Software wallets

These wallets are based on the local computer or mobile. These can be further divided into desktop or mobile wallets. These wallets are confined within the local machine; they usually download the complete blockchain in order or keep a record of the public ledger:

• Desktop software: They store the keys locally on the desktop or laptop. It offers complete control over the cryptocurrency, although responsibility for security rests with the person hosting the wallet on their machine, so, even if the hard drive of the machine fails without any backup being in one place, there is a chance of losing the coins forever. It is not necessary to have the blockchain updated at every moment, hence, a machine not connected to a computer can also be used in such cases.
• Mobile wallets: These wallets run via an app on the mobile phone. This allows users to easily access their coins. These wallets store the coins or keys locally on the mobile phone just like a desktop software wallet, or they are just an interface to a cloud wallet; we will discuss that type of wallet later. The following screenshot is an example of a mobile wallet:

The core clients of most of the cryptocurrencies offer software wallets to start with, with initial support for desktop wallets.