How do several wallets for Bitcoin operate?

[Mr.Bean]

How are transactions stored and made possible by Bitcoin wallets (hardware, hot, centralized, and decentralized)? What are their main safety and functionality differences, and how do they relate to Bitcoin and blockchain trading?

[Mark]

Bitcoin uses secret codes to control the blockchain transaction. Codes are stored offline in secure hardware wallets.
Hot wallets (software/online) are simple to use but are vulnerable.
Decentralized wallets give you full ownership but need careful key management for trading exchanges. Centralized wallets (exchanges) manage keys for you.

All these make it easier to trade Bitcoin and blockchain by providing you with access to your money.