A cryptocurrency wallet is a device, physical medium, program or service which stores the public and/or private keys for cryptocurrency transactions. In addition to this basic function of storing the keys, a cryptocurrency wallet also offers the functionality of encrypting or signing information. Signing can for example result in executing a smart contract, a cryptocurrency transaction, identification or legally signing a ‘document’.
E-wallets allow individuals to store cryptocurrencies and other digital assets. In the case of Blockchain Wallet, users can manage their balances of various cryptocurrencies such as the well-known Bitcoin and Ether as well as stellar, Tether, and Paxos Standard.
Creating an e-wallet with Blockchain Wallet is free, and the account setup process is online. Individuals must provide an email address and password. It will use to manage the account, and the system will send an automated email requesting that the account be verified.
Once the wallet is created, the user is provided with a Wallet ID. It is a unique identifier similar to a bank account number. Wallet holders can access their e-wallet by logging into the Blockchain website, or by downloading and accessing a mobile application.
Interface blockchain wallet
The Blockchain Wallet interface shows the current wallet balance for crypto-assets and the user’s most recent transactions. Users can also access the price charts and see the value of the funds in the chosen local currency. There is also an educational Did You Know section sharing crypto facts and news.
Private and public key generation
A cryptocurrency wallet works by a theoretical or random number being generated and used with a length depending on the algorithm size of the cryptocurrency’s technology requirements. The number then converts to a private key using the specific requirements of the cryptocurrency cryptography algorithm requirement. A public key is from the private key using whichever cryptographic algorithm requirements. The private key utilises the owner to access and send cryptocurrency and is private to the owner. Whereas the public key is to share with any third party to receive cryptocurrency.
Up to this stage, no computer or electronic device requires and all (keypair) can mathematically derive and write down by hand. The private key and public key pair (known as address) are not known by the blockchain or anyone else. The blockchain will only record the transaction of the public address. Thus, recording in the blockchain ledger the transaction of the public address.