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A hot wallet refers to a type of cryptocurrency wallet that is connected to the internet and is used for frequent transactions or storing small amounts of cryptocurrency. Hot wallets are typically more convenient for day-to-day transactions because they are easily accessible and facilitate quick transfers. However, they are also considered less secure compared to cold wallets, which are offline and less susceptible to hacking or unauthorized access. Hot wallets are commonly used on cryptocurrency exchanges and by individuals who need easy access to their funds for trading or spending.


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