The hardware wallet functions just like usual paper or digital crypto wallets, but it has a physical aspect on itself. The hardware wallet itself is well-known for its reputation as one of the wallet forms with the highest level of security. Of course, you will still be able to send and receive your crypto asset from your hardware wallet, but a physical interaction will be needed to sign or authorize the transaction.
Also because they don’t connect to the Internet at any point, this aspect significantly reduces the available channel that might be used by the malicious parties, as that means they cannot tamper with the device remotely. Because they’re offline most of the time, a Hardware wallet is usually used with another counterpart, either a PC or a smartphone. And because they’re designed and built with a security-first approach, they can be plugged into any PCs or smartphones without any risk of the private key leaking. Through that interface, they interact with software that allows the user to view their balance or make a transaction.
Why should we use a hardware wallet? Because wallets that store private keys on a computer or smartphones that are always connected to the internet are leaving anyone's funds vulnerable to any kind of attacks. Malware is usually designed to detect crypto-related activity on these devices and drain the users’ funds. A hardware wallet helps with this because they’re like this impenetrable castle with a need for physical interaction.