Solana is a layer 1 blockchain designed to support scalable and decentralized applications. Compared to rival blockchains such as Ethereum, Solana can process significantly more transactions per second and has significantly lower transaction fees. Solana struggled during the recent FTX calamity, but she remains a major player in the Layer 1 battle.
Since its launch in 2019, the price of Solana has increased significantly, which has led to an increase in popularity and in the total number of Solana users. The following discussion reviews the best Solana wallets you can use today.
Best Cryptocurrency Wallets for Solana
Crypto wallets allow users to receive, send and store their digital assets/currencies. Two types of wallets can be used to store cryptocurrencies: hardware wallets and software wallets. A hardware wallet is widely considered the most secure way to store crypto. Unlike software wallets, hardware wallets are disconnected from the internet and are not subject to cyber threats and other forms of remote hacking. Instead, hardware wallets keep your private keys offline so your crypto is inaccessible to anyone but the private key holder.
Software wallets are downloaded as apps or web extensions on phones and other internet-connected devices. Although software wallets fall short in terms of security, they provide superior convenience as they can be accessed quickly through a web extension or app.
When choosing the best Solana cryptocurrency wallet, the following features should be considered:
- Security features: What features provide security?
- Price: How much does it cost compared to competing wallets?
- To access: How do you actually access your crypto?
- Ease of use: Is it easy to set up and use?
- Supported cryptocurrencies: Are the coins and tokens you want to store supported?
- Portability: Is it easy to carry on a daily basis?
Best Software Wallets for Solana
Software wallets make it easier to use your cryptocurrency while providing better security than letting an exchange retain custody of your digital assets. Take a look at some of the best Solana software wallets available today.
The Exodus Wallet is a renowned multi-chain web3 wallet that supports over 260 different cryptocurrencies and supports features such as staking, trading, buying and storing non-fungible tokens (NFTs). Unlike other wallets such as ZenGo and Omni which only support a mobile app, Exodus can be accessed through a wide range of mediums such as desktop, mobile, browser extension or hard wallet. The Exodus Wallet is a fantastic choice for investors who value flexibility and adaptability.
Users can choose to earn 5.2% APY on Solana with Exodus. The more crypto you wager, the more you earn. However, despite the competitive advantage of Exodus, it is important to note that Exodus does not live up to its advanced security features compared to its competitors, and it is not open source, which which means that third parties cannot check for weaknesses. Additionally, Exodus does not support two-factor authentication or multi-signature approvals.
Crypto Staking + Earning Rewards
Omni is an easy to use and highly functional multi-chain web3 wallet with built-in staking features. Users can view NFTs based on different blockchains and stake and collect tokens through more than 25 blockchains on its mobile app. Omni is backed by a suite of seasoned investors including MEXC Ventures, Eden Block, Shima Capital, Spartan Group, GSR Ventures and Lattice Capital.
Unlike traditional Web3 wallets, the Omni app is a one-stop-shop that supports over 20 different wallets, allowing users to do it all from a single app. With three clicks, users can earn up to 6.33% APR on SOL through staking and liquid staking. Similar to regular staking, liquid staking offers the benefit of liquidity – allowing users to use liquid staking tokens like a regular token without the need for lockup periods.
Stake Altcoins Safely
ZenGo Wallet is a state-of-the-art mobile wallet that successfully meets the demand for simplicity and security in the crypto wallet industry. Leveraging MPC technology, ZenGo removes the vulnerability of the need for a private key, making it much more secure than traditional crypto wallets. Instead, users can take advantage of the wallet’s three-factor authentication (3FA).
ZenGo is available in over 180 different countries and supports over 70 cryptocurrencies, including Solana (SOL). Although it has a smaller selection of supported coins than other platforms, ZenGo remains a fantastic option for beginners to experienced traders thanks to its special ability to eliminate the complexity of crypto storage.
Best hardware wallet for Solana: Ledger Nano S
Hardware wallets are the gold standard for crypto storage. They consist of physical devices that store and generate keys without any internet connection and as such fall under the classification of cold wallets. Since they are offline, they provide an extra layer of security against phishing sites, malware, and cyberattacks.
Ledger’s hardware wallets are among the most trusted hardware wallets in the world. Users can choose between the Ledger Nano X wallet ($150) or the Ledger Nano S Plus wallet ($79). Ledger wallets support over 1,000 cryptocurrencies, including Solana, Ethereum, and Bitcoin, among others.
Do you need to use a Solana Crypto Wallet?
Despite the additional security offered, crypto wallets are not always necessary. This is especially true for traders who only intend to speculatively hold the crypto for a short time. Many crypto exchanges such as Crypto.com allow traders to hold their SOL in a wallet on the exchange, and some people leave it at that.
Where to Earn Interest on Solana
Investors can earn passive income on their dormant Solana. The method you choose will depend on your risk tolerance and the platform of your choice. Here are some of the most lucrative ways to earn interest on Solana.
Crypto.com is a popular US cryptocurrency exchange that offers a huge range of tradable crypto assets and relatively low trading fees. Users can buy, sell, trade, and earn interest on over 250 cryptocurrencies, including Solana with spot trades, futures, and advanced order types.
Investors can earn up to 2.4% APR on idle Solana with Crypto.com. Interest rates vary depending on the amount of Solana held, the length of the lockup period, and whether a user holds CRO (the native token of the Crypto.com exchange).
Nexo is a centralized crypto savings and lending platform that allows users to buy, earn interest, and borrow a wide range of crypto assets. The platform serves over 5 million users in over 200 jurisdictions around the world. Nexo combines military-grade security with a seamless user experience.
Nexo offers an extremely competitive interest rate of up to 8% for inactive Solana. Similar to Crypto.com, the amount of SOL earned will depend on the lockup period and the amount of NEXO (the platform’s native token) held by an investor.
Cryptocurrency Wallet Best Practices
Best practices for personal crypto wallets are becoming increasingly important as the crypto market grows. In 2022, investors lost over $3 billion to hackers in over 125 hacks. Here are some steps you can take to further protect your crypto.
- Do not keep cryptocurrency on exchanges longer than necessary.
- Avoid posting your 24-word recovery sheet online if you’re using a hardware wallet and choosing a hard-to-crack PIN.
- Never publicly brag about your cryptocurrency assets using your real name or identifying address.
- Always assume that your devices could be compromised at any time and proceed with caution.
- Keep an eye out for scam websites when using software wallets.
- If possible, use two-factor authentication.
Are cryptocurrency wallets worth it?
All in all, crypto wallets are essential for keeping your crypto assets safe. Merchants need it not only to store crypto securely, but also to protect and validate transaction information. For more risk-averse investors, hardware wallets are a phenomenal choice – offering an extra layer of security against phishing sites, malware, and cyberattacks.
If you plan to keep Solana for a long time, consider one of the Solana wallets mentioned above. Although wallets may seem unnecessary, they are definitely worth the investment as they give you peace of mind that is not possible when relying on exchanges.