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5 Best Hardware Wallets for DeFi in 2024

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The decentralized finance (DeFi) space has been growing at an exponential rate, growing from a TVL of less than $1 billion in 2020 to more than $97 billion as of mid-May 2024. Hardware wallets for DeFi offer enhanced security and protect users against malicious software that targets crypto users.

In this article, we are going to list some of the best DeFi-focused hardware wallets and look into some popular DeFi use cases that hardware wallets make more secure.

Hardware wallets manufactured by Ledger are widely regarded as the safest and most reliable way to store Bitcoin and other crypto assets. As long as the seed phrase storage is handled with care, there's no way that any malicious actor or software could endanger the safety of your crypto.

Buy a Ledger Hardware Wallet

List of the best hardware wallets for DeFi:

  1. Ledger Nano X – The best hardware wallet for DeFi, including cold staking and NFT management
  2. Ledger Nano S Plus – A cheaper but still robust option for DeFi enthusiast
  3. Trezor Model T – The best alternative to Ledger among hardware wallet options
  4. CoolWallet Pro – DeFi-focused crypto wallet with an inbuilt cold/hot wallet switch
  5. SafePal S1 Pro – A robust wallet for DeFi with seamless support for dApps

Best hardware wallets for DeFi in 2024

The following hardware wallets offer a great blend of security and user-friendliness, making them a great choice for anyone looking to explore the world of DeFi.

1. Ledger Nano X

ledger nano x

Ledger Nano X is hands-down the best choice for DeFi users who want to secure their crypto transactions with a hardware wallet. It supports thousands of digital currencies, cold staking through the Ledger Live app, NFT management, and Bluetooth and USB connectivity. It’s widely considered one of the best crypto hardware wallets.

2. Ledger Nano S Plus

Ledger Nano S Plus boasts a lot of the features of the more expensive Nano X at nearly half the price. However, the S Plus has less storage capacity and lacks Bluetooth connectivity, which means that you must carry around a USB cable if you want to use it.

3. Trezor Model T

Trezor Model T is the flagship offering in Trezor’s lineup of hardware wallets. It supports thousands of coins across hundreds of blockchains, making it a good choice for various DeFi use cases. However, the wallet doesn’t support ETH staking natively, and its default software, Trezor Suite, is not as feature-rich as some competitors.

4. CoolWallet Pro

CoolWallet Pro is a unique hardware wallet that can be managed by the CoolWallet App, which allows users to quickly switch between the hot wallet and cold wallet mode with just one click. This makes it especially useful for accessing various decentralized applications (dApps).

5. SafePal S1 Pro

SafePal S1 Pro offers easy access to various mining pools, allowing you to stake your assets and earn staking rewards without any third-party apps. The connection is handled natively by the SafePal Wallet, which is the default software platform used by the SafePal S1 Pro.

Ledger Nano X: The best hardware wallet for decentralized finance

In the following sections, we are going to showcase what makes Ledger Nano X stand out as the best hardware wallet for DeFi enthusiasts by covering some of the most common DeFi use cases.

Connecting with MetaMask (or other hot wallets)

Connecting your hardware wallet to an online DeFi service essentially turns it into a hot wallet, defeating the purpose of using the cold wallet in the first place. But there’s a neat workaround. You can connect your hardware wallet to a hot wallet, which means that the assets secured by the hardware wallet remain inaccessible from outside services. However, it allows you to transfer funds to a hot wallet when connecting to a DeFi service or product.

MetaMask is one of the most popular hot wallets on the market. It allows users to connect to various DeFi platforms, like decentralized exchanges, staking services, NFT marketplaces, and more. MetaMash offers native support for the Nano X. You can learn how to connect MetaMash and the Nano X in the video below.

Trading on Uniswap DEX

Once your Nano X is connected to an online wallet like Metamask or Trust Wallet, you can use it to connect to various DeFi platforms, including decentralized exchanges. To do so, simply head to the Uniswap homepage, click on “Launch App,” and then on “Connect.” A popup will appear, prompting you to authorize Uniswap transactions with MetaMask.

Staking ETH on Lido

With the transition to the Proof-of-Stake (PoS) consensus algorithm in 2022, staking Ethereum has become one of the most popular DeFi use cases and passive income generating options in crypto in recent years. The most popular platform that enables Ethereum staking is Lido, which accounts for a whopping $27 billion of staked ETH.

Ledger Nano X allows users to stake ETH via Lido right from the Ledger Live app, offering a seamless experience for users who want to stake their Ethereum coins. This makes it one of the top hardware wallets for staking.

Wallet Connect

Wallet Connect is a powerful tool that allows users to connect their Ledger device to dApps without relying on browser extensions or using how wallets as an intermediary. Wallet Connect is integrated directly into the Ledger Live platform, allowing the Nano X users to connect to games, tools, social platforms, trading platforms, and other decentralized platforms. Wallet Connect is available both for mobile and desktop versions of Ledger Live. For a full list of supported apps, check the official Ledger page.

ledger live discover

Wallet Connect allows users to access DeFi services directly from the Ledger Live platform. Image source: Ledger

The bottom line

Using a hardware wallet like the Ledger Nano X when connecting to decentralized applications ensures a higher degree of security than using DeFi services with hot wallets. The Nano X is particularly great in that regard, thanks to the Wallet Connect support, which allows users to connect to various DeFi platforms with the Nano X directly from Ledger Live (both on desktop and mobile).

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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