Choosing the right hardware wallet to protect your Bitcoin is a vital part of your crypto responsibility.
Coinkite is a Canadian-made hardware wallet manufacturing company that has a string of wallet options available.
Founded in 2011, Coinkite started by making the first Bitcoin payment terminals and has since then focused on crypto security.
This guide will review Coinkite Wallets. We’ll uncover each wallet’s features and highlight their pros and cons. From Coldcard to Opendime, join us and we learn about each device.
Why Use a Hardware Wallet?
The security of your crypto is not just important, it is vital.
Since cryptocurrencies like Bitcoin function on decentralized networks, user responsibility is immense. Losing your private keys means that you can lose all of your digital assets forever.
This goes beyond physically losing a crypto wallet but also includes being hacked or scammed into divulging your private info.
Crypto Security
When it comes to online wallets and exchanges, yes, they are easy to set up and convenient.
But, there are many risks associated with using them.
Using an exchange or hot wallet to store your private keys is an easy target for hackers.
The old crypto saying goes “Not your keys, not your coins“.
And the second anyone else has custody of your private keys, BYE BYE CRYPTO.
Famous Hacks Throughout History
| Year | Exchange | Amount Lost | Details |
|---|---|---|---|
| 2014 | Mt. Gox | 850,000 Bitcoins (worth $450 million at the time) | Once the most popular crypto exchange, handling over 70% of global Bitcoin transactions, Mt. Gox was hacked, losing about 850,000 Bitcoins. |
| 2016 | Bitfinex | 120,000 Bitcoins (worth $72 million at the time) | Hacked and lost approximately 120,000 Bitcoins. |
| 2018 | Coincheck | $530 million worth of NEM tokens | Experienced a cyberattack losing $530 million worth of NEM tokens due to low security measures. |
Why Hardware Wallets Provide Enhanced Security
Hardware wallets are one of the safest places to store crypto.
They come in two varieties, electronic devices and non-electronic cold wallets.
Both are strong in safeguarding your crypto for the long term, although cold storage is always a touch safer.
They function by storing your private keys offline so that no hacker can ever attempt to steal them.
Depending on the device you get, there are PINs, passphrases, or biometric features in place to further protect your private keys.
You gain full ownership and self-custody by using a cold storage hardware wallet.
Why Coinkite’s Hardware Wallets Stand Out
Coinkite’s hardware wallets merge all the benefits of cold storage and add their own unique touch to each wallet.
✔️Air-Gapped: The Coldcard MK4 is used completely offline, using a microSD card to transfer data.
✔️High-Security Features: Use of Duress PINs, Brick Me Codes, and Secure Element Chips.
✔️Open-Source: Coinkite’s firmware is open-source. This provides community trust with transparency and the ability to self-audit.
Overview of Coinkite Wallets
Coinkite has many diverse products ranging from hardware wallets and seed phrase backup wallets to physical Bitcoin USB sticks to use as cash on the go.
We are going to examine their 4 hardware wallets.
Coldcard MK4: The updated version of their original Coldcard Q, this is a security-focused hardware wallet for serious Bitcoin users.
Opendime v5: A “Bitcoin Stick,” that lets you pass Bitcoin like cash.
TAPSIGNER: An NFC-enabled smart card that signs Bitcoin transactions by tapping your card on a smartphone.
Satscard: A reusable Bitcoin gift card that lets you load and share Bitcoin.
Coldcard MK4
Features
Air-Gapped: The MK4 is designed to store your private keys offline. This feature functions by never needing to connect to a computer to sign transactions. Instead, it uses its microSD card to do so.
Secure Element Chip: Using the Microchip ATECC608A to protect your private keys, hinders any physical attacks, even if someone finds your physical device.
MicroSD Support: It has a designated card slot, where you can load firmware updates and transfer data without connecting via USB to a device.
Open-Source Firmware: Available on GitHub, the open-source nature allows for community audits of the code to add an extra layer of protection.
Physical Keypad and Screen: It has a numeric keypad and OLED screen.
Price
$157.94 – You can occasionally save on bundle deals. Keep an eye on their website shop.
Crypto Support
Bitcoin-Only
| Pros | Cons |
|---|---|
| High Security: The Coldcard MK4 has advanced security features, making it ideal for storing large amounts of Bitcoin. | Complexity: The device has a steep learning curve, which might be difficult for many users. |
| Air-Gapped Transactions: The ability to sign transactions offline using a microSD card means your private keys never touch an internet-connected device. | Price Point: It’s pricier than some other hardware wallets on the market. |
| Community: Coldcard is known for its security and commitment to open-source. | Bitcoin-Only: Not suitable if you need to store other cryptocurrencies. |
OPENDIME v5
Features
Bitcoin “Bearer Instrument”: Functions as a BTC-loaded USB stick that you can use like cash. It’s the closest thing to possessing physical Bitcoin and generates private keys internally until you are ready to spend.
Tamper-Evident Seal: You must physically break a protected seal to access the private key when you’re ready to spend the BTC.
No Transaction Fees: There are no on-chain transactions since the Bitcoin is on the physical device.
Price
Starting at $69.
Crypto Support
Bitcoin-Only
| Pros | Cons |
|---|---|
| Physical Transfer of Bitcoin: Perfect for gifting Bitcoin or making private, off-chain transactions. | One-Time Use: Once you unseal and access the private key, the Opendime can’t be securely reused. |
| Easy to Use: Plug it into a USB port to verify the balance and authenticity. | Limited Functionality: Not ideal as a primary wallet. |
| Anonymity: Transfer ownership without leaving a digital footprint. | Risk of Loss: Being a physical device, it can be lost, stolen, or damaged. |
TAPSIGNER
Features
NFC Smart Card: A Credit card-sized hardware wallet that uses NFC to sign Bitcoin transactions by tapping the card to your smartphone.
Integration with Wallet Apps: Compatible with Sparrow Wallet to help manage your Bitcoin from your smartphone.
Price
$39.99, but currently on sale for $19.99.
Crypto Support
Bitcoin-Only.
| Pros | Cons |
|---|---|
| Convenience: Slim and portable. | Reliance on External Apps: Its functionality depends on third-party wallet applications. |
| Cost-Effective: An affordable option for those seeking hardware wallet security without a big price tag. | Fewer Security Features: Doesn’t offer some of the advanced features found in higher-end wallets. |
| Secure Element: Features a secure element chip (same as the Coldcard). | NFC Limitations: Requires an NFC-compatible device to operate. |
Satscard
Features
Bitcoin Gift Card: This is designed to give Bitcoin as a gift card.
Reusable NFC Card: You can load and withdraw Bitcoin multiple times using this card.
Anonymity and Privacy: No personal information is needed to use Satscard.
Price
$10.99 (for the card, load desired amount).
Crypto Support
Bitcoin-Only
| Pros | Cons |
|---|---|
| Easy Gift Idea: Give away Bitcoin in a tangible, user-friendly format. | Limited Security Features: Not intended for storing large amounts of Bitcoin. |
| Reusable: Can be used multiple times, making it more versatile than single-use gift cards. | Dependent on NFC: Requires an NFC-enabled smartphone to operate. |
| Simple Interface: Easy for non-technical users to interact with—no complicated setup required. | Potential for Misplacement: As a physical card, there’s always a risk it could be lost or misplaced. |
Material Bitcoin: A User-Friendly and Secure Alternative
While hardware wallets like the Coldcard MK4 and Coinkite’s other storage options provide advanced electronic security features, they still involve very complex setups and reliance on electronic components or third-party apps.
Material Bitcoin is a great alternative for those who are looking for a simple, easy-to-use, cold-storage wallet.
There is no setup required.
What is Material Bitcoin?
It is a physical Bitcoin storage solution that is made from high-quality stainless steel that stores your private keys offline.
It is fireproof, waterproof, and impact-resistant, so you never need to worry about the wallet breaking or having a malfunction.
There is no technical expertise needed as there are no electronic components to Material Wallets.
Coinkite Wallets VS Material Bitcoin
| Feature | Coldcard MK4 | Opendime v5 | TAPSIGNER | Satscard | Material Bitcoin |
|---|---|---|---|---|---|
| Type | Hardware Wallet | Bitcoin Bearer Instrument | NFC-Enabled Smart Card | Reusable Bitcoin Gift Card | Physical Steel Storage |
| Price | $157.94 | $69.99 | $39.99 | $10.99 | Starting at $89 |
| Crypto Support | Bitcoin-Only | Bitcoin-Only | Bitcoin-Only | Bitcoin-Only | Bitcoin-Only * Material Ether & Material USTD are also available. |
The Final Roundup on Coinkite
Securing your crypto is essential and Coinkite has a variety of hardware wallets available to meet different needs.
In the end, the most vital thing is to review your objectives, security needs, and how comfortable you feel with setup and digital management.
When you understand the options out there, it makes owning and protecting Bitcoin that much easier and safer.
Take control and secure your Bitcoin with ease.
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