A Digital Wallet is a virtual tool that allows individuals to store and manage their payment information securely. It enables users to make transactions online or in-person using their smartphones or other devices, eliminating the need for physical cash or cards. Digital wallets can store various types of information, including credit and debit card details, loyalty cards, and even cryptocurrencies. They enhance convenience and security, as transactions can be completed quickly and often come with added features like encryption and biometric authentication.