Is your crypto truly safe? Digital thieves are getting smarter, now able to worm their way into the tightest software wallets.
How can you stay safe? One method is storing your currency in an offline or ‘cold wallet’. If you’ve ever thought about doing so, you’re probably familiar with Ledger and Trezor as heavyweights in the space.
Sponsored
Trezor and Ledger’s wallets differ in the amount of crypto they facilitate, their security approaches, and their extra functionality. So which is best for you?
Table of Contents
At First Glance
What Is A Hardware Wallet?
A crypto hardware wallet is a physical device that securely stores private keys for cryptocurrencies offline, protecting them from online threats.
What Are The Best Hardware Wallets?
Trezor and Ledger are the heavyweights of the hardware wallet industry. Let’s compare to see which would work best for you.
Trezor: The Pioneer
Trezor’s flagship product, the Trezor Model One, was the world’s first hardware wallet. In 2018, Trezor introduced the Trezor Model T, its second-generation cold storage option.
Trezor hardware wallets range from $59 to $179.
Check Out Trezor Model One Here
Ledger Devices: The Contenders
Ledger’s flagship products, Ledger Nano S Plus and Ledger Nano X have garnered widespread acclaim for their robust security features and user-friendly interface.
The Ledger Stax is a hard wallet from Ledger that was due to be released in 2023. However, due to production challenges, pre-orders are still closed. The Stax will feature an E Ink touchscreen, Bluetooth connectivity, and wireless charging.
Ledger’s price tag ranges from $79 to $149.
The Hardware
Put Trezor and Ledger wallets on a table in front of you and the differences are obvious. Trezor wallets have a rectangular plastic body with a monochrome or color touchscreen for the Model T.
Ledger wallets are sleek, USB drive-like, with a stainless steel and plastic casing, featuring an OLED display.
Some people might find the extra durability of Ledger wallets appealing as the metal is less susceptible to physical attack. In 2019, researchers managed to extract private keys from a Trezor device by physically disassembling it and accessing the memory chip directly.
This was a sophisticated attack and unlikely to be replicated by common hackers. But the vulnerability is there, and Ledger hasn’t shown the same vulnerability.
But the differences aren’t just skin deep, Trezor and Ledger are very different under the hood.
Trezor’s Tech: 7/10
The Trezor Model One features a minimalist design with a 128×64 pixel display and an ARM Cortex-M3 processor.
In 2018, Trezor introduced the Trezor Model T, its second-generation wallet. It features a 240×240 pixel touchscreen display and a faster ARM Cortex-M4 processor.
Check Out Trezor Model One Here
Ledger’s Tech: 8/10
The Ledger Nano S, introduced in 2016, looks compact and has a 128×32 pixel OLED display. It was improved on by the Ledger Nano S Plus, which boasts an ARM Cortex-M3 processor.
In 2019, Ledger unveiled the Nano X, its next-generation wallet. It includes a 128×64 pixel screen, Bluetooth connectivity, and increased storage. All this alongside a dual-chip architecture with an ARM Cortex-M0+ and a secure element (ST33J2M0) for additional security.
What This Means For You
If physical attacks worry you, Ledger is the way to go. It’s never been broken into in the same way that Trezor has. However, Trezor’s processors tend to be more energy efficient and therefore better for on-the-go usage.
Ledger’s use of a dedicated Secure Element (SE) chip provides an additional layer of security by isolating cryptographic operations and private key storage. This reduces the risk of key extraction, making your assets safer.
Overall, Trezor’s hardware is functional and requires less power, whilst Ledger’s leans more towards security.
The Software
Both Trezor and Ledger offer software platforms for managing your digital assets. But which is better?
Trezor’s Software: 8/10
Trezor’s operating system, Trezor Suite, offers an interface for managing cryptocurrencies that’s praised online for its simplicity and frequent updates. It has advanced features such as coin control and transaction labeling. These can help users with precise management of UTXOs and easy tracking of transaction history, making sure you can see exactly where your crypto is at all times.
Ledger’s Software: 8/10
Ledger’s software, Ledger Live, provides an interface to manage multiple cryptocurrencies, track market trends, and stake coins. It’s praised for its user-friendly design and robust security online. It has regular updates that address vulnerabilities and add features.
What This Means For You
Trezor Suite offers an interface ideal for beginners and security-focused users. Ledger Live provides a comprehensive dashboard, market analytics, and staking options, catering to advanced users with diverse portfolios.
Beginners should go for Trezor Suite, whereas more experienced traders should opt for Ledger Live.
Security
Both companies utilize secure element chips to store keys securely and implement PIN and passphrase protection to prevent unauthorized transactions.
The key difference is in their approach to firmware. Trezor’s open-source security allows for public code inspection and community trust, while Ledger’s closed-source security uses proprietary protection and a Secure Element chip to enhance physical security.
Trezor’s Features: 9/10
Trezor wallets’ key security features include PIN protection, passphrase support, and recovery seed. Regular firmware updates and open-source software keep protection current, increasing your crypto’s safety. The Model T adds Shamir Backup for splitting the recovery seed into multiple shares.
What Is Shamir Backup?
Shamir Backup splits your recovery seed into multiple parts, called shares. To recover your wallet, you need a minimum number of these shares.
Shamir’s Use Case
If you create 5 shares and need 3 to recover, you can store them in different locations— for example, your home, a bank safe, etc. If one is lost or stolen, you’d still have enough shares to recover your wallet and keep your crypto safe and accessible.
Ledger’s Features: 8/10
Ledger wallets use a Secure Element (SE) chip to securely store private keys and perform cryptographic operations. They feature PIN protection to prevent unauthorized access, a 24-word recovery seed for wallet recovery, and optional passphrase protection.
If you used a Ledger Nano S to store your Bitcoin, you’d set a PIN, write down your recovery seed, and add a passphrase. If your wallet is lost or stolen, you can use the passphrase to recover your funds.
What This Means For You
For the user, Trezor’s open-source firmware and Shamir Backup make it ideal if you prefer visible security processes and redundancy.
By contrast, Ledger’s Secure Element chip provides hardware security, making it suitable if you prioritize strong protection against physical attacks. In 2020, Ledger disclosed a data breach that exposed sensitive information, including customer names and email addresses. No funds were compromised but trust in Ledger was shaken.
Overall: choose Trezor for open-source transparency and backup flexibility, and Ledger for advanced hardware security.
Cryptocurrency Support
One of the crucial differences between these cold wallets is the crypto they support. They may promise security, but can you even get your crypto assets such as Ripple (XRP), Cardano (ADA), or NFTs, onto them in the first place?
Trezor’s Crypto: 7/10
Trezor wallets support over 1,800 cryptocurrencies, providing a wide range of options for users. This includes major coins like Bitcoin (BTC), Ethereum (ETH), and Litecoin (LTC), as well as various tokens such as Chainlink (LINK) and Uniswap (UNI).
Functionality
Users can manage multiple cryptocurrencies, sign transactions offline, and use features like coin control. Trezor supports integration with third-party applications like MyEtherWallet for managing Ethereum and ERC-20 tokens.
Ledger’s Crypto: 9/10
Ledger supports over 5,500 cryptocurrencies, including everything Trezor supports as well as more niche and altcoins.
Functionality
Ledger’s functions include transaction signing and staking. Ledger also supports integration with DeFi platforms and provides seamless management of Ethereum and ERC-20 tokens through third-party apps
What This Means For You
The key difference in cryptocurrency support between Ledger and Trezor wallets lies in the number of supported coins and what you can do with them.
Ledger’s broader support and advanced functionalities may be more suitable if you have a diverse portfolio and want to engage in activities like staking. Trezor’s features are ideal if you prioritize detailed transaction management and a user-friendly interface.
Connectivity
Both Ledger and Trezor can connect to mobile devices but with significant differences.
Trezor: 7/10
Trezor lacks a dedicated app but works with third-party apps like Mycelium and MyEtherWallet via an OTG cable.
Ledger: 9/10
Ledger Ledger offers the Ledger Live mobile app for iOS and Android, allowing direct management of assets, including staking, especially with the Bluetooth-enabled Nano X.
What This Means For You
If convenience is important to you, Ledger’s dedicated mobile app and Bluetooth connectivity with the Nano X are superior. Trezor can be used with mobile apps but relies on third-party applications.
The DailyCoin Verdict
Both companies offer robust hardware devices with advanced security features and user-friendly interfaces. The choice ultimately comes down to personal preference and specific use cases.
Trezor: 38/50
Trezor stands out with its open-source firmware and user-friendly interface. The Trezor Suite software is intuitive, making it an excellent choice for beginners.
The Trezor Model T, with its touch screen, enhances ease of navigation, while the more affordable Trezor One offers robust security in a compact, plastic design with physical buttons.
Ledger: 40/50
Ledger hardware wallets take the lead with their sleek, metal build and broader cryptocurrency support, accommodating far more coins and tokens.
Their closed-source firmware provides an additional layer of security, and the comprehensive Ledger Live software caters to advanced users with features like Bluetooth connectivity in the Nano X model.
My Take
Ultimately, Trezor is ideal for those who prioritize open-source integrity and ease of use.
Ledger is the best choice for users seeking extensive coin support, a stylish design, and advanced features like staking.
For the tech-savvy and experienced traders seeking complex functionality, Ledger is the clear winner; for beginners and open-source enthusiasts, Trezor is the way to go.
On the Flipside
Cold storage isn’t always the best crypto solution, there are many reasons why choosing it for your currencies might not be the best.
- Accessibility: Cold crypto wallets, while secure, lack the convenience of instant access to funds compared to hot wallets such as Metamask. Transferring assets between cold wallets and hot wallets can be time-consuming.
- Risk of Loss: Misplacing or damaging the hardware containing the wallet’s private keys could result in the permanent loss of funds.
- Limited Functionality: Cold wallets may lack the features available with hot wallets, such as integration with decentralized finance (DeFi) platforms.
Why This Matters
Choosing between Trezor and Ledger affects the security and management of your cryptocurrency. The ideal option offers robust security, wide support, a user-friendly interface, and reliable support. Consider compatibility, ease of use, and personal preferences for the best experience.
FAQs
A cryptocurrency wallet securely stores private keys, allowing users to manage digital assets. It interacts with the blockchain to record transactions. Wallets come in hardware, software, and paper forms.
Choosing between Trezor and Ledger depends on individual preferences and priorities. Trezor emphasizes open-source development and community engagement, offering robust security and wide cryptocurrency support. Ledger, on the other hand, provides advanced features like Bluetooth connectivity and a comprehensive software platform. You should choose Trezor if you value security and simplicity, or Ledger if you value coin support and extra features.
The Ledger Nano S Plus and Trezor One differ in design, cryptocurrency support, and connectivity. Ledger Nano S Plus features a compact OLED display, wide crypto support, and Bluetooth connectivity. Trezor One has USB connectivity, security via Shamir backup, and a larger screen.
