Feb 05, 2023
What's A Seed Phrase Exactly?
Also called a recovery phrase, a seed phrase is a string of random digits generated by a crypto wallet algorithmically when you set it up. It can be utilized as an emergency backup if you require access to funds in the crypto wallet. Your phone gets lost with the mobile crypto wallet, your computer malfunctions and it has the browser you used to log in, or your hardware wallet takes its last breath. Either way, your recovery phrase can help you establish a new crypto wallet on the hardware device, browser, or cell phone and recover access to Cryptocurrency.How Do Seed/Recovery Phrases Work?
All crypto wallets generate seed phrases of 12-24 words during setup and instruct users to note down digits in order. These words are randomly selected from a list. Most crypto wallets utilize the "Bitcoin Improvement Proposal Number 39 (BIP39)" standard with 2048 words. To use recovery phrases with wallets, choose an option that says restore through a seed phrase. Your wallet will allow you to input the entire recovery phrase in sequence. When you enter the phrase correctly, your Cryptocurrency will be inside the wallet. Recovery phrases can also work with other blockchain digital wallets, which follow a similar standard. For instance, Trust Wallet and MetaMask utilize identical standards, such as BIP39. This helps you transfer your crypto from each other safely and quickly.What Does The Recovery Phrase Look Like?
Recovery phrases are built using the 2048-word list. Instead of numeric passwords with a range of digits, seed phrases are groups of 12-24 randomized words like "iron", "river", "one", "rich" or "eager." Using words rather than random letters and numbers provides ease and convenience – users can easily remember and type in words, leaving little room for error. Moreover, it's increasingly complex to crack open the vast array of recovery word combinations, making it a perfect and safe choice.Are Private Key And Seed Phrase The Same?
Although the private key differs from the seed phrase, both can grant access to Cryptocurrency. The private key – a cluster of alphanumeric characters – helps secure transactions by verifying your crypto ownership. The wallet controls it, so you won't need to place it manually. On the contrary, your recovery phrase corresponds to the private key. If somebody gets access to your recovery phrase, chances are they can manage private keys and perform transactions.How To Store A Crypto Seed Phrase Safely?
Believe it or not, a crypto recovery phrase in the wrong hands can adversely damage your portfolio, so make sure it's safe and secure. Listed below are a few killer tips to protect your crypto seed phrase:Use Paper Wallets
While paper is a relatively destructible material, it's still one of the most effective ways to secure seed phrases. It'd be best to write it down on paper and place it somewhere safe where nobody else has access. You can print it out or jot it down based on your preference and convenience. Also, ensure to laminate the paper so it can withstand wear and tear and water damage. Note: A water and fireproof safe can be perfect storage for keeping copies of your crypto seed phrases.Use Metals
In addition to paper, you can engrave private keys and seed phrases on metals, especially steel plates, for added security and safety. Unlike paper wallets, metals have more durability and reliability. For instance, Cryptosteel Capsules, Keystone Tablets, and Billfolds enable you to protect seed phrases against unwanted conditions and severe disasters like floods, earthquakes, fire, etc.Use Hardware Wallets
Hardware wallets such as Keepkey, Ledger, and Trezor help store your private keys and seed phrases securely. They're vital components of the blockchain ecosystem and provide utility and security when interacting with blockchains. They provide much safer options to keep your sensitive information offline – hackers won't be able to access your data.Split Seed Phrases into Various Parts
Another effective way to keep seed phrases safe is to split them into two or more parts. Once you split the phrase on various papers, store them separately at secure locations so that no one can access the entire phrase but you. Note: Make sure to number your papers to prevent sequence alteration.Avoid Keeping Digital Copies Of Your Recovery Phrases
Anything kept online, especially confidential data, can be accessed effortlessly. The internet (or the online space) isn't safe and secure as many think. According to one report, over 15 million data records get exposed through data breaches. Moreover, 20 data breaches happen every day. This shows how digital spaces are vulnerable to various threats and attacks. So, avoid taking a print, picture, or even saving seed phrases on digital platforms – hackers can hack your systems and access confidential information.Wrapping Up
Now you know what seed phrases are and how crucial they can be for your Cryptocurrency assets. So, it's best to keep them in secure places. Follow the tips to the T to protect your Bitcoin investments against any unwanted situation and disasters like fire or earthquake.
