Like envelope budgeting?

What’s holding you back?

I keep track of money with GnuCash.

There are accounts in there for my checking and savings accounts, credit card accounts, mortgage, car loan, etc.

I also have accounts I created for things that don't exist outside of my GnuCash file. Accounts for money set aside for college payments for my kids, accounts for saving for vacations or whatever. The money in those accounts is "really" in the savings account, but since I don't look there when I'm checking what money I have to spend, it is left alone. So, for example, the bank might say I have $1000 in savings, but GnuCash says it's $200 with $800 in a vacation account.

With my bank, I can create virtual savings accounts within my account and I can distribute the money as I want. So a "folder" for long term savings, another for emergencies, another for traveling, etc.

Most people use envelopes for physical cash and virtual accounts for online, but nothing is stopping you from putting cash into folders if that's your preference.

Depending on what the money is for, this is exactly how I use CDs.

Where I used to live in the US, most credit unions had this as a free feature. Not a thing where I live now in Canada, though :/

thats what cryptocurrency is. just manipulated in different ways than normal currency.

Buy Bitcoin?

As much as the world should loath it. Crypto?

wallet per folder.