Crypto Academy - Week 3-Homework Post for @sapwood - the types of Blockchain wallets, the difference between an exchange wallet and a decentralized crypto wallet, Web 3.0 wallet, by @cryptocheta

Hello Steemians, It's a pleasure for me to attend this week lecture by @sapwood that talks on Blockchain wallets, and types. I was really on point. Here is my Homework task which includes:

(1) Have you ever used a Hardware/software wallet? Which one is having a better security advantage?
(2) What are the important points to consider when you deal with an Exchange(centralized) Wallet & Decentralized wallet. How do you secure/restore both types?
(3) Give an example of a Web 3.0 wallet and what are the distinct uses of a web 3.0 wallet? Have you ever used any Web 3.0 crypto Wallet? Examples?

(1) Have you ever used a Hardware/software wallet? Which one is having a better security advantage?

I have never used a hardware wallets before but am familiar with the software wallet. But from my findings I believe the hardware is more secure. So, what is the difference between them?

Software Wallets

Just their name suggests, software wallets are based on computer software, which is available in three formats: online, desktop, and mobile.
Online Wallets, it's Web-based wallets that can be accessed with any device, and from any location. This is very convenient, of the major drawback is that these type of wallets are a store with the private keys online, and they are controlled by a third party, which makes them more vulnerable to hacking and fraud.
On the other hand a Desktop Wallet, your currency is been saved on a laptop or PC. A lot of traders favor this kind of wallet because it offers excellent control without the third-party interface, like online wallets. So the security can be an issue because it is entirely up to you to protect your coins investment.
Mobile Wallets are wallets that are accessible through an app on any mobile device and can be used anywhere you go. Here one particular type of app stores the coins on your phone, while the other gives you access to online storage servers. So it is recommended to store some quantity of digital currency on such wallets like this.

Hardware wallets

Just like software wallets, hardware wallets are also designed to make your cryptocurrency storage more and more protected. Hardware wallets also store private keys on a hardware device which implies that you don’t need to leave any private keys on a computer that can be hacked into, hardware wallets are very compatible with various web interfaces and supports several currencies too. All you need is to plug in your hardware device to any internet-enabled machine link, enter your pin, and send the currency, and also verify the transaction. One of the principal advantages of this type of wallet is that it is not only safe, however, it is also easy to use anywhere. Ledger Nano S and Trezor are very familiar hardware wallets. A solid hardware wallet also contains physical buttons, and an LED screen, which able to back up and offer recovery of the private keys which are stored on it.

(2) What are the important points to consider when you deal with an Exchange(centralized) Wallet & Decentralized wallet. How do you secure/restore both types?

Centralized wallets and exchanges are trading platforms whose principle, operates in the same way that our traditional brokerage account or even stock exchange would do. The Central exchanges are majorly owned and operated by a primary third party who maintains the final authority over this exchange, wallet, transactions, and account. Individuals using these centralized wallets, and exchanges seldom do not have access to the private keys of their exchange account wallets, this putting the individual at risk of severe mismanagement, and rank play by this centralized third party, and this will hopefully continue to prove disadvantageous to all users.
However a decentralized wallet or exchange is with no central authority, it is entirely decentralized, just like the name infers, although using the abilities of underlying blockchain technology.
Using blockchain for this purpose, a decentralized exchange provides users much more data, and financial security than the traditional centralized exchange does. The decentralized exchange appears not to keep onto individuals’ funds or their information, and/or sell it to any third-parties, instead, they solely serve as matching and/or routing algorithm for all their trade orders. Due to there decentralized nature of these wallets and exchanges, governments, and regulators are trying but also are unable to interfere or breach user's data or user information because there is no centralized root by which to gather the data from.
There are private keys that come with the wallet which I think should be stored safe and truly private in our email box.
There is also a 2FA security activation for all exchanges, and also protection of our cryptocurrency assets in our wallets, and I think this too should be properly stored.

(3) Give an example of a Web 3.0 wallet and what are the distinct uses of a web 3.0 wallet? Have you ever used any Web 3.0 crypto Wallet? Examples?

Web 3.0 is just about a more honest and fairer network where everybody can associate freely without fear of loss of privacy and security, the advancement from Web 2.0 to 3.0 is obvious with the evolution of technology around us today.

Benefits of Web 3.0

Web 3.0 makes the human aspect back by providing privacy, and security to all users rather than giving one corporation more power than ever. The vision of Web 3.0 transformed in the last 7-8 years. Originally, it was just simple, but since the introduction of Blockchain, and also bitcoin, the concept, and approach changed totally. For now, Web 3 focuses more on decentralized characteristics like that of the blockchain.

A good example is Steemit which is a platform am writing this post. Steemit is another excellent example of Web 3.0 websites. It runs entirely on the Steem blockchain. it is best explained as a decentralized reward platform that helps contributors, writers monetize their content. It is a choice to Reddit any day and anytime

Thanks to you professor @sapwood

@steemcurator01, @steemcurator02, and @steemitblog.