Crypto wallet glossary
Plain-English definitions for the credentials, actions, and security models used throughout the Wallet Safety Journal.
Address
A public identifier used to receive assets or identify an account on a specific network. Sharing it may reveal transaction history on a public ledger.
Air-gapped wallet
A signing setup designed to exchange transaction data without a direct network connection, often through QR codes or removable media.
Block explorer
A website or application that reads public blockchain data such as addresses, balances, blocks, contracts, and transaction identifiers.
Cold wallet
A wallet setup that keeps signing keys offline or behind a dedicated signing boundary for reduced routine exposure.
Custodial wallet
An arrangement in which a provider controls the signing keys and gives the user access under account rules.
Derivation path
A standardized route used by a hierarchical wallet to derive particular accounts and addresses from seed material.
Gas or network fee
A payment required by a network to process a transaction or smart-contract operation.
Hardware wallet
A dedicated device that stores or uses private keys and asks the user to verify signing details on its own display.
Hot wallet
A wallet available on an internet-connected phone, browser, or computer for frequent activity.
Multisig
A wallet policy that requires a threshold of separate keys, such as two of three, to authorize a transaction.
Passphrase
Optional additional secret data that some wallets combine with recovery words to derive a different set of accounts.
Private key
Secret cryptographic data used to create signatures that authorize transactions for a corresponding account.
Public key
Cryptographic information derived from a private key and used by a network to verify signatures.
Recovery phrase
An ordered list of words that can often regenerate a wallet’s keys and accounts. It must be protected like a master secret.
Self-custody
A model in which the user directly controls the signing keys or recovery method rather than relying on a custodian.
Signature
Cryptographic proof that a private key authorized specific data, such as a transfer, contract call, or message.
Smart-contract approval
A transaction that grants a contract permission to use tokens, sometimes until the permission is revoked or exhausted.
Test transaction
A small transfer used to confirm the network, destination, compatibility, and signing process before more value is moved.
Token approval
Permission allowing a specific contract or spender to transfer a token under defined limits.
Wallet connection
A session in which a website or application learns a wallet address and can request signatures or transactions; it does not necessarily expose the private key.