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RE: Hardware Wallet or Lose It ALL
Can someone provide a good succinct explanation of how a hardware wallet works? I think I have a general understanding, based on this post and others I've found on the internet, but a clear description of how it works and it's benefits would be helpful to include with your (also helpful) identification of some vendors/products
Thanks!
Think of a hardware wallet as a hard drive that you store your coins on. Like a video on your computer hard drive vs one stored in the cloud.
In order to confirm that you want to send or spend money, you usually have to physically press buttons on the device and verify other "off device" information, that was generated at set-up,
Now that's an over simplification, but accurate.
If you lose your wallet or it is stolen, you can restore to a back-up device, so a lot of people buy 2, just in case.
Thanks for taking the time to read the article, to comment and ask questions..