#Liquidity101 Cold wallets are devices or methods of storing cryptocurrencies that are not connected to the internet, making them highly secure against cyber attacks. Their main function is to safeguard private keys out of reach of hackers. Among the most common options are hardware devices, such as Ledger or Trezor, and paper storage. Unlike hot wallets, cold wallets do not allow for quick transactions but offer greater protection for long-term investments. They are ideal for those seeking maximum security when handling digital assets. Using them significantly reduces the risk of theft or loss of cryptocurrencies.