To store any cryptocurrency, you need what is known as a wallet. Wallets come in many forms, including online software, desktop programs, and even written on paper. However, unquestionably the best way to store any cryptocurrency is using a hardware wallet.
A hardware wallet is basically a USB drive (or other type of hard drive) that has a wallet software installed. Because it only connects to a computer when you need to transfer tokens, it remains in cold storage.
This means it’s not susceptible to hacks or malware, as it is not connected to the internet, making a hardware wallet the safest and more secure way to store tokens such as Bitcoin.
Ledger Nano S
There are many great hardware wallets available, but the market leader is without a doubt Ledger Nano S. As a hardware device with software pre-installed, it couldn’t be easier (or safer) to use. It does cost about $100, but this is a price worth paying to protect your crypto investments.
Setting Up Your Ledger Nano S
As we recommend the Ledger Nano S as the wallet of choice in most of our step by step guides for buying cryptocurrencies, it makes sense to provide a guide for how to install this device. In this tutorial we will go through the steps on how to set up Nano Ledger S Wallet. So, once you purchase a Ledger Nano S, take the following steps.
Step One – Update all Firmware
When you plug in the Ledger Nano S, you have the option to initialize the device, but before this, you want to update all firmware. This provides your device with the latest security measures, so is well worth doing.
Simply go to the dashboard of the Nano S once it has synched with the Ledger Manager application and choose firmware menu option. Select the green arrow on the latest firmware (Version 1.4.1 at time of writing) and install!
Step Two – Connecting
Once you have the latest firmware update, it’s time to initialize the setup.
Plug your Nano S into your computer, then follow all the instructions on the screen.
Select ‘create new wallet’, or import an account you already have, such as Bitcoin or Ethereum.
Follow the instructions on screen, using the buttons on your Nano S to confirm selections – just look at the display of the hardware device.
Step Three – Choosing a Pin
From now, you need a pin to enter the Nano S, so create a four-digit pin code. Confirm this when you are ready to proceed.
NOTE – Inputting an incorrect pin code three times forces your Nano S to automatically reset.
Step Four – Back Up Recovery Phase
In your box, there should be a RECOVERY SHEET with 24 blank sections.
Copy the 24 words in the exact order they appear on-screen.
This is very important, as it allows the recovery of your wallet, even if the Nano S is stolen or breaks.
Store your recovery sheet somewhere safe and secure.
Step Five – Install Apps
After seeing the ‘device is now ready’ message, your Nano S is fully configured and ready to use.
Now, it’s a case of installing any Ledger Applications you want to use.
Go to Chrome and downloaded the Ledger Wallet Bitcoin app, and possible the Ledger Wallet Ethereum app. They are also found on the apps section of the Ledger’s website.
Step Six – Use your Nano S!
Now, your Ledger Nano S is fully operational. Simply use it with your Chrome applications!