How to choose the best wallet for storing and managing NEM tokens (XEM).
NEM, or New Economy Movement, is a customizable blockchain platform for developers looking to build and deploy apps across a wide range of industries. The XEM token is the native currency of the NEM network and is one of the world’s top 20 cryptocurrencies in terms of market capitalization at the time of this writing. It has garnered plenty of attention from cryptocurrency enthusiasts.
If you want to buy XEM, you’ll need to find a safe and secure wallet where you can store your tokens. NEM offers an official desktop wallet as well as mobile wallets for Android and iOS, so let’s take a closer look at the features they have to offer and find out how you can choose the right wallet for your needs.
Top wallets for NEM
What to look for in a NEM wallet
If you’re searching for a wallet to store XEM or any other cryptocurrency, there are a few key features you need to look out for:
- Compatibility. First, you’ll need to make sure that any wallet you’re considering is compatible with XEM or whatever coin or token you want to store. Second, you’ll also need to choose a wallet that’s compatible with your operating system and device.
- Ease of use. If you’re new to cryptocurrency and crypto wallets, learning how to manage your funds can be confusing and a little overwhelming. Choosing a wallet with an easy, uncomplicated interface can help make the process a whole lot easier.
- Security. When you’re dealing with digital currency, theft and hacking are very real risks. Look for a wallet that has a good reputation for security, allows you to retain control of your private keys and includes added features like 2-factor authentication.
- Development and support. Check out the team behind the wallet to find out whether it’s constantly being developed with improvements and upgrades. This can not only increase the security of a wallet but also increase its functionality.
- Backup and recovery. Does the wallet have an easy-to-use backup feature so that you can recover all of your funds if you’re unable to access your wallet for some reason?
- Customer assistance. Consider the reputation a wallet provider has for responding to customer questions and problems. Will you be able to get the help you need if you ever experience any issues?
- Harvesting. Harvesting is the process of generating blocks in the NEM system and earning transaction fees from that block as a reward. You’ll need a vested account balance of at least 10,000 XEM if you want to harvest. Find out more about how the process works in our guide to NEM.
Popular NEM (XEM) wallets
- Easy to use, accessible from a wide range of platforms, good security features, hardware wallet integration
- Not as convenient as a mobile wallet
NEM’s NanoWallet is a desktop client that’s designed to make it as quick and easy as possible to store and manage XEM. Compatible with Windows, Mac and Linux operating systems, it allows you to send XEM, mosaics and messages to any address or namespace.
The setup process is simple and the user interface is similarly easy to wrap your head around. You don’t need to be a cryptocurrency expert to start sending or receiving funds, and Changelly instant exchange is a handy feature.
You can create on-chain multi-signature and multi-user accounts, and the NEM NanoWallet also allows you to maintain control of your private keys.
As of December 2017, the wallet also features TREZOR integration, allowing you to secure your XEM tokens using this popular hardware wallet.
Storing NEM in an exchange walletAnother option you may be considering is storing your XEM tokens in an exchange wallet. This is a simple and convenient option if you’re preparing to place a trade but is generally not recommended for a couple of reasons.
In most cases, private keys for exchange wallets are owned by the exchange, not you, so you don’t have full control over your funds. There’s also the fact that exchanges are popular targets for hackers, so the security of your funds can’t be guaranteed.
With this in mind, it’s safer to move your holdings into a secure, private wallet.
NEM Mobile Wallet
- Android and iOS access, convenient to use, simple user interface
- Some user complaints about bugs
If you’re looking for a more convenient way to manage your XEM, the NEM mobile wallet is available on Android and iOS devices. This free app is easy to use and allows you to send and receive funds, and generate, import and export NEM accounts.
Multi-signature functionality is included, while all private keys and other important data is encrypted and stored on your device. Transactions are completed quickly, and it’s simple to navigate your way around the user interface.
However, some users have reported issues with crashing and other bugs associated with the app. For example, at the time of this writing (3/6/18), of the 404 user reviews on Google Play, 143 gave the app a 1-star rating.
Tips for securely storing your XEM
Whether you’re storing XEM or any other cryptocurrency, keep the following tips in mind to increase the security of your funds:
- Set strong passwords. Instead of being lazy and just setting up the same password you use for a heap of other online accounts, put some effort into creating a strong and secure password. Use letters and numbers, upper- and lowercase letters and a range of other accepted characters, and make it longer than your standard email password.
- Update your protection. Check that your antivirus software and malware protection is up to date on all devices to safeguard your crypto holdings against hacking.
- Make a backup. In case you ever can’t access your wallet for any reason, make sure you create a backup that allows you to recover your funds.
- Keep private keys private. Don’t share your private keys with anyone. You can’t access your crypto funds without them, so make sure they’re stored somewhere safe and secure.
- Use all available security features. If a wallet supports 2-factor authentication, enable this feature. If you have the option of creating a secure PIN for an extra layer of protection, do it.
- Do your research. Finally, before choosing any wallet, do your research to find out whether it’s offered by a legitimate and reputable provider, and make sure it offers all the security features you need.
At the time of this writing, the author holds IOTA and XLM.