-custodial wallets, Ledger is the most recognizable. It is a well-known and reputable company behind the popular Ledger hardware wallet suite. The Ledger wallet is accessed through Ledger Live, a native free desktop app that allows you to send and receive cryptocurrencies, check your balance, and gives you full control over all Ledger devices. Ledger currently offers two hardware wallets: Ledger Nano X and Ledger Nano S Plus.

Ledger Nano X: This is Ledger's flagship wallet device. It features the ability to manage over 100 cryptoassets concurrently and supports over 1800 tokens. The Ledger Nano X has an OLED display and is Bluetooth enabled, which means you can confirm your transactions on the go without the hassle of plugging in a USB cable.

The Ledger Nano X is a little pricey at $149, but it provides solid protection for your digital assets in a sleek and durable package.

Ledger Nano S Plus: With an affordable $79 price tag, the Ledger Nano S Plus offers the best value for money. It has a user-friendly interface, clean design and provides support for a wide range of cryptocurrencies.

KeepKey

TST Wallet KeepKey is a well-designed, albeit relatively large, hardware wallet from ShapeShift. It has an easy to use interface in a durable, reliable device. A distinctive feature of KeepKey is the cryptocurrency exchange in the wallet, which allows you to exchange between cryptocurrencies without resorting to the services of an external exchange.

KeepKey stores all private keys using the industry standard BIP32 protocol. For added security, KeepKey requires manual authorization of each transaction using a button on the device.

KeepKey is currently on sale for $ 49, which is a great deal considering the wallet is multifunctional and newbie-friendly.

On the other hand, KeepKey only supports 40 cryptocurrencies, which is far less than the other top non-custodial wallets on this list for storing cryptocurrencies.

Trezor

Trezor has pioneered the best non-custodial wallet market with its hardware crypto wallet technology and has a solid reputation in the industry. Trezor wallets are unique in that they are the only hardware wallets to offer built-in support for ERC-20 tokens. On the other hand, firmware updates on Trezor wallets often result in the entire wallet being deleted. This can be intimidating for a new user; however, you can easily enter your backup phrase and quickly restore your wallet. Like Ledger, Trezor offers two hardware wallets: Trezor Model One and Trezor Model T.

Trezor Model T: The Trezor Model T has the same features as the Trezor Model One, minus the newly introduced large touch screen. The touch screen is an important upgrade as it allows users to enter a seed phrase directly on the device without going through a computer. Your computer may be infected with malware, making it very risky to type your seed on it. By only allowing you to enter your seed phrase through the touchscreen, the Trezor Model T eliminates all threats of hacking because the device is not connected to the Internet and therefore not infected with malware. The Trezor Model T also supports more coins than the Trezor Model One. However, it is a bit pricey at $219.

Trezor Model One: The Trezor Model One is the earliest hardware wallet on the market and still the most established. It has a clean design with a user-friendly interface and supports over 1 cryptocurrencies. You can get the Trezor Model One for $000, which makes it quite affordable.

Lattice1

Developed by GridPlus, Lattice1 allows users to manage their crypto assets through a simple and secure interface.

Users will never lose access to their keys as the smart contract markup is human readable and accessible through a secure screen and a dedicated secure enclave. The cryptocurrency stored in your Lattice1 can be accessed by connecting it to a compatible software wallet such as MetaMask.

To avoid fraud, it is important that any transactions that users sign are in human-readable markup format, and that the Lattice1 touchscreen displays verification requests with easy-to-read information. In addition to improving interaction with smart contracts, this more expressive interface also supports NFTs.

Overall, Lattice1 allows users to continue using MetaMask as usual, but with the added security of hardware-based encryption.

AirGap

AirGap is a hardware cryptocurrency wallet system that uses smartphones as hardware devices. This is a two-step system that involves using your old smartphones that are not connected to the Internet to generate private keys and store and authorize transactions. A regular internet-connected smartphone is used to prepare or initiate transactions, which are then signed or authorized by the old smartphone. This system provides a high level of security for your digital assets.

AirGap operates through two applications - AirGap Vault and AirGap Wallet. AirGap Vault is installed on an old smartphone. This smartphone does not need to be connected to the Internet, which makes it “airy” and therefore more secure. AirGap Wallet is installed on your ordinary modern smartphone with an Internet connection and is used to initiate transactions and provide an interface to view your portfolio.

You can use these two apps on the same phone, but for more security, it's better to use two different phones. Both apps are available on iOS and Android.

bitbox

bitbox is a multi-sig, simple hardware wallet designed specifically for beginners. It features a unique backup system that uses a micro SD card rather than a mandatory seed phrase. This makes the backup process one of the fastest on our list of the best non-custodial wallets. Other cool features include quick setup, an intuitive interface, and a practical in-app guide.

Compatible with Windows, Mac and Linux operating systems, BitBox currently supports BTC, ETH, ETC, LTC and ERC-20 tokens.

BitBox keeps your digital assets safe with a host of excellent security features. Each transaction must be verified manually using the touch button on the device. You'll also get two-factor authentication (2FA) and AES-256-CBC encrypted USB communication. The compact BitBox device sells for $149.

COLDCARD

COLDCARD is a multisig wallet from Coinkite, one of the oldest bitcoin companies. The COLDCARD Wallet is a Bitcoin-only vault, equipped with micro SD backup, decoy wallets, pins, lockout timer and other great security tools.

At just $120, COLDCARD boasts of being the only hardware wallet that supports air-gapped operation. This means that you can set up your crypto wallet, fund it, and transfer cryptocurrency without having to connect your device to a computer or internet-connected device.

The device is bulkier than most competitor hardware wallets, but it is large enough to fit a full numeric keypad, making COLDCARD easy to use. This makes it an acceptable choice among our top non-custodial wallets for those who prefer the convenience of hardware wallets.

Best software non-custodial wallets

While software wallets may be less secure than hardware wallets, their advantage lies in convenience. Users can freely buy, exchange and make purchases with cryptocurrencies without leaving the app. In addition, software wallet apps are free to download, so they are ideal for beginners on a small budget.

Dappradar

MetaMask tops our list of the best non-custodial Web3-wallets thanks to the incredible ease of setting up a wallet. As a software crypto wallet that is also a browser extension, MetaMask is available in popular browsers such as Firefox, Chrome and Brave. MetaMask only supports the Ethereum Virtual Machine (EVM) compatible blockchain and only stores keys for Ethereum and other ERC-20 and ERC-721 tokens. MetaMask also allows users to interact with DApps built on the Ethereum blockchain.

Using hierarchical deterministic settings to help users back up their accounts, these words and seed phrases provide convenience when you lose access to your MetaMask wallet. The user can safely recover lost account information by entering the seed phrases in the correct order. The MetaMask code is open source, which means that it is constantly being improved. Another great feature is the built-in purchase of coins. MetaMask is connected to two exchanges, Coinbase and ShapeShift, where users can trade Ether, ERC-20 and ERC-721 tokens.

In terms of security, MetaMask offers password-encryption of your private keys, which are stored in your browser and not on a remote server. This gives you full control over your private and public keys. However, it is still not as secure as a hardware or paper wallet since it is online. MetaMask is best used to store the small amount of cryptocurrencies and tokens needed to explore DApps on Ethereum.

There are also rumors of an upcoming MetaMask token that could go live for MetaMask users.

XDEFIA

XDEFIA is a multi-chain wallet where users can securely store, transfer and send cryptocurrencies and NFTs on 15 blockchains.

What makes XDEFI user-friendly is that it is connected to several popular blockchains including Thorchain, Avalanche, Terra, Bitcoin and of course Ethereum, allowing users to perform unlimited cross-chain swaps and bridges for 10+ assets.

For NFT lovers, users can also easily showcase their Solana, Ethereum, Avalanche, Fantom, Arbitrum, Polygon and BNB Smart Chain NFTs in a single, fully customizable gallery.
XDEFI Wallet has been reviewed by Kudelski Security and its security architecture is considered the best in its class.
The wallet also has a token known as XDEFI that can be staked by locking it up to receive additional rewards that come from the fees earned from users making exchanges on the wallet. Each XDEFI member also receives a fireproof token (FFT) known as “bXDEFI”, which is short for “XDEFI Badge”, and symbolizes their locked position in terms of size, bonus multiplier and minimum duration. This NFT is also reflected in the XDEFI wallet.

Gnosis Safe

Gnosis Safe is a multi-sig wallet in which users have full control over the management of their crypto assets, including the choice of implementing 2FA for all transactions (hardware wallets, EOA-based wallets, paper wallets, or a combination of both).

This wallet is great for users who only have Ethereum assets and value multi-signature security. Gnosis Safe can store your ERC-20 tokens, ERC-223 tokens and ERC-721 collectibles. The multi-signature and 2FA features of this wallet are particularly well-received by users. The ease of use of this cryptocurrency wallet, as well as its ability to lend, earn, and store digital currency, make it a useful tool. There is a desktop version, but there is also a mobile app available on the Google Play Store and Apple App Store for those who prefer this format.

Gnosis Safe users have the option to use the platform's hot storage in addition to connecting external offline storage. However, to use it, users need to pay a deployment fee. Payment currently requires 0,005 ETH. There is a trial version that users can try out for free before making a final purchase decision.

The fact that the Gnosis Safe wallet can only store Ethereum-based assets is a potential downside, however it is currently also available on the Optimism, BSC, Polygon, Avalanche and Arbitrum platforms.

Coinomi

Coinomi is a secure, multi-chain cryptocurrency wallet that supports 125 networks and over 1 digital assets. It allows transfers through SegWit, which makes transactions easier.

Coinomi offers direct DEX (token exchange) trading, a built-in exchange, and DApp and Web3 support. In addition, Coinomi is available in more than eight languages.

Coinomi's key security feature is why most users call it one of the best non-storable wallets for storing cryptocurrencies. Coinomi stores your private keys locally on your device, not on their online servers. This way, your keys are completely under your control and are not stored on a network that can be hacked. Protecting your assets is as easy as keeping your device away from malicious connections.

The use of passwords further enhances Coinomi's superior security. Even if thieves steal your device, they won't be able to gain access without the password you set.

zengo

zengo claims to be the first of the best non-wallet software wallets supporting multiple cryptocurrencies. ZenGo Wallet is available on iOS and Android and is easy to set up and use. ZenGo supports Bitcoin, Ether and Binance coins and allows you to trade or earn interest on these cryptocurrencies for a fee. It also provides the convenience of buying cryptocurrencies with a credit card or Apple Pay.

When compared to other top non-custodial wallets, ZenGo stands out with its threshold signature scheme. This is an innovative, high-level security feature that splits your private key into two parts. One part is stored on the servers, and the second part is stored on the user's phone. A transaction can only be carried out when these two parts interact.

ZenGo stores a portion of the user's private key in its cloud storage and uses facial recognition to recover the key if the user loses their device.

The ZenGo app offers these innovative security features in a clean, simple user interface designed with newbie in mind.

BitPay

BitPay is an open source bitcoin wallet that combines a high level of security and convenience for trading and storing BTC. It allows users to buy and sell Bitcoin through an integrated exchange. What's more, the BitPay wallet features a BitPay Visa Card that converts BTC to USD and is accepted worldwide by merchants and ATMs. It is this Visa Card that makes BitPay the best choice among the best non-custodial wallets if you regularly transact cryptocurrencies.

BitPay offers a multisig feature that allows the user to confirm transactions across multiple devices, maximum 12. BitPay also supports 2FA authentication with Google Authenticator and protects buyers with Payment Protocol to further secure their assets Payment Protocol protects payments made to unknown addresses. checking them out.

The BitPay app is well designed and intuitive making it suitable for newbies. Built-in exchangers and Visa Card are ideal for users who make frequent transactions.

BRD (breadwallet)

Do you mind trying one of the best non-cryptocurrency wallets that is optimized for mobile use? BRD (formerly Breadwallet) is a mobile-only wallet designed for both Android and iOS. Although it is a bitcoin wallet, BRD allows you to convert your BTC into ETH, BCH and ERC-20 tokens. The app is well optimized for mobile devices and easy to use. However, under the simple shell hides many advanced security features.

BRD uniquely uses Simplified Payment Verification (SPV), which connects users directly to the Bitcoin network. In addition to improving the speed of transactions, such a direct connection increases security, since there are no servers that can be hacked. Other important security features include AES hardware encryption and code signatures, Touch ID and a 6-digit PIN for added security.

Edge

Edge is a mobile-only software wallet available on iOS and Android. The app is easy to use and offers convenient features with ShapeShift integration such as buying, exchanging and spending cryptocurrencies.

Overall, Edge is one of the best non-custodial wallets as its security features are cutting edge. Client-side encryption ensures that your data is thoroughly encrypted on the device before it reaches the wallet servers. This makes Edge immune to server-side attacks and malware. In addition, only the user has access to account information. Edge supports the popular Google 2FA authenticator, which means that if attackers know your password and username, they still won't be able to access your account.

Edge supports over 31 coins. It has all the necessary security and privacy features, making it one of the best non-storable wallets for storing cryptocurrencies.

Trust Wallet

Ask anyone what is the best non-custodial wallet they recommend and you will most likely hear about Trust Wallet. This is the official Binance wallet designed for convenience. Trust Wallet makes it easy to manage and secure your cryptocurrencies. It is available for iOS, Android and desktop computers.

Trust Wallet offers users many options for buying cryptocurrencies, including cards, and supports a wide range of cryptocurrencies. You can bet cryptocurrency on a percentage and exchange it instantly, while maintaining maximum privacy and security. You can track prices and charts without leaving your wallet.

Trust Wallet also lets you view your NFTs, art and collectibles in one place. You can use your favorite DApps and explore new ones on the Trust Wallet platform.

The app uses fingerprint and PIN scanning for an extra layer of security. Trust Wallet does not store user data on its server. Instead, it allows users to store data on their devices while providing full control over their keys.

Trust Wallet has over 25 million downloads, supports 65 blockchains and over 4,5 million digital assets. Overall, this is a reliable and versatile software wallet that is ideal for most types of users.

Сonclusion

In general, the best non-custodial wallets connect you directly to the blockchain or non-custodial exchange. This allows you to have complete control over your keys and minimal third party interference. In addition to greater security, non-custodial storage allows you to make transactions anonymously and reduces the risks of third parties. You also have the option to buy cryptocurrencies directly, which gives you access to more cryptocurrencies.