Ethereum (ETH) is the second-largest cryptocurrency in the world, ranking only behind Bitcoin in terms of market capitalization. Crypto adoption in the UK has increased significantly over the past few years, leading to a massive demand for cryptocurrency wallet services. The wallets used for storing Ethereum come in all shapes and sizes, but not all have the same features.
Most crypto platforms will provide you with a wallet for free when you register for an account. However, you can buy Ethereum in the UK and store the digital assets in a cryptocurrency wallet that no other entity can access, which is known as a private crypto wallet. In this guide, we will go through all the various Ethereum wallets (MetaMask, Ledger, Exodus, and more) so you can decide which is best for your needs.
How to Set Up an Ethereum Wallet in the UK
Follow these simple steps to set up an Ethereum wallet:
Step 1: Sign Up for an Account
Step 2: Verify Your Identity
Step 3: Your Ethereum Wallet is Now Ready
How Do You Cash Out And Spend Ethereum From A Wallet?
To cash out your Ethereum holdings from a wallet, you can follow these steps below:
Step 1: Open the Wallet
Step 2: Provide the Recipient's Wallet Address
Step 3: Sign In to Your Account
Step 4: Click ‘Deposit’
Step 5: Paste the Address
Step 6: Click Confirm
Step 7: Sell Your ETH
Step 8: Withdraw the Money
What Types of Ethereum Wallets Are There In The UK?
Ethereum wallets come in all shapes and sizes and vary regarding security and ease of use. Wallets provided by crypto platforms are the most beginner-friendly option.
On the other hand, private crypto wallets require more technical knowledge but come with additional features. For example, staking and sending and receiving non-fungible tokens (NFTs).
When you set up a private wallet, you are presented with two strings of letters and numbers.
The shorter string is your public key, which you would share to receive digital assets from exchanges, other users, or even yourself from a different wallet.
The other string is the private key, which serves as the password to your entire cryptocurrency wallet. Keep this private key safe as you would the pin code to your bank card. It is worth making a copy of this code somewhere safe so that you have a backup to rely on if the original gets destroyed.
When a crypto wallet reveals the private keys to the user, this is known as a non-custodial wallet since the user has sole access to the funds.
On the other hand, wallets provided by crypto platforms are known as custodial wallets, as the company holds the private keys and allows the user to send and receive assets from the wallet.
These wallets are typically the most user-friendly; however, the funds may be stolen if the exchange gets hacked. The digital assets may also get seized if the exchange goes bankrupt.
This would not be the case for non-custodial wallets, as no one but the user has to access to the funds.
Hot Wallets - Best Ethereum Wallets For Beginners in the UK
What is the best Ethereum wallet for beginners? There are various Ethereum wallets, but they can all be classified into two distinct groups: hot and cold wallets.
A hot wallet is a wallet that is always connected to the internet. Some examples include:
Desktop wallet and laptop wallet. A laptop or desktop wallet is a downloadable app for your Windows or Mac computer.
A web wallet or browser extensions. Bookmark your wallet. If you use a web wallet, bookmark the site to protect yourself against phishing scams.
Smartphone applications. A good hot wallet example is a mobile wallet. It is a great option when you want to check your stored assets on your phone.
Wallets provided by exchanges or brokerage platforms.
Cold Wallets - Best Ethereum Wallets For More Experienced Users in the UK
On the other hand, a cold wallet is disconnected from the internet, which means there is a lower risk of it being compromised or hacked by online attackers. Examples of cold wallets include:
Paper Wallets.
Hardware Wallets. A hardware wallet lets you store your private keys in a physical device. If you're looking to hold some serious value, we recommend a hardware wallet, as these are the most secure.
Cold wallets are typically used for larger amounts of money and long-term holdings. However, as a private key is everything in cryptocurrency, where you store them is crucial, and hardware wallet options are widely popular.
Top Hot & Cold Ethereum Wallets in the UK
Best Ethereum wallets overall
The are a few things to consider before choosing the best Ethereum wallet. The table below contains a list of the top wallets overall for users of all experience levels, starting with the one that beginners prefer.
| Wallet Name | Wallet Type | Price | Beginner Friendly? | Best Feature |
| eToro | Platform (Hot wallet) | Free | Yes | Intuitive user interface. |
| MetaMask Wallet | Browser extension/mobile app (Hot wallet) | Free | Yes | A wide range of assets supported |
| Ledger | Hardware (Cold wallet) | $59 - $119+ | Yes | Private keys secured on the device |
Here’s a more in-depth look at each of these wallets:
eToro
Best Ethereum wallet for beginners in the UK
eToro is a multi-asset trading platform that offers markets for several cryptocurrencies, including Ethereum. The platform provides a secure free wallet for all its cryptos with security features, including 2-factor authentication and data encryption. This is considered one of the best Ethereum wallet options for beginners.
- Quick account registration
- Avoid the technical side of crypto
- Easy to use and a good choice for beginners
- Customer service can be slow sometimes
- Withdrawal fees may apply
- Inactivity fees after 12 months
MetaMask Wallet
Best Ethereum wallet for more experienced users in the UK
MetaMask is a cryptocurrency wallet that supports thousands of tokens and enables users to access decentralized applications. If you have experience investing in crypto, MetaMask can be the best Ethereum option.
Ledger
Best Ethereum wallet for advanced users in the UK
Ledger is a very popular secure Ethereum hardware wallet. Ledger wallets are hardware wallets that are used to store private keys offline. Hardware wallet options offer an added level of security over software wallets since transactions require physical authorization on the device.
If you're looking for a more extensive list of Ethereum wallet options, then have a look at the section below for rankings by each type. In addition, we've put together a number of cryptocurrency wallet guides for the top cryptocurrencies in the UK:
Best Ethereum Wallets In The UK Reviewed By Type
Best software Ethereum wallets in the UK
Below we have listed various software wallets, beginning with the most beginner-friendly one to help you make a more informed decision.
| Wallet Name | Wallet Type | Price | Beginner Friendly? | Best Feature |
| Exodus | Software wallet | Free | Yes | Intuitive user interface |
| MyCrypto | Software wallet | Free | Yes | Security |
| Atomic Wallet | Software wallet | Free | Yes | Portfolio Management Tools |
Best hardware Ethereum wallets in the UK
This section lists the top hardware wallets on the market that support the Ethereum coin.
| Wallet Name | Wallet Type | Price | Beginner Friendly? | Best Feature |
| Ledger | Hardware wallet | $59 - $119+ | Yes | Private key encryption |
| Trezor | Hardware wallet | $85+ | Yes | A large variety of assets supported |
| SafePal | Hardware wallet | $49.99 | No | Cheaper than competition |
Best mobile application Ethereum wallets in the UK
One of the disadvantages of a mobile wallet is that it is easy to hack, and if your mobile device is lost, you may lose access to your Ethereum funds. However, backups can keep you safe from any loss arising from hacks or unintentionally losing your keys. A very popular mobile wallet that supports Ethereum is the eToro wallet.
Additionally, there are other good Ethereum wallets, such as Trust Wallet, Coinbase wallet, and Exodus. You can start using an Ethereum wallet app by downloading the app and filling in your details.
In the following table, we have listed the top mobile app Ethereum wallets to help you manage your assets on the go.
| Wallet Name | Wallet Type | Price | Beginner Friendly? | Best Feature |
| eToro wallet | Mobile App | Free | Yes | Variety of coins |
| Trust Wallet | Mobile app | Free | Yes | Easy setup |
| Coinbase Wallet | Mobile app | Free | Yes | Beginner-friendly |
| Exodus | Mobile app | Free | Yes | A variety of coins supported |
Best Free Ethereum Wallets in the UK
Read below for the best Ethereum wallet examples on the market that can be used for free. eToro is a good free Ethereum wallet example; it is a hot wallet that supports many coins. You can use a paper wallet if you're looking for more security. Paper wallets are considered cold wallets. Finally, if you are looking for a very simple user interface, Trust wallet is a good hot wallet example.
| Wallet Name | Wallet Type | Best Feature |
| eToro | Hot wallet | Many coins supported |
| Trust Wallet | Hot wallet | Simple user-interface |
| Paper wallet | Cold wallet | Security |
What to Consider When Choosing A Wallet in the UK?
Do Ethereum wallets support NFTs?
Non-fungible tokens (NFTs) are digital assets stored on the blockchain. They can exist in various forms, such as digital art, certificates, music, virtual land, and more. Ethereum was the first blockchain to support non-fungible tokens and remains the most popular platform for storing NFTs.
Most Ethereum wallets, including MetaMask and Trust Wallet, support NFTs — only exchange/brokerage platform wallets that do not.
Is staking possible with an Ethereum wallet?
Staking is the process of "locking up" your tokens for a period of time and earning interest on your holdings — similar to how a bank pays interest on your savings account. Many platforms like eToro, Binance, and Coinbase offer this feature.
Can I use the same wallet for multiple exchanges?
There are no limitations on how many exchanges you can use per crypto wallet. Each user can create as many wallets as they wish and hold unlimited crypto assets. The same wallet can be used to send assets to multiple different exchanges and wallets.
When making transactions, it is important to double-check the sender and recipient addresses, as there is no way to recover assets sent to the wrong wallet. If you send Bitcoin, ensure that the recipient address belongs to a Bitcoin wallet, digital assets will be lost forever if you send Ethereum to a Bitcoin wallet.
Notably, the first few characters of the wallet address typically indicate which blockchain it belongs to.
Can I trade on decentralized exchanges using an Ethereum wallet?
Some cryptocurrency wallets give users access to decentralized exchanges (DEXs) directly from the app. This enables users to trade and manage their assets in a decentralized way without any intermediaries. Many of the wallets we have discussed today offer this feature, including MetaMask, Trust Wallet, and Coinbase Wallet.
Can I buy Ethereum using a wallet in the UK?
It is common now to find wallets that offer users the ability to buy cryptocurrency directly from the app using third-party providers. This is a feature that is offered on Trust Wallet, for example.
Open the app, search for Ethereum, click 'buy' and follow the onscreen instructions to complete the transaction.
In addition to buying ETH, you can also buy other altcoins using crypto wallets. However, since wallets use third-party providers to execute the transactions in the UK, you might be wasting a fair bit of your pounds on the transaction fees. We've put together a number of guides to buying cryptocurrencies in the UK with minimal fees:
Do I Have to Pay Tax on Ethereum Stored in My Wallet in the UK?
You may be liable for taxes when dealing with cryptocurrencies in the UK, as per the guidelines provided by HMRC. Therefore, it is important that you keep up to date with the latest regulation to ensure that you stay compliant with the law.
Crypto companies may be required to provide information on their customers to the relevant authorities if requested.
Top Tips For Ethereum Wallet Users
Never enter your seed phrase on a website, as it could be a scam/phishing site.
Double-check and triple-check the wallet address before making a transaction. An incorrect address may lead to a loss of funds forever. Remember, the blockchain is decentralized, so no customer service can help to retrieve your assets.
Make a copy of your seed phrase / private key and keep it safe in case you forget your password. One of the best ways to keep it safe is to print it out on paper and store it in a safe place.
Crypto platform staff will NEVER ask for your seed phrases. If someone does, they may be a scammer, so beware.
