You can have a combination of both, leaving you with more options. Namely, a blade protector + belt carry rig.
That way you can carry the hatchet on your belt or in your pack, where a full sheath can sometimes be cumbersome as they tend to be bulkier. It also gives you the ability to adapt to your surroundings - eg carrying the hatchet on your belt at work (or in the woods) and in your pack when you return to the city.
This also gives you the added bonus of being able to quickly cover the edge inbetween jobs or during interruptions without having to resheath your hatchet (in your belt sheath, thus having to carry it with you to the loo or whatever). This is very useful as accidents often happen when you put your tool down for a moment to do sth else and then you or someone else gets hurt b/c you or they are unaware of the unprotected edge (been there, done that).
If your pack has molle or similar capability, you can also try to get a rig that can be used for both belt + pack carry.
Ookami
