Private key is like a password that lets the crypto traders and investors get access to their funds. It is a combination of numbers and letters forming a long string that is created for the first time when the trader creates his or her crypto wallet.
Digital assets can be managed from anywhere in the world as long as the investor has their private key. Private keys often come along with public keys. The public key is nothing but the wallet address that one shares to receive fund deposits from others. While public keys are shareable, private keys must be kept a secret from others as anyone with the private keys can easily access the crypto funds of the investor.
Private keys can be stored either in a hot wallet, which is a storage system relying on the functionality of the internet, or a cold wallet, which is an offline storage system. One must be very careful with one’s private keys as the loss of those keys might result in the loss of crypto assets.