Reposted from Daniel

Step-by-step instructions on how to keep your wallet as safe as possible

Very suitable for coin hoarders on how to protect their coins

Theory Little knowledge: What are mnemonics, private keys, and wallets

Common wallets nowadays basically use mnemonics to generate private keys. The private key can calculate the public key and then convert it into a wallet address. The mnemonic words of common public chain wallets are basically based on BTC's BIP-32 protocol, consisting of 12-24 words, and then generate HD wallets. The difference between an HD wallet and a single private key wallet is that multiple wallets can be generated based on the mnemonic word + derivation_path. This is also the logic why the wallet software can directly generate multiple wallets based on an identity wallet.

Based on these theories, almost all public chains can use the same mnemonic phrase to generate multiple wallets. That is to say, there is one mnemonic phrase that is common to all public chains. Just keep one mnemonic phrase. Play through all chains. In this case, if you want to use multiple accounts for airdrops, open more test accounts, etc., you don’t need to remember additional mnemonics. You can create a special mnemonic phrase that can be used in all scenarios.

Theoretical knowledge: What is a hardware wallet?

Hardware wallets generally store private keys in secure hardware devices and isolate them from network computers and other environments. During use, they are hardware wallets. The private key is used to sign the message sent. The private key is not leaked. The signed message is directly sent to the computer and then uploaded to the chain. Hardware wallets generally have dedicated chip-level encryption private keys, which are absolutely safe in private key storage. However, blockchain security issues are not limited to private key management, so absolute security cannot be guaranteed.

Hardware wallet recommendation

Ledger x: If you want to play with many chains and there are many interactions on the chain, Ledger There are many chains. Basically, if you have a Ledger x, you don’t have to worry about the wallet problem of playing with the chain. There are also mobile and desktop clients, and various browser wallets are supported.

Ledger s: supports 2-3 secure applications at the same time, is cheap, has fewer chains suitable for playing, and is more convenient to interact with on the chain.

oneKey: Convenient for domestic purchase, supports evm, has its own application and wallet, is friendly to on-chain interactions, and has less support for non-evm public chains. If you don’t play a lot with chains, you can consider this one.

imkey: imtoken’s hardware wallet is easy to purchase domestically and is suitable for use as a cold wallet.

Summary: There are many types of hardware wallets, and the one that suits you is the best. However, you must pay attention to the risks when buying a hardware wallet. You can only buy it on the official website. It is strictly forbidden to buy it on Taobao or other first-hand platforms. For products like Ledger that do not have official domestic channels, you need to use overseas shopping to transport them yourself. After receiving the hardware wallet, you need to ensure that it has not been tampered with. It usually has tamper-proof packaging, and it must be original when you get it.

Theoretical knowledge: What are cold wallets and hot wallets

Generally speaking, hot wallets store private keys in devices such as mobile phones and computers, and they can be easily interacted with. A cold wallet stores private keys offline, whether you write them on paper or use a hardware wallet. But I personally feel that this division may not be effective. If you want to ensure absolute security, the most effective difference between hot and cold wallets should be as follows

Cold wallet: Private keys and mnemonic words are not connected to the Internet, there is no authorization on the public chain, and no contract interaction is performed. etc., only used as storage of current public chain coins and transfers when necessary.

How to ensure the security of coins as much as possible:

Wallet grading: Classify the wallets you have. Each level can only do things of this level, and strictly implement them. For example, I generally divide them into these categories: cold wallet, main hot wallet, small wallet, and test wallet.

The cold wallet has been explained above. It is basically used to store coins, and only native coins are stored. Generally, I will choose a hardware wallet as a cold wallet, and then directly lock the coins in the safe. Normally I don’t know how to use the case, so I can just put it in and take it out easily for a few years.

Popular wallets may involve more large-scale interactions with the chain, or depositing some commonly used high-value coins. At this time, I usually use hardware wallets, and only do safe and reliable interactions. , generally speaking, it is some large dapp projects, and after using it, all contract authorizations will be cancelled.

Small wallets generally hold coins of low value, and use private key wallets directly to facilitate interactions. You can try out some new projects, conduct temporary small-amount transactions, and do various test interactions. class.

To test wallets, I usually use mnemonic words to generate a bunch of wallets and use hundreds or thousands of them casually. When I see a good test network with airdrops and the like, I will also operate them in batches. Wave, just keep the mnemonic phrase.

Wallet software: Try to choose a wallet that is well-known and has many users. Wallets with large amounts of funds should not try new wallet software easily.

Mnemonic phrase storage:

Try to write down the mnemonic phrase of the hardware wallet on paper (or have a special mnemonic phrase storage plate). It is recommended to keep the same mnemonic phrase. Two copies, kept in two different places. The most important wallet can record 1-2 less words, and then use your brain to remember the rest, or shuffle 1-2 words, and your brain will remember the correct order, or use your own algorithm to convert them. Anyway, as long as your brain can remember If you live in a part of it, it will be safer. (It is recommended not to do this if you forget things easily)

Because of the wallet classification, you can manage mnemonics in different ways according to your own wallet. The higher the security level of the wallet, the more mnemonics are needed. Safekeeping. Like the test wallet mnemonic, generally it can be saved on the computer.

Note:

1. Do not enter your mnemonic phrase anywhere except when you first create a wallet or import it. Any website that requires you to enter a mnemonic phrase is a scam.

2. When importing the wallet and entering the mnemonic phrase, you cannot use copy and paste, etc., and must type it by hand. Nowadays, various apps can read the clipboard, and it is basically leaked during the copying process. The same goes for private keys.

3. Don’t forget to put the paper mnemonic phrase somewhere. The place where you put it must also be safe.

Security on the chain:

There is no absolute security on the chain, and there may be risks as long as the operation is carried out. But we can reduce the risk as much as possible. After grading your wallet, if it is stolen, the loss can be minimized.

Exchange security:

Do not put a large amount of funds in the exchange, but do some capital allocation. Generally, there are fewer operations in bear markets, so there is no need to put so much money in the exchange. Try to identify big exchanges and put as little funds as possible in second-tier exchanges. Be sure to configure Google two-step verification, if possible, two mobile phones, one mobile phone exchange, and one mobile phone responsible for the Google verification code. My general idea is, if this exchange runs away, will there be a huge loss? How much loss can you accept? In this way, you can evaluate how much money you put on the exchange.

Summary: There is no absolute security in the world, but you can reduce the risk as much as possible. Only by keeping your principal and not being hacked or stolen will you have more possibilities. As long as the green hills remain, there is no need to worry about running out of firewood.