Hot wallet
A crypto wallet whose keys sit on something connected to the internet. Super handy, but easier to hack.
If the private keys live on a phone, a browser or a server that's online, you're looking at a hot wallet. The app on your phone is one. So are the wallets casinos and exchanges use to send out your withdrawals.
Why your big cashout can be slow
Casinos only keep part of their crypto hot so they can pay people fast. Most of it sits offline in cold storage. When the hot wallet gets low, a big withdrawal might wait until someone manually tops it up from cold storage. That's a common, legit reason a large payout takes longer.
The catch: when casinos or exchanges get hacked, the hot wallet is usually what gets hit. A site that keeps most of the players' money hot is taking chances with yours.
Your own coins
- A self-custody wallet on your phone is fine for small amounts you plan to use, like your gaming budget for the month.
- Got more than that? Move it to a hardware (cold) wallet.
- Write your recovery phrase down offline. Never type it on a website, and never give it to support. Ever.