Phantom - The Best All Around Wallet for Exploring Web3

What is a Non-Custodial Crypto Wallet?

Non-custodial crypto wallets are software tools that let users access, manage, and interact with their crypto while maintaining full ownership. The public and private keys, which are cryptographic keys, give users access to digital assets on blockchain networks. The private key is a secret, mathematical key that is used in cryptography to protect data and is used to authorize transactions and prove ownership of funds.

Despite the public opinion, non-custodial crypto wallets don't actually "store your crypto." Rather, your crypto assets simply exist and are accessible on the blockchain through your private and public keys. Before talking about the Phantom wallet, let's learn the basics of crypto wallets and the differences between them.

Keep in mind that everything you read in this article is not financial advice and is meant for educational purposes only. There is always some risk associated with crypto and you must do your own research before investing or trying out these tools.

Custodial vs Non-custodial Crypto Wallets

The primary difference between custodial and non-custodial wallets (also known as self-custodial) is who owns your wallet's private information.

A crypto exchange like Binance or KuCoin creates a wallet for you and stores your private key when you register an account. Hence, they take on the role of a custodial wallet for doing this but it also means they have direct access to your money, which they might use without your knowledge or consent for a variety of things, like investing or lending. In the event of a market downturn, certain crypto exchanges have also been known to limit or freeze withdrawals.

Non-custodial wallets are the solution to this problem because they let you actually own your assets. Since your "Seed Phrase" (known as Secret Recovery Phrase) is not accessible to outside parties, you are in charge of keeping your wallet safe.

What is a Public Key and Seed Phrase?

When you set up a non-custodial crypto wallet, the public key and seed phrase are generated. Consider the public key as an email address that anyone can use to contact you. On the other hand, the seed phrase serves as this mailbox's "password" and allows you to access all your sent and received emails as well as change the account's settings.

The Public Key (known as public address) is a lengthy string of random characters that range from 26 to 42 symbols. Sharing your public address with people is completely safe. While they can send you crypto or NFTs with it, they are unable to access your wallet without first knowing your seed phrase.

In contrast, when you set up a new wallet, you are given a Secret Recovery Phrase which is a Seed Phrase of your wallet in a readable format. It's a must to protect and store your Seed Phrase securely because it gives you and everyone else access and control of your wallet. The Secret Recovery Phrase is typically between 12 and 24 random words long, depending on the chain the wallet is based on. Make sure to never share it with anyone even if someone asks you to do it as it's likely to be a scam.

Phantom - Your Go-to Wallet that Does Everything

Phantom Wallet is a non-custodial crypto wallet app and Chrome extension that allows users to access and manage digital assets, interact with smart contracts and use various decentralized applications. It is available on desktop and mobile devices and supports several blockchain networks including Solana, Ethereum, Polygon, and Bitcoin. Being a non-custodial wallet means that you retain your ownership of your crypto and private information rather than having it all kept in one centralized place.

With Phantom Wallet, users can hold, transfer, receive, collect, lend, borrow, stake, swap tokens and trade NFTs as well as explore various dApps inside of the wallet and outside of it by connecting to applications. It works with additional payment providers such as Coinbase Pay and MoonPay, enabling customers to buy crypto with credit cards, wire transfers, or other payment options. Every transaction on the blockchain incurs a small fee known as the gas fee. Based on what network you are operating all gas fees are paid in the network's native token for executing any transactions. For example, if you use Solana, you'll need to hold some SOL for gas fees.

Furthermore, Phantom was first designed for Solana blockchain which is one of the cheapest and fastest networks by far and is considered as the best blockchain for new users to explore Web3. This fact alone makes Phantom the best non-custodial wallet to manage crypto because of its close routes with Solana, user-friendly design, simple and effective features, strong security, non-custodial nature and emphasis on user education.

Why Phantom is so Good?

Phantom is 100% free and has plenty of main features that make it stand out with its functionality and interface:

• Use hardware wallets like Ledger from your Phantom wallet for enhanced security to store your private keys offline.
• Manage all of your accounts in Phantom by instantly importing them from any other wallet.
• Access any dApp on Solana, Polygon, Ethereum and Bitcoin.
• Use several chains without manually switching networks.
• Make fast swaps with the cheapest fees on Phantom's in-app swap.
• Transfer crypto and NFTs from one wallet to another in seconds.
• Hold your NFTs in all file formats, including audio, video, and multidimensional NFTs which are supported by and displayed in the collectibles tab.
• Stop malicious transactions in real time by using Transaction Previews.
• Give your accounts unique names and avatars to make them distinctive. Also, you can use the drag-and-drop feature to arrange them.

Guide How to Set Up Your Phantom Wallet

1. Download the Phantom Wallet app or Chrome extension
   
   Visit the official website of Phantom Wallet and download the extension for your browser (Chrome, Firefox, Brave) or download the Phantom mobile app from the App Store (iOS) or Google Play (Android).
   
   
2. By opening Phantom, select "Create a new wallet".
   
   Carefully write down your seed phrase, then confirm it and select a strong password. Make sure to never share it with anyone.
   
   

   

   Importing an Existing Wallet
   
   It's simple to import a Phantom wallet if you already have one and want to use it on a different device or browser:
   
   - Choose "Import Existing Wallet": Select the option to import an existing wallet in the Phantom extension.
   - Type in Your Secret Recovery Phrase: Enter the one that is linked to your current Phantom wallet. To access your wallet, make sure you type the phrase correctly.
   - Set a New Password: On the new device or browser, create a strong new password to access your wallet.
   
   

   

   
   
3. Protect Your Account
   
   Set up two-factor authentication (2FA) for added security.
   
   
4. Add Crypto to your Phantom Wallet
   
   Buy SOL or other tokens directly within Phantom by clicking "Buy" and choose a preferred payment method.
   
   

   

   You can also transfer SOL from an exchange like Binance or KuCoin by clicking "Deposit SOL" and entering it in the receiver's section when withdrawing it from the exchange. Make sure to set the correct network (if want to receive on Solana -> then choose Solana Network) and check it before sending your SOL.
   

Navigating the Phantom's Settings Panel

Whether you've set up Phantom for desktop, mobile, or both, it's time to check out its settings.

You can use the settings to change your password (not a seed phrase), manage accounts, access developer settings, adjust active networks and connected apps, contact customer support, change your preferred display language and more. The currency concession can also be modified. If you're in the UK, you might prefer Phantom to show the value of the item you're holding in pounds instead of dollars.

Phantom, a Flagship Wallet Prepared for Global Adoption

In essence, Phantom Wallet acts as the identity layer of Web3, allowing access to a wide variety of decentralized applications with a couple of clicks. With it, users can do a variety of things such as hold, transfer, receive, collect, lend, borrow, stake, swap tokens and trade NFTs internally or externally. As Web3 gets global recognition, non-custodial crypto wallets become a gateway for navigating the decentralized crypto landscape. Due to Phantom's variety of features, its simplicity, security and friendly interface, it is likely to lead the crypto management and utilization narrative in the upcoming years.