A private key, also known as a secret key, is a long string of alphabets and numbers used by a cryptographic algorithm to encrypt and decrypt data. In the crypto industry, a private key functions as a password, letting you access and manage the cryptocurrencies stored in your digital wallet.
The private key is the password or method of access to enter and use the crypto funds stored in your digital wallet. In addition, private keys also serve as digital signatures to authorize transactions and establish your ownership over a blockchain address.
The private key is the only way to access your cryptocurrency holdings on a blockchain network. If you lose your private key information, you are permanently locked out of your funds, and there are no mechanisms to retrieve this data and gain back access to your funds.
The public key is your blockchain address to request others to transfer funds. However, your private key is required to access these funds in your blockchain address.
