Online wallet, as its name implies, refers to a wallet that stores the private key in the server. The realization principle of this wallet is to encrypt the private key according to the user's password/password, store the encrypted ciphertext in the server, and decrypt the ciphertext to recover the private key when the user needs to use it. This kind of wallet is simple and easy to use. Users only need to use the browser and access it with a password. Of course, security problems may also occur because passwords are stolen or servers are hacked. So when using the online wallet, you must remember the password firmly and try not to set it too simple. Bitcoin stands for blockchain and Ethereum stands for myetherwallet.
Multi-signature wallet refers to a wallet that needs to provide multiple private keys when consuming digital currency. For example, you can keep one of the two private keys for yourself and give the other to others. When you need to use them, you must sign two private keys at the same time to take effect. In some places with high security, there may be more scenarios in which private keys are managed separately, so multi-signature wallets are used when security requirements are high. Of course, this kind of wallet is more complicated and difficult to use, and ordinary users have less contact. Bitcoin stands for armoryms and ethereum stands for parity.
A local wallet is similar to an online wallet, except that the private key is stored in a local client, such as a PC or a mobile phone. This kind of wallet uses its own private key, so this kind of wallet is the most common and easy to use. Bitcoin stands for Bitcoin-Qt, Taibi wallet, etc. , and Ethereum has Mist, imToken mobile wallet, etc.
Offline wallet, also called cold wallet, has a high security level because it is no longer connected to the internet. Now many companies are developing this kind of wallet hardware, such as hardbit hardware wallet, some of which look similar to the U-ton of the bank, but offline wallet is not particularly convenient to use, and data needs to be transmitted back and forth between the computer and the hardware. The other is offline soft implementation, such as Bittoo cold wallet, which can be installed in some electronic devices that are not commonly used and connected to the internet. Of course, offline wallets are not absolutely safe. For example, damaged or lost hardware may make you lose money.
Paper wallet, not a wallet strictly speaking. It is only used as a cheap carrier to store a string of private keys, but it is indeed the most economical and simple way for us to back up private keys. However, problems such as poor paper, faded handwriting, loss and forgetfulness also occur from time to time, and fire prevention and theft prevention are also places that need attention.