Hot Wallet
Quick definition
A wallet connected to the internet — convenient for small amounts and daily use.
A hot wallet runs on an internet-connected device: a phone app, browser extension, or your exchange account. Setup is free and instant, and spending is easy.
Being online is also the weakness — phishing, malware, and hacks are real risks. The common practice is to keep only spending money in a hot wallet and move savings to a cold wallet.