Ledger

What is Ledger?

Ledger is a hardware wallet company that makes physical devices designed to store cryptocurrency private keys offline. The most popular models are the Ledger Nano S and Nano X small USB-like devices about the size of a thumb drive.

How does Ledger work?

1. Private keys are generated and stored on the device they never leave it.
2. You plug the Ledger into your computer via USB.
3. When sending crypto, transaction details appear on the device screen for review.
4. You press a button on the device to sign and confirm.
5. The signed transaction is sent to the network; the private key stays on the device.

Why does Ledger matter?

Ledger solves the problem of safely owning crypto without exposing keys to compromised computers or the internet. For large holdings, a hardware wallet is considered essential.

Key features of Ledger

• Private keys stored offline
• Secure chip prevents extraction
• Supports 5,000+ cryptocurrencies
• Transaction review on device screen
• Seed phrase backup for recovery

Examples of Ledger

A Bitcoin holder connects their Ledger Nano X to MetaMask. When they interact with DeFi dApps, the Ledger signs every transaction.

Even if MetaMask or the dApp is compromised, the attacker cannot access the private key on the device.