A hot wallet is a type of digital wallet that allows the users to store, send and receive cryptocurrency. Web-based wallets, mobile wallets, and desktop wallets are all typically hot wallets. Among them, web wallets are the least secure. Hot wallets are one the most famous kinds of cryptocurrency wallets that help the user in basic transactions. A hot wallet can be accessed from anywhere and is usually connected to the internet.

Binance, Coinbase or KuCoin etc not ‘Hot Wallet’ when they store your cryptocurrency. Exodus and Trustwallet are also hot wallets while you own your crypto asset when you use a dedicated mobile / desktop based wallet. It is advisable to only store that amount of Crypto on exchanges which you want to trade. As crypto assets saved on web exchanges is not owned by you. Detailed reasons have been covered in this intro video.