Bitcoin Wallets Emptied

In the Bitcoin world, it would be incorrect to think a Bitcoin wallet actually holds any Bitcoin. Despite the similar names, Bitcoin wallets carry out very different functions from the common cash wallet we carry around in our pockets. Bitcoin is technically “stored” on the public blockchain and a user can “unlock” that Bitcoin to send it somewhere using a private key. That private key is what is actually being stored in a Bitcoin wallet. Across Bitcoin’s history, there have generally been two types of wallets: hot and cold. Hot wallets are accessible directly from a computer: often more convenient for users to spend from or to integrate with other services, but with the potential downside of making it easier to be stolen through malicious means. Cold wallets, in comparison, are air-gapped and often purport to have additional physical security improvements like protection against certain side-channel attacks and duress codes. What is often not discussed very often is how that private…