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Software wallet

A software wallet is a type of crypto wallet that is stored on a computer or mobile device. These wallets are created and managed by software applications, and allow users to store, send, and receive various types of assets.

Software wallets can be further divided into two categories: hot and cold wallets. Hot wallets are connected to the internet, which makes them more accessible but also more vulnerable to hacking. Cold wallets, on the other hand, are not connected to the internet and are considered more secure, like Trezor and Ledger, two of the most commonly used.