Ledger Wallet devices are hardware wallets that can be used to secure your cryptocurrency. Most of us are grown in an era where wallet means a small folding case, used to hold cash and small plastic cards like debit, credit cards etc. But since the introduction of cryptocurrency in 2009 and its enormous growth, there is a severe demand of some mechanism to secure this digital money. Ledger Wallet is invented to meet this demand.
So the question that pops up is:
What is Ledger wallet and why do we need it?
Pioneer of cryptocurrency i.e. Bitcoin touched $5000 USD in first week of Sep 2017. It is predicted that it may cross $10,000 USD in coming days. With the successful growth of Bitcoin, many other cryptocurrencies were also introduced. It is estimated that 75 billion USD were already invested in digital currency with many billions yet to come. Just like traditional banking system is prone to fraud, digital currency is also not an exception.
It’s a new form of digital currency altogether different from traditional banking system. In traditional banking, you can always recover your lost passwords, cheque books etc by contacting you local branch. But this doesn’t hold true in case of cryptocurrency. If you lose you credentials, your relation with digital money is over forever.
Cryptocurrency is just like a gun whose master is the one holding the trigger of the gun, no matter who that guy is. Following the same pattern, in cryptocurrency, owner of the currency is the person having the private key, doesn’t matter who that person is. Perhaps the only con of this currency at the moment is no recovery in case you lose that private key. There are many people who bought Bitcoin years back when it was cheap and lost their key over years, now they can’t use them. Private key is used to identify the account and verify transactions, there is no mechanism of personal identification who is using the key. That’s where the need for security of private key arises.
Your coins are stored on the blockchain and you need private key to access your digital currency. Ledger wallet’s device helps in holding the digital coins and protects the data that you need in order to access these coins on blockchain.
Having an understanding of what Ledger Wallet is, let’s have a look at product family of Ledger wallet.
Ledger Nano S.
Ledger Nano S. is a USB flash like device and can be connected to MAC, Windows or Android. It comes with a backup sheet on which you can write 24 words phrase. They will be provided by Ledger Nano S while setting this device and these 24 words are used to recover your account in case you lose your pin or lose the device. Never show this paper to anyone and neither store it on your computer.
To begin with this hardware Ledger Wallet device, you have to first setup a 4 pin code. Once you have set up your pin code, open the site www.ledgerwallet.com and click Apps. On this page, download ‘Ledger Manager’. This apps lets you interact with the device, using Wallets you can send and receive coins.
It’s compact in size yet powerful enough to secure your money.
Ledger Blue is another device from ledger wallet family of hardware wallets. Functions of Ledger blue are the same as Ledger Nano S like but with some added features like: a large touch screen and Bluetooth connectivity.
Unlike in Ledger Nano S, it has touch screen that aids you in interacting easily with the device. It has the same 4-pin method to access the device and 24-word recovery phrase.
Ledger Wallet Pros
The biggest advantage of using Ledger wallet is that if you lose the device you can recover your balance on another ledger wallet. All you need is a 24-word recovery phrase, never reveal that to any other person. Apart from Ledger Nano S, with Ledger Blue, you can restore your account on Bither, Coinomi, MyEtherWallet and MyTrezor.
Another big advantage of using Ledger wallet is that your private key will never leave the device. It always stays inside the device whether you use Ledger Nano S. or Ledger Blue.
Ledger wallet (Ledger Nano S and Ledger Blue) supports following coins: Ark, Bitcoin, Bitcoin Cash, Dash, Dogecoin, Ethereum, Ethereum Classic, Komodo, Litecoin, PoSW, Ripple, Stratis and Zcash. The list covers almost all popular cryptocurrency available. It’s not the final one as more and more currencies are being added with time.
Ledger Wallets is a cheap way to secure your big money. The price of Ledger Nano S starts from 58 € while Ledger blue starts from 229.00 €, whereas Bitcoin is currently trading at 4000 $.
Ledger Wallet Cons
The only con of Ledger Wallet at the moment is that being new in the market it will take some time before it develops repute and gets the confidence of people.