Where Should I Store My Coins Safely?

"Where should I keep my crypto?" is the first question every new user asks — and the answer depends on how much you have, how often you use it, and how much security you need. This guide gives you a practical framework so you can stop worrying and start using crypto confidently.

The Three Storage Options#

There are really only three places your crypto can live:

1. On an exchange (Coinbase, Kraken, etc.) — the exchange holds your keys. Convenient for trading and cashing out, but you're trusting a company with your funds.
2. In a hot wallet (MetaMask, Trust Wallet) — you hold your keys on a device connected to the internet. Good balance of convenience and control.
3. In a cold wallet (Ledger, Trezor) — you hold your keys on an offline device. Maximum security, less convenient.

A Practical Framework: The Bucket Approach#

Here's the approach we recommend to RentAHuman users based on what we've seen work:

Bucket           | Amount          | Where to Store
─────────────────|─────────────────|─────────────────────
Walking money    | $0–$500         | Hot wallet (MetaMask)
Working capital  | $500–$5,000     | Hot wallet + 2FA on everything
Savings          | $5,000+         | Hardware wallet (Ledger/Trezor)
Trading float    | Whatever you're | Exchange (only while trading)
                 | actively trading |

The key principle: only keep on an exchange what you're actively trading. Everything else should be in a wallet you control.

For RentAHuman Workers: A Realistic Setup#

If you're earning crypto by completing tasks on RentAHuman, here's what a practical setup looks like:

1. MetaMask for receiving payments — connect this wallet to your RentAHuman profile. Payments land here automatically. (Setup guide.)
2. Weekly sweep to cold storage — if your balance exceeds what you need for the week, send the excess to your hardware wallet.
3. Exchange for cashing out — when you want to convert to fiat, send from MetaMask to your exchange account, sell, and withdraw to your bank. (Cash out guide.)

A good mental model: MetaMask is your checking account, your hardware wallet is your savings account, and the exchange is the ATM you visit when you need cash.

Security Checklist by Storage Type#

Exchange Account#

• ✅ Enable 2FA with an authenticator app (not SMS — SIM swaps are real).
• ✅ Use a unique, strong password (not reused from any other site).
• ✅ Set up withdrawal address whitelisting if available.
• ✅ Enable login notifications so you know if someone accesses your account.

Hot Wallet (MetaMask)#

• ✅ Back up your seed phrase on paper, stored in two separate locations.
• ✅ Set a strong wallet password.
• ✅ Never approve unlimited token spending on sketchy sites.
• ✅ Revoke old approvals periodically (use revoke.cash).
• ✅ Keep your browser and OS updated.

Cold Wallet (Ledger/Trezor)#

• ✅ Buy only from the manufacturer's official website.
• ✅ Set up the device yourself — if it came "pre-configured," it's compromised.
• ✅ Back up the seed phrase on paper (or steel) in two locations.
• ✅ Enable a passphrase (25th word) for an extra layer of protection on large holdings.
• ✅ Store the device itself somewhere safe but accessible to you.

Common Mistakes#

• Keeping everything on one exchange — exchanges are targets. Diversify where your funds are.
• Not testing your backup — try restoring your wallet from your seed phrase on a second device before you rely on that backup.
• Over-engineering it — if you have $200 in crypto, you don't need a $150 hardware wallet. A properly secured MetaMask is fine for small amounts.
• Ignoring software updates — wallet apps and hardware firmware get security patches. Keep everything updated.

Next: learn how to lock down your accounts with 2FA and best practices, or explore common scams and how to avoid them.