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BLOCKCHAIN-BASICS5 MIN READ

Wallets hold keys, not coins

Explain how blockchain accounts, private keys, and signatures control transactions.

The key distinction: the wallet is the signer, not the vault. Blockchain balances live in network state. A wallet usually manages the credentials that authorize state changes. For an externally owned Ethereum account, the private key controls the ability to initiate transactions. The public address can receive assets; the private key signs actions. Why this matters A normal password can often be reset by an administrator. A blockchain private key often cannot. That makes key management a first-order operational control, not an IT afterthought. Custody changes the control model Self-custody means you control the signing material and the recovery burden.…

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