Before you install any Cardano wallet, it is important to understand what a wallet really is, what a seed phrase does, and the safety habits that protect your ADA.
This page stays brand‑neutral and focuses on concepts first. Later, you can follow separate step‑by‑step guides for specific wallets.
A Cardano wallet does not “hold” ADA inside the app. Instead, it holds keys that let you control ADA recorded on the blockchain.
Think of the blockchain as a public ledger, and your wallet as the remote control that can tell the network to move funds from one address to another.
Most Cardano wallets are non‑custodial, which means you (not an exchange) control the keys and are fully responsible for keeping them safe.
This gives you more independence and privacy, but it also means there is no “forgot password” button if you lose your seed phrase.
Hot wallets run on internet‑connected devices like phones and laptops and are convenient for daily use. Cold wallets keep keys offline for stronger long‑term security.
Hardware wallets are special devices that store keys offline but let you sign transactions safely by confirming on the device itself.
When you create a wallet, you receive a list of 12, 15, or 24 words called a seed or recovery phrase. This phrase can recreate your wallet on any compatible app.
Anyone who has these words can restore your wallet on their device and spend your ADA, even without your phone or computer.
No one legitimate will ever need your seed phrase. Not wallet support, not exchanges, not “giveaway” sites, and not friends or family.
If a website, app, or person asks you to type your seed phrase for any reason, treat it as a scam and stop immediately.Write the words down on paper (or metal) and store them somewhere private and offline, such as a safe or other secure location.
Avoid keeping the phrase in plain text on your phone, email, or cloud notes where malware or phishing attacks could find it.
Use a device you control, keep its operating system updated, and run reputable antivirus or anti‑malware tools to reduce the risk of key‑stealing software.
Avoid installing random browser extensions or software from unknown developers on the same device you use for your wallet.
When a wallet asks you to create a spending password, choose one that is long, unique, and not reused from any other site or service.
A password manager can help you create and store strong passwords safely, so you do not need to remember them all.
Bookmark the official websites for your wallet and for Cardano, and always use those bookmarks instead of links from messages or ads.
Look carefully at the address bar for misspellings or extra words; phishing sites often imitate official pages to steal seed phrases.
For larger amounts, many users keep ADA on a hardware wallet and only use hot wallets for smaller, everyday balances.
On exchanges and related accounts, turn on two‑factor authentication (2FA), preferably with an authenticator app rather than SMS.
Different wallet types trade off convenience and security. This table gives a simple overview to help you choose what fits your situation.
| Type | Example use | Pros | Cons |
|---|---|---|---|
| Hot software wallet | Daily spending, interacting with dApps | Easy to use, quick access, supports staking and tokens | Connected to the internet, higher exposure to malware |
| Hardware wallet (cold) | Long‑term savings, larger balances | Keys stay offline, very strong protection against online attacks | Costs money, slightly less convenient for frequent small transactions |
| Paper / backup wallet | Backup copy of a seed phrase stored offline | Immune to online hacks if stored securely, good as a backup | Can be damaged or lost; not convenient for regular use |
| Custodial account (exchange) | Short‑term trading or on‑ramp/off‑ramp | Very simple for beginners, no seed phrase to manage directly | Exchange holds keys; if they are hacked or freeze withdrawals, you may lose access |
Lace is a beginner‑friendly Cardano wallet built by Input Output Global (IOG), the engineering company behind Cardano. It lets you hold ADA, interact with apps, and stake your ADA from a simple browser interface.
You should always download Lace from its official website or from the official browser extension store page linked there, never from random ads or links in messages.
In your browser, type https://www.lace.io yourself or use a trusted bookmark,
then follow the link to install the Lace extension for your browser.
Avoid “sponsored” ads or look‑alike domains. If the site looks suspicious or the address
bar is not exactly lace.io, close the tab and try again.
After installing Lace, click the Lace icon in your browser and choose to create a new wallet. You will be shown a recovery (seed) phrase and asked to write it down.
Write the words on paper (or metal), in order, and store them somewhere private and offline. Do not take screenshots or store the phrase in email or cloud notes.
Lace will usually ask you to confirm parts of your seed phrase to make sure you wrote it down correctly. Take your time on this step; it is your only way to recover the wallet.
Never enter your seed phrase anywhere except inside the Lace extension you just installed yourself from the official source.Lace will ask you to choose a password used to confirm transactions. Make it long, unique, and not reused from other accounts. A password manager can help.
Even if someone sees your screen, they cannot move your ADA without both your wallet and this password, as long as your seed phrase stays private.
Cardano lets you “stake” your ADA by delegating it to a stake pool. In Lace, this is built in: you choose a pool, delegate your ADA, and then earn rewards over time.
Your ADA stays in your wallet and is not locked when you stake with Lace, so you can still send, swap, or use it in apps while earning rewards, similar to a savings account earning interest.
Inside Lace, you pick one or more stake pools from the staking area and delegate some or all of your ADA to them. The pools help secure the network by producing blocks.
In return, you receive periodic ADA rewards credited to your wallet after a few Cardano epochs, without losing control of your funds.
Cardano’s staking model does not lock your ADA. You can move, spend, or sell it whenever you like, and you can change stake pools later without penalties.
This is why staking in Lace can feel like a flexible savings feature: you are helping the network and earning rewards while keeping full access to your funds.
Unlike some other networks, Cardano does not use “slashing,” so your staked ADA is not taken away because a stake pool misbehaves or goes offline.
The main risk is still human error or scams: protect your seed phrase and only use the official Lace interface when changing staking settings.
When you start holding larger amounts of ADA, many people use a hardware wallet (like a Ledger device) together with Lace so that their private keys stay on a dedicated offline device.
In this setup, Lace works as the interface you see on screen, but every important action must be approved on the hardware wallet itself, adding another strong layer of protection.
Hardware wallets store your keys in a secure chip that never exposes them to your computer, making it much harder for malware to steal them.
You can still use Lace to view balances, stake ADA, and interact with apps, but all signing happens on the hardware device by pressing its physical buttons.
To connect, you typically install the Cardano app on your hardware wallet, then in Lace choose to add or connect a hardware wallet and follow the on‑screen steps.
Once linked, Lace shows a “hardware” wallet profile. You use the same staking and sending screens, but the device must confirm each transaction before it is broadcast.
Even with a hardware wallet, you still have a seed or recovery phrase that must be written down offline and kept secret. If someone gets those words, they can recreate the wallet.
Never type a hardware‑wallet seed phrase into Lace, a browser, or any website. Only enter it directly on the hardware device itself, following the manufacturer’s instructions.This walkthrough is written for a desktop browser like Chrome, Brave, or Edge, which are officially supported for the Lace extension. The steps are very similar across them.
https://www.lace.io in the address bar and press Enter.
Do not click ads or links from random messages; always type the address yourself or use a bookmark.
After you are comfortable with Lace and, if needed, a hardware wallet, you are ready to explore what you can actually do on Cardano. Continue to the Apps & NFTs page to learn about payments, NFTs, DeFi, and more.