Extra Ressources :

“Trusted” Wallet provider:

Technical:

Key management:

Andres Antonopolis Key management video:

Books:

  • The Code Book – Simon Singh
  • the machine kills secrets – Andy Greenberg
  • Crypto Anarchy, Cyberstates and pirate utopias – Peter lLudlow
  • Applied cryptography – Bruce Schneier

Chapter 3.1 – Wallet & private key management

Your bitcoins are not physical, they are 100% digital and should be stored inside a “wallet.”

A wallet can take any form:

  • A piece of paper
  • A hardware device
  • An app on your phone

Each wallet is different and designed to suit different purposes. Some are highly secured, others very private and some more convenient to use.

When selecting a wallet, it is imperative that you, and only you, have access to what is called a “Private Key.”
This private key is a combination of 12 or 24 words given to you during the set-up phase of the wallet. It represents the back-up of your wallet and a direct access to your funds. It is really important.

  1. Anyone who has access to those 24 words have access to your bitcoins.
  2. If you lose those 24 words, you lose your bitcoin

In order to avoid the two unpleasant scenarios above, such rules must be followed thoroughly

  • Write down the 24 words on a piece of paper.
  • Don’t take a photo or make a digital copy of the 24 words.
  • Don’t cut the list of words into pieces.
  • Keep the writing simple and clear using ink.
  • Make sure the words are in the right order ( it matters)
  • Make 2 copies and store them in different, secured and secret location.

This is the cost of self-sovereignty, we will explore the topic of key management in depth together so you can sleep at ease knowing your bitcoins are secured.
Once the wallet is set up properly, it will generate addresses which are used to send & receive BTC (like a RIB or IBAN).
If you do not have control of those 24 words, you do not own any Bitcoin.

Not your key, not your coin.

Extra Ressources :

“Trusted” Wallet provider:

Inheritence planning:

Technical:

Andres Antonopolis Key management video:

Key management:

Chapter 3.2 – What lvl of security is right for you?
Big takeaway

Security is a moving target. Perfect protection doesn’t exist and you will need to adapt your security as years pass. The right lvl of security is the one you are confident with considering your holding. If you can’t sleep at night, then you need to change your security or decrease your holdings.

That being said, there are things you must avoid, others that are mandatory and some you will have to choose; Let’s start with what you should NOT do:

  • You shouldn’t use a hot wallet if you own a lot of Bitcoins.
  • You shouldn’t code your own wallet if you read this.
  • You shouldn’t use a brain wallet if you’ve never done it before.
  • You shouldn’t use custodial services or leave your coins on an exchange.
  • You shouldn’t cut your seed into pieces.
  • You shouldn’t move your coins too quickly into a new wallet.

This list could go on and on and on, so let’s see what you should do.

Depending on your profile, we can try getting an idea of what you need. You will have to make a compromise between security, usability, privacy and complexity. So you need to know how much you will be holding, what are your technological skills, and what do you aim to archive. Once you decide which aspects are most important to you, Then you will have to pick between different options such as (going from more or less secured to highly complex):

  • Mobile wallet (Samourai)
  • PC wallet (Electrum, Wasabi)
  • Hardware wallet (Ledger, Trezor, cold card)
  • Hardware wallet + Passphrase
  • Multisig wallet using hardware wallet
  • Multisig wallet using hardware wallet +3rd party

After that, you probably should call a true expert and not listen to some rabbit. For most people, those options are good enough and in reach. We will see how to set up everything in the next LVL.

Not your Key, Not your Bitcoin.

DO AN INHERITANCE PLAN!