Is Exodus Wallet Safe? Security Features, Risks & What Users Say

Why did Exodus Wallet become a fan favorite?

Exodus Wallet is a software wallet launched in 2016 by the initial Exodus team of two developers who wanted to replace complex blockchain jargon with a clear and user-friendly interface.

The platform supports more than 260 digital crypto assets across desktop, mobile, Web3, Trezor, and Ledger. 

Exodus Wallet is positioning itself as a multi-currency crypto wallet for newcomers who are intimidated by complex technical interfaces. 

But what about its in-built security measures? 

Exodus Wallet security features

These are the security features and safety measures Exodus Wallet offers to its users:

Non-custodial design

Your private keys stay on‑device and nowhere else. Even if there will be some central server hack, no one will be able to siphon your funds. Just keep your operating system updated, and you’ll have your private keys safe from leaking. 

Data encryption

U.S. Exodus Wallet encrypts data locally, so a thief that will try to grab your data will see only scrambled gibberish instead of distinctive sensitive financial info. Still, the company doesn’t mention the exact encryption standard they use on their official website.

12‑word seed backup 

In other words, your crypto lifeline is 12 words written on paper. This single sheet of paper can restore your funds if you lose your phone. Just write it, laminate it, and keep it somewhere offline.

Biometric lock on the Exodus mobile app

Users can add a fingerprint or their Face ID as a security measure against shoulder‑surfers who might guess your PIN. 

Trezor and hardware wallet integration 

Plug a Trezor Model T into the desktop client, sign transactions on the device, and keep private keys offline. That hybrid setup combines hot‑wallet convenience with hardware wallets resilience.

Users consider all these features when deciding on whether to use Exodus Wallet or not. Let’s see what are the downsides of this platform in the next part of our Exodus crypto wallet review. 

Weak spots of Exodus Wallet to consider  

Despite the mentioned Exodus Wallet safety measures, the platform is not totally immune. Here are the main pain points: 

No built‑in two-factor authentication (2FA)

Exodus Wallet lacks implemented 2FA, which means a cracked password and stolen key phrase equals con artists getting full access to your assets. 

Risk of catching malware on your device 

How is this connected? Fake “update” sites may hide malware that can steal your private keys or passwords as soon as you launch the Exodus Wallet app next time. The Exodus Wallet stated that this is one of the potential reasons why users’ crypto may become vulnerable. 

Fake apps 

Even unrelated to Exodus Wallet, apps like free tools or browser add-ons can be dangerous if you download them from shady websites or unreliable sources. They may carry hidden malware that hijacks your device and targets your crypto wallet, even if the wallet itself is untouched. One risky install is enough to steal your funds.

A case in point: a malicious npm package disguised as a PDF converter quietly targeted users of Exodus and Atomic Wallets by tampering with their locally installed apps. Once installed, the package searched for specific wallet versions on the victim’s computer and secretly replaced core files with altered code. This allowed attackers to hijack transactions by silently swapping the user’s intended wallet address with their own. Because the malware “patched” existing installations instead of attacking from the outside, it often went undetected and persisted even after the package was deleted. Victims had to fully reinstall their cryptocurrency wallets to remove the threat.

Limited direct hardware vault 

Exodus Wallet allows you to connect to a Trezor hardware wallet, adding a layer of protection and letting you keep your private keys offline. But in case you don’t use a hardware wallet like Trezor and rely on Exodus alone, your crypto is still stored on a device connected to the Internet. What is the danger here? It makes your crypto more vulnerable to hacking.

One Reddit user summed up his observations when people claim to be hacked and blaming Exodus Wallet: 

Now, let’s sum things up and look at the advantages and disadvantages of Exodus Wallet before talking about the steps to make your protection stronger. 

Exodus Wallet pros and cons

Here is an at‑a‑glance table for better understanding of the whole picture: 

Having that covered, let’s cover best practices that can help keep your crypto safe when using Exodus Wallet. 

Tips to keep your funds safe on Exodus Wallet

Even the best security features cannot fix users’ unsafe online habits. Follow these steps to give your crypto assets the protection:

Download only from official sources 

Always download the Exodus software wallet from  exodus.com (watch for the padlock icon before clicking). As we said before, fake sites that offer “updates” often carry hidden malware that may steal your private keys or passwords.

Write down the seed phrase and don’t photograph it

Don’t write your seed phrase in the notes on a device and never upload this phrase to cloud storages. The best way is to write them on paper, and then store a copy in a safe place. Don’t take photos of it, as digital photos can leak during a device sync or in case you have malware installed.

Use a strong, unique password for crypto wallets

Imagine a 16‑character mix of letters, numbers, and symbols. This is  a truly secure password. Never re-use your passwords for online wallets because it makes brute‑force attacks easier for cybercriminals.

Pair Exodus Wallet with hardware wallets

Consider connecting a Trezor or Ledger. Such a hardware wallet integration will keep your private keys offline and you will be able to sign every transaction on the device. This will turn Exodus into a desktop wallet or your mobile wallet app with better control over your assets.

Keep your device’s operation system updated

Always install security patches as soon as there are new versions available, and don’t use any shady software. Most “Exodus wallet hacked” stories start with an infected device, not the wallet code itself.

Encrypt your Internet connection with a VPN

A reliable VPN hides your real IP address, doesn’t allow snoopers to track your actions on public Wi-Fi, and prevents DNS tampering when you send coins. 

But not all VPN providers are the same. Free VPNs might sell users’ browsing logs to third parties to keep their services running. Additionally, they usually show tons of ads, impose bandwidth limits, and can even inject malware into your device. Therefore, if you want to keep your private keys safe and maintain decent online protection, don’t use no-cost VPNs. Choose a reliable and trustworthy VPN like VeePN. 

VeePN for safe crypto activity

A wallet application guards the keys on your device. But the Internet is the place where cybercriminals can attack you. Here is how VeePN сontributes to your crypto protection: 

End‑to‑end encryption

VeePN tunnels your traffic with the military-grade AES‑256 encryption standard. This way, even if a hacker is sitting on public Wi‑Fi with you, they will see only some gibberish instead of your outgoing transaction.

Malware & ad blocking

The built-in NetGuard filters malicious domains and stops pop‑ups with “Exodus upgrade” from a shady website before they tempt you to download a trojan under the mask of an update file.

Kill Switch

If your VPN connection glitches or drops, VeePN automatically cuts the whole Internet access to your device. This way, your unencrypted data will never leak during your crypto operations.

IP masking

Each session rotates an anonymous address. VeePN keeps your real whereabouts away from DEX trackers and reduces the fingerprint that ad networks tie to your user interface.

Breach Alert 

VeePN scans dark‑web dumps for the email tied to your Exodus account. If crooks publish it on a dark net after a potential Exodus data breach or other crypto hacks, you get an instant notification to change credentials.

Servers optimized for DeFi

VeePN’s fast and low‑latency nodes reduce lag during swaps or staking. This is useful for users who regularly trade through Exodus’ multi-currency crypto wallet.

No Logs policy

VeePN follows a strict No Logs policy. It means we never record your browsing history, IP address, or online transactions. In the case of crypto wallets, we don’t store your logins, passwords, or token swaps information that later on can be exploited by third parties or surveillance agencies. 

Try using VeePN without any risks with a 30-day money-back guarantee.

Written by Oliver Bennett Oliver Bennett is a dedicated cyber security content writer with a knack for breaking down intricate cyber topics into accessible and actionable insights.

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