Cryptocurrencies have become a digital asset used by thousands of people and companies worldwide in their business operations.
One of the most popular is Ethereum (ETH), which provides a global decentralized platform where we can receive payments in this cryptoasset. Although the environment where this occurs is secure, it is always advisable to resort to complementary mechanisms to keep our cryptoassets safe from online hackers.
That’s where cold wallets come into play. Have you heard of them? Do you know how to use them to accept Ethereum payments safely? Here we tell you
What is a Cold Wallet?
This is the name given to a type of cryptocurrency wallet—specifically a physical device—where you can have the opportunity to store your private cryptocurrency keys offline.
This is how this hardware wallet that takes the form of a flash drive-like device keeps your digital cryptoassets, in this case Ethereum, safe from online cybercriminals.
Because they are not connected to the internet, cold wallets constitute within the cryptocurrency world a cold storage method. An example of a cold wallet is Material Ether with which you can receive and request payments in this cryptoasset.
With the Ethereum cold wallet, you can diversify your business transactions either if you are a freelancer or own a company.
How a Cold Wallet Works?
When you purchase cryptocurrencies this transaction is recorded on a blockchain. If this chain is public, you can access it as long as you have an internet connection. Generally, these blockchains are hosted on a decentralized network of computers, which means that they’re not controlled by any financial institution.
You will need a public and a private key—the latter known only to you for security reasons—to access your cryptocurrency funds.
Cold wallets, on the other hand, store this private key in a smart memory which you can then access via USB or Bluetooth. This will then allow you to access your Ethereum funds from either a mobile or desktop application.
Given that this is a non-electronic cold wallet where you store your private keys, we advise you to keep this device in a private place to which only you have access.
Features of Material Ether’s Cold Wallet
Once you purchase the Material Ether cold card you will see on the front a code representing the address of your Ethereum wallet along with a QR code.
We recommend scanning this QR code with your phone to get your Ethereum wallet address without needing to write it down manually. This will also be very useful to avoid making any mistakes by omitting or mistyping any characters.
Keep in mind that once cryptoasset transfers are made, they cannot be reversed. Therefore, this method ensures that the payments you request arrive correctly in your Ethereum account.
Is it Possible to Invoice Payments in Material Ether?
Although payments received from Ethereum in your Material Ether cold wallet remain anonymous, you can have the option to create an invoice; just like any other payment made with euros or dollars.
When creating an invoice be sure to include the amounts in Ethereum, as well as the corresponding value in the currency of the country in which you wish to present the invoice (euros, dollars, etc.).
How to Accept Ethereum Payments Safely With Material Ether?
To request a payment to your Ethereum cold wallet just send the person who will make the payment your address which is on the front of the card.
As for the message you can write something like “Send me 2 Ethereum to the following address: 0xbDDD5ab039f26cB0b4bb7876d343B44055e1a1E59”. Replace the address in the example with your address.
In case you are requesting payment to your Ethereum cold wallet in person all you have to do is show your Material Ether card to the payer to scan the QR code on the front of the card and that’s it; you will receive your Ethereum payment quickly and securely.