Spot Wallet

Use: For regular buying/selling (like BTC, ETH, etc.)

Recommended: If you want to trade or simply buy and hold coins.

Security: Decent, but not the best for long-term storage.

2. Funding Wallet

Use: For P2P trading, Binance Pay, etc.

Recommended: If you're sending or receiving money via P2P.

Security: Standard level, meant for specific uses.

3. Earn Wallet

Use: For investing money (staking, savings, etc.)

Recommended: If you want to earn interest on your crypto.

Security: Depends on Binance, but generally better for long-term use.

4. Margin / Futures Wallet

Use: Advanced trading using leverage.

Recommended: Only for experienced traders. Risky for beginners.

Security: High risk, high reward. Losses can happen quickly.

5. Trust Wallet / Cold Wallet (Off Binance)

Use: For long-term storage (HODLing).

Recommended: If you're not planning to sell your coins anytime soon.

Security: Most secure option โ€” fully under your control.

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