Hardware wallet

How to Recover Your Funds If You Lose Your Bitcoin Wallet

13/02/2020 by Idelto Editor

Losing a phone or hardware wallet containing cryptocurrency is inconvenient, but it shouldn’t be fatal. Provided you’ve backed up your private key, recovering your coins is a simple exercise. Should you find yourself in such a predicament, however, there’s a few things you should know before reaching for your wallet recovery phrase.

Also read: Zengo Is a Keyless Yet Noncustodial Bitcoin Wallet

Recover Your Wallet the Right Way

If you’re smart enough to store your bitcoin in a noncustodial wallet, you’re smart enough to make a backup. Whether you’re using a desktop, mobile, or hardware wallet, the process is much the same: look out the seed phrase you’ve stashed in a safe place for this very scenario and enter it into your replacement wallet. All going to plan, you’ll see your balance restored and your coins reappear in your wallet within seconds of importing your seed.

There are a few exceptions to this rule, however, as not all wallets rely on a seed phrase to restore access. Hashwallet generates a unique recovery key and recovery seed during setup of the smartcard device. When combined, these components can be used to regain access to the funds stored on the wallet, and must be stored separately for security reasons. Once the recovery key and recovery seed have been securely stored, they are permanently deleted from the smartcard.

In the event of wallet loss, the user can retrieve and combine these security elements, whereupon their new Hashwallet will generate the keys required to access the funds. Zengo is another wallet that deploys a keyless design. For the remainder of this guide, though, we’ll focus on conventional noncustodial wallets that utilize a seed phrase.

Sweeping vs Importing – What’s the Difference?

If your phone or hardware wallet have been lost or stolen, a third party may be able to access the private key. If so, importing it into your new wallet won’t prevent them from draining it at the earliest opportunity using the original device. To prevent that from happening, you’ll want to sweep your private key.

A private key is mathematically related to all public keys (i.e. addresses) generated for a particular bitcoin wallet and can be represented as a string of letters and numbers like the following example:

5Kb8kLf9zgWQnogidDA76MzPL6TsZZY36hWXMssSzNydYXYB9KF

It can also be represented as a seed phrase like the following example:

witch collapse practice feed shame open despair creek road again ice least.

When you import a private key into a new wallet, it’s usually done by entering the more memorable seed phrase. All previous versions of that wallet – such as on a lost mobile, hardware, or paper wallet – still exist however. This presents a risk of the older wallet being discovered by a third party and the funds drained.

To prevent this, it is safer to sweep your private key into a new public address in your newly created wallet. This entails creating a transaction that empties the balance of the old wallet and sends the funds to a newly created private/public key pair that is known only to you. Most noncustodial wallets, including Ledger, Trezor, Exodus, Electrum, Samourai, and Metamask enable you to sweep a wallet, draining it and aggregating its balance into a new one.

How to Import Your Private Key Into a New Wallet

If you’re certain that your old wallet isn’t recoverable by a third party (the software has been deleted, for example, or your paper wallet has been destroyed), you can simply import your private key into your new wallet. When you do so using the Bitcoin.com Wallet, you’ll see the following option:

If you’re importing a private key into a hardware wallet such as a Ledger, there’s an additional step involved. First, you’ll need to import the private key into a wallet such as Electrum, after which you can send the coins to your Ledger address.

Finally, if you’re importing your seed phrase into a different brand of wallet – say, from Exodus to BRD – there’s one final thing to be aware of: derivation path. HD wallets create a master seed based on BIP 32, from which all subsequent keys are derived. The derivation path used can differ between wallets, and must be set correctly when importing. Walletsrecovery.org, which is still in beta, provides information on the derivation paths used by the main hardware and software wallet developers.

To summarize, then, if you lose your bitcoin wallet, sweep your private key into a new wallet, if possible, and check the derivation path if you’re switching to a different brand of wallet. The cost of replacing a lost hardware wallet or smartphone is considerable, but the main thing is that your funds are safe. Keep your wallet seed in a safe place and you’ll be protected in the event of acts of god, man, and unfortunate boating accidents.

What bitcoin wallet do you recommend? Let us know in the comments section below.

Disclaimer: This article is for informational purposes only. It is not an offer or solicitation of an offer to buy or sell, or a recommendation, endorsement, or sponsorship of any products, services, or companies. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Images courtesy of Shutterstock.

Did you know you can verify any unconfirmed Bitcoin transaction with our Bitcoin Block Explorer tool? Simply complete a Bitcoin address search to view it on the blockchain. Plus, visit our Bitcoin Charts to see what’s happening in the industry.

The post How to Recover Your Funds If You Lose Your Bitcoin Wallet appeared first on Bitcoin News.

Review: Scorpion Case Is a Hardware Wallet Carrier That Over-Delivers on Protection

12/12/2019 by Idelto Editor

With self-sovereignty comes great responsibility. Being your own bank can be scary. After all, there’s a reason banks became a feature of modern society: they control the custody of assets, assume the risk of these assets and insure them for their customers.

This is why most Bitcoiners hold security as the highest virtue. If you want to be your own bank, you need to make sure you’re taking every step necessary and available to secure your bitcoin from theft, seizure and damage. In this regard, no measure is too extreme. There is no such thing as being too secure.

This is why Ragnar Lifthrasir of Guns n’ Bitcoin created the Scorpion Case. Hardware wallets (with the added security buff of multisignatures) offer best-practice custody for your average user, but this may not be enough. In the event of a fire or natural disaster, if these wallets are destroyed (and the seed phrase backups destroyed with them), you can kiss goodbye to your hard-earned satoshis.

The Scorpion Case is meant to mitigate against physical damage and even assault — in addition to its padded interior that houses your hardware wallet, it also comes with molds to hold a handgun, two magazines and a knife (if this sounds paranoid, well you just haven’t considered every attack vector).

To see if the Scorpion Case is up to snuff, I ran it through a number of stress tests. These included: blunt force testing, waterproof testing, fire testing and bulletproof testing.

Now, Lifthrasir’s company, Guns n’ Bitcoin, only advertises the Scorpion Case’s resilience against physical and water damage. It says nothing about fire, let alone firearm, resistance, but I wanted to test it all the same. I wanted to see just how sturdy this case was and if you can trust your hardware with it.

I would find that the Scorpion Case can take one hell of a beating.

The Specs

Before we go over the stress tests, let’s start with the basics.

We burned, drowned, smashed and shot Guns n’ Bitcoin’s Scorpion Case for bitcoin hardware wallets so you don’t have to. — *Source:* *Guns n’ Bitcoin*

The case weighs in at 2.2 pounds with a 12.6-inch long, 9-inch wide and 4.4-inch high exterior. Its case shell is made of NK-7 polypropylene, a common industrial resin that is made to be both lightweight and sturdy. Guns n’ Bitcoin’s website advertises a water immersion resistance of up to 3.28 feet and heat resistance of 140 degrees Fahrenheit.

Internally, the case is lined with closed-cell PEF foam on the bottom and a convoluted lid foam on the top to insulate hardware. Its molds can house a pistol, multiple hardware wallets, USB hookups and pistol ammo magazines.

The release latches come with pinholes added to a padlock, and the hinges are underpinned by stainless steel.

Retailing for $88, the Scorpion Case is a bit pricier than other NK-7 polypropylene cases of its size, though Guns n’ Bitcoin is running a 30 percent off sale for the holidays that brings the price in line with other options.

With these specs in mind, let’s beat this sucker up.

Scorpion Case Stress Test One: Blunt Force and Sharp Force

For my first test, I bludgeoned the Scorpion Case with the blunt side of a splitting maul, and then I flipped the case to its other side to test its resistance to the axe end of the maul.

Guns n’ Bitcoin says that the case is built to withstand a category one impact under Air Transport Association (ATA) specification 300 — that is, it conforms to standards set by the ATA for hard case designs and impact resistance.

This basically means that the case is meant to withstand moderate trauma. It doesn’t, however, say anything about being resistant to heavy blows from something like a sledgehammer. With this in mind, the case exceeded my expectations from test one.

The first swing with the sledge end of the maul left a dent, and I was pleased to see that the hardware wallet I inserted into the case before testing was unscathed. Now, I have no way of measuring the PSI of the swing, but I came down with all my strength on the case and it withstood the test.

Next, I swung with the axe. To be expected, the resin cracked under this pressure (I anticipated this because, again, the case makes no guarantees against this kind of trauma), but it did not shatter. And once again, the hardware wallet was still intact.

So, all of that to say, in the rare event that someone takes a sledgehammer to your Scorpion Case, it’s going to hold up for at least the first few swings. Additionally, if your house were to come toppling down, I’d imagine your hardware would remain safe under the rubble.

When it comes to impact resistance, the Scorpion Case performed very well under pressure.

Scorpion Case Stress Test Two: Water

For this next test, I ran the case under running water, back and front, for about ten seconds.

Boring compared to an axe attack, I know, but it had to be done and, to be honest, there’s not much else to report. It’s as watertight as advertised, and even with the crack in the back from the axe blow, a negligent amount of moisture pooled behind the PEF foam but did not seep into the foam itself or run anywhere near the hardware wallet, which remained completely dry.

Regretfully, I didn’t think to do an immersion test, but given that no water breached the case under an open faucet, I would venture to bet that it’s good down to at least 3.28 feet as advertised and maybe even more. At the very least, if it’s exposed to rain or some leakage in its storage space in your house, you have nothing to worry about.

Scorpion Case Stress Test Three: Fire

Once again, Guns n’ Bitcoin does not advertise its case as being fire resistant (only heat resistant up to 140 degrees Fahrenheit).

Still, I couldn’t help but to push the limits. So, using isopropyl alcohol and an old t-shirt (after a failed attempt at setting it ablaze with a molotov cocktail — yes, feel free to laugh), I exposed the underbelly to fire for about a minute.

The end result: The case withstood the flame but left the exterior’s plastic carbuncled with heat damage and melted off bits of the rubber-lined handle. It also fused the bottom and the top lip of the case, so I couldn’t open it with my bare hands afterward (the latches were unscathed, though).

The flame-licked resin fusing together is of little surprise, especially considering the heat would have been well above the 140 degree Fahrenheit mark (~1000 degrees Fahrenheit). That said, the hardware wallet was undamaged (as I would figure out after the next test) and the case’s shell was only bubbled over with heat damage, not burnt through from the test.

It wouldn’t survive a house fire, but it’s not supposed to anyway.

Scorpion Case Stress Test Four: Firearms

This final test took the case to the extreme, well beyond what Guns n’ Bitcoin claims it can withstand.

For the first firearms test, I unloaded two 2 and 3/4 inch, 1 ounce birdshot shotgun rounds from a 20-gauge shotgun into the case from a distance of roughly 15 yards. Both of the shots blew the case wide open, thereby splitting the fused lid.

But the hardware wallet was still largely intact. The only deformity came from a crack caused by one of the pellets from the birdshot. I was shocked to see that it wasn’t completely shredded. In fact, the BB that did hit it was one of the few that actually penetrated the case. The NK-7 polypropylene absorbed most of the blow, and most of the BBs were embedded in the exterior casing.

For the final test, I put the Scorpion Case up against an AR-15. Now, for those of you who are unaware, an AR-15 is essentially a semi-automatic, civilian version of the M16, one of the U.S. military’s most ubiquitous rifles. It shoots a 5.56 NATO round (and/or .223 Remington round, depending on the manufacturer) and can penetrate steel.

So naturally, it cut through the Scorpion Case like butter. I unloaded roughly 10 rounds into the case from 15 yards. The final two rounds, which entered the case from its bottom side just between the hinges, chipped two significant pieces of casing off. The hardware wallet, still, was undamaged, but if it had been in the path of one of the bullets, it would have been torn to bits.

Conclusion

It basically took an AR-15 to really bust up the Scorpion Case. While the 20-gauge blew the case open, the exterior still absorbed the vast majority of the birdshot and kept the wallet safe — and the latches still worked after this test, too. A shotgun from relatively close range would be enough to damage the case, but it probably wouldn’t be enough to break all of the hardware it houses.

Overall, the Scorpion Case performed admirably under all of the stress tests. It’s impressively resistant to both blunt and sharp force trauma and is as watertight as you’d need. It’s not completely flame retardant, but even so, it resisted the fire well enough to keep it from eating a whole through the casing (prolonged exposure would still probably turn the thing into a hard, resinous lump, but Guns n’ Bitcoin isn’t making any promises there, and it was still incredibly resilient under the ~1000 degrees Fahrenheit I subjected it to).

My only regret is that I pushed the case to its limits and effectively destroyed it over the course of the tests. The fire and firearms really pushed it over the edge, but — if I can stress this one final time — even under these extreme conditions the hardware wallet escaped intact and is still operational.

If you’re a Bitcoiner and looking for a solid case to protect your hardware, the Scorpion Case is top of the line — it under promises, over delivers and provides a sturdy, all-in-one option to hold all of your hardware wallets and your pistol (self-sovereignty in a box).

If you’re interested, you can purchase it for 30 percent off at Guns n’ Bitcoin just in time for the holidays.

The post Review: Scorpion Case Is a Hardware Wallet Carrier That Over-Delivers on Protection appeared first on Bitcoin Magazine.

Bitcoin Wallet Reviews: What’s the Best Hardware Wallet on the Market?

11/11/2019 by Idelto Editor

This is the first article in a three-part series that examines five of the most popular Bitcoin hardware wallets. By request, samples were provided by some of the companies for review purposes.

Hardware wallets are small and portable devices which empower users to manage the keys to their bitcoin in a way that combines security with convenience. Essentially, they serve as an extra layer of protection which stands against malevolent attacks that may happen on infected computers.

Further Reading: What Are Bitcoin Wallets

If you’re HODLing your bitcoin, then you can resort to cheaper and more convenient cold storage options (like a computer that never gets connected to the internet, a USB flash drive, a paper wallet, some form of bearer item or even a plaque of metal). However, if your needs extend to trading or making payments with bitcoin, then hardware wallets are essential to sign transactions in a safe environment that hackers won’t be able to access remotely.

It’s also possible to use your hardware wallet as a cold storage solution (you only connect it to your computer once to move your bitcoin keys onto it, and then store it in a safe environment). This way, you benefit from the advantage of on-device, private-key generation and greatly reduce risk by removing the likeliness of attacks via phishing, viruses, malware and spyware.

Security experts are known to destroy the devices that they use to generate random passwords and private keys, as their processing units are mathematically more likely to replicate the result than another computer with similar specifications. Correspondingly, hardware wallets should be as personal as your toothbrush: Get them new and in the kind of packaging which guarantees their untampered nature, use them while they’re still safe and then avoid passing them on to a second owner. Coldcard, one of the manufacturers presented in this review, goes as far as adding a “SHOOT THIS” marker on their products’ circuit boards for emergencies where privacy and security must be saved.

This review aims to scrutinize and compare five of the most popular and secure hardware wallet solutions: Trezor Model T, Ledger Nano X, ShapeShift’s KeepKey, Shift Cryptosecurity’s bitcoin-only BitBox02 and Coinkite’s Coldcard Mk3. They have been chosen on the grounds of their reputation in the field and the recommendation provided by the Bitcoin.org experts, and they all offer interesting and distinct features that will be detailed throughout the review. As a way of maintaining the balance and comparative objectivity of the process, only the latest models will be taken into consideration — while some devices are more common and popular, it’s only fair to talk about the most recent product from each manufacturer.

Criteria for analysis include

Physical safety (including resemblance with a common household object, sturdiness and connectivity);
User interface (including simplicity of use, multi-platform software and unique features);
Security (including the public record of hacks, auditability of hardware/software, availability of Bitcoin-only versions for reduced attack surface, the ability to generate unlimited BTC addresses on the same device for greater privacy and full SegWit support for other integrations).

The Physical Safety of Hardware Wallets

The first installment in this review will focus exclusively on the physical safety of hardware wallets. Beyond being devices with strong cryptographic encryption, hardware wallets are objects that require sturdiness, connectivity and, ideally, the ability to remain unnoticed in a drawer full of electronics. Security in hardware wallets isn’t just about the software but also the ability to pass border checks without raising suspicions and dropping your device on hard surfaces without causing serious damage.

Also, having a fairly common method for connecting your device to a computer or phone is essential for trust minimization and security: Not having to trust a proprietary format for cables and having the opportunity to buy a cheap generic product from any convenience store where computer peripherals are sold is likewise important.

For power users, paper wallets and metal plates may prove to be a superior alternative — but for millions of causal holders and investors, it’s important to have a simple and comprehensive security model.

The Outer Appearance of the Hardware Wallets

Each of the criteria enumerated above has been scrutinized with the purpose of identifying the best form factor and most secure build. A consensus about the visual similarities for the hardware wallets reviewed is that the Trezor Model T looks like a car key remote, the Ledger Nano X and the BitBox02 have the appearance of USB flash drives, the KeepKey resembles an external hard drive (at least when it’s unplugged and the screen is switched off) and the Coldcard can be easily confused with a pocket calculator.

Bitcoin Wallet Reviews: The Best Hardware Wallet: For many, bitcoin security is only as good as the hardware wallet of choice. In this review, we put five popular options to the test. — Coinkite’s Coldcard

However, of all five products, the Ledger Nano X (like its predecessor, the Nano S) is ideal for those who want to conceal what the device is. If you don’t want people to know that you own a hardware wallet when you pass an airport check or when burglars potentially break into your house, then you should go for the most common-looking product — and the Ledger hardware wallets resemble fairly cheap and mundane USB flash drives.

The BitBox02 is easily concealed as well, but its sleek, compact and futuristic design (which includes a visible LCD screen) may give away its special nature. Compared to the Ledger, it’s harder to confuse with a USB flash drive (though, to ShiftCrypto’s merit, the BitBox has a male connector which is more faithful to the design of storage devices). For concealing purposes, the original BitBox01 is superior thanks to its basic design.

In regards to the Trezor, you should carry one only if you’re known to also own an automobile. Otherwise, it will be conspicuous to outsiders who know that you regularly use public transportation, but you carry a car key with you anyway.

Conversely, the Coldcard wallet’s calculator-like design may be inconspicuous at first, but the impractically small screen and the lack of math operation buttons (the “Okay” tick and the “X” could be replaced by a plus and a minus, for instance) are clear clues that it serves a different purpose. Has anyone ever seen a calculator that can display only three to four digits and looks more like a validation machine? It’s unlikely that airport security officers from an authoritarian country would be fooled by the design.

Last but not least, the KeepKey has the most unusual shape and size. When switched off, it might look like an external power bank or hard drive of sorts. However, the large and shiny LCD screen indicates that there might be something special about the device — and this is bad for security. The overall design is excellent for everyday usability and the hardware wallet itself is very sturdy. Nonetheless, it’s unlikely for a KeepKey to remain unnoticed when you’re crossing borders or when your house gets robbed.

So, in a situation where you don’t want anyone to know that you own a hardware wallet, just carry a Ledger and a couple of similar-looking USB flash drives with redundant data. Also, it would be wise to scratch off the logo. But then again, paper wallets, brain wallets and metal plates are more suitable for such scenarios.

The Physical Sturdiness of Hardware Wallets

Ideally, hardware wallets should have great durability to withstand physical shocks. If you’re travelling and need the kind of device that you can simply throw into your bag and never worry about possibly breaking, then you should take a close look at the build quality and materials used.

Thankfully, all products presented in this review are rugged and have worked without any issues after being dropped on the floor. However, the intention was not to see how quickly they break, so the rest of the analysis will take into account the materials being used — under the assumption that metal enclosures are sturdier than plastic cases.

The Trezor Model T, just like every other hardware wallet made by the Czech company, is small, solid and well built. If anything, Trezor understands the importance of high-quality materials very well, as one of the products in its store is made of aluminum (but costs six times as much as the Model T). In support of those who bought the regular, plastic-made items, the company offers silicone and leather protection cases. Yet, assuming that no extra accessory comes with the Trezor, its score for sturdiness is 7 out of 10.

The Ledger Nano X is sturdier thanks to its included steel cover. As long as the device is properly folded, the screen is protected and the core components are bound to take less damage during physical impacts. It’s definitely not the best-built device in the test, but for its small size for form factor and design, it holds its merits for delivering a sturdy enclosure. For its construction, the Ledger Nano X scores a 9 out of 10.

Conversely, the KeepKey is built like a tank and has a bulky form that should help it withstand physical shocks. If dropped on a hard surface or trampled under foot, it’s the most likely product in this test to resist permanent damage to its body. However, the same can’t be said for its large screen which can be easily cracked, thus deeming the device unusable. The combination of plastic and metal offers ruggedness and the rectangular power bank-like shape makes it robust, but it’s the touchscreen display which may act as a point of failure. Nonetheless, the high-quality materials give it a 9 out of 10 score.

The Coldcard wallet is a very peculiar product in this category, as it’s designed for emergency cases in which immediate destruction is required. As noted above, the transparent plastic case hides a dedicated security chip which is labelled as “SHOOT THIS.” This way, people who fear that their funds and privacy can be stolen will be able to remove a physical point of failure. However, this is bad news for overall durability and sturdiness — but then again, the power users who go for the Coldcard understand very well the security risks and create lots of backups. Coinkite’s product gets a 6 out of 10 rating for durability, with the caveat that the product is designed to take into account some emergencies for which the competitors aren’t built.

Connectivity of Hardware Wallets

There are three reasons why connectivity matters: First of all, it’s essential to be able to use a cheap and common cable to connect to your hardware wallet. Secondly, Ledger manufactures its devices with Bluetooth connectivity to increase connectivity, while the others are more focused on reducing the attack surface. Thirdly, if you want to make offline backups on an external SD card without ever connecting to a computer, then you need a dedicated port and an implementation of BIP 174.

As the Czech company’s premium product, the Trezor Model T features a USB-C connector and will soon receive a microSD card upgrade for local and offline data backups. Likewise, ShapeShift’s KeepKey keeps connectivity to a bare minimum by only including a female USB port.

The Ledger Nano X takes the most interesting approach, as it includes Bluetooth connectivity to accompany the industry standard USB-C port. The idea of using remote access for mobile devices is definitely novel, and the fact that the internal secure element requires an on-device validation all of the time means that hackers can’t spend any coins unless they also get physical access to a Ledger. As demonstrated by the Wallet.Fail team during the 35C3 event in December 2018, almost every hardware wallet is vulnerable when hackers get a hold of a device — so it’s always better to have a lower attack surface.

Unlike the current state of the Trezor Model T, the BitBox02 and Coldcard Mk3 already offer on-device backups via microSD cards. This feature is useful because you can have your seed phrase stored offline on a very common item that can easily be kept in a drawer among other electronics. The main difference between these two hardware wallets is that the BitBox02 has a male USB-C connector, which means that it can be plugged directly into computers and mobile phones — and if they use the older USB-A formats, then there are fairly inexpensive, male-female adapter cables that can be bought in most computer stores. The Coldcard is more conventional, as it features a female USB-C connector just like the Ledger, the Trezor and the KeepKey, and therefore requires a more common male-male cable.

Depending on your needs and expectations, these five devices may offer you everything you’re looking for. If you don’t want to carry extra cables, want to have quick backups on your microSD card and prefer the fancy USB flash drive aesthetics, then the BitBox02 is your best bet. The Coldcard offers a more minimalistic experience and grants you the same convenience for backing up your seed phrase on an SD card.

If you want the same functionality of the Ledger Nano S, but with the convenience of Bluetooth for your mobile phone, then the Nano X is exactly what you need. If you trust Trezor thanks to its long-time pioneering involvement in the space and can wait until its encrypted backups get launched, then you can’t go wrong with the Model T. The only product which falls short in terms of connectivity is the KeepKey, but it’s also the oldest design in this test and probably requires an update.

This review will continue tomorrow with an overview user interfaces.

The post Bitcoin Wallet Reviews: What’s the Best Hardware Wallet on the Market? appeared first on Bitcoin Magazine.

Cryptosteel Capsule Will Keep Your Wallet Seed Safe and Out of Sight

04/11/2019 by Idelto Editor

A hollow steel cylinder despatched with 800 lettered tiles, the Cryptosteel Capsule is what it sounds like and nothing more. Assemble the letters to form your wallet’s seed phrase, thread them onto the metal dipstick and screw the capsule shut, safely entombing the key to your crown jewels inside an unassuming piece of hardware. Stash it in a toolbox alongside some masonry and no one would be the wiser.

Also read: Billion Dollar Bitcoin Lawsuit Continues as Craig Wright Breaks Settlement

The Re-Gadgetification of Things

80s kids mourning the loss of the gadget-based society they were raised in are naturally drawn to crypto cold storage. For every device (portable radio; spirit level; tape measure) that was subsumed into the iPhone, there’s another that hardware wallet (HW) manufacturers have seen fit to develop and isolate from the smartphone in the name of opsec.

There is a logic in wanting to keep your hot assets – i.e anything connected to the web – separate from your cold – typically those you cherish the most and have no intention of liquidating in a hurry. That said, it’s sometimes hard to tell how much of these aftermarket HW accessories are actually helping, and how much of it is just cold storage theater.

That there are benefits to keeping your crypto assets safely stashed where hackers, phishers, and SIM-swappers can’t operate is clear. What’s less evident is whether entombing your hardware wallet in a hermetically sealed vault kept at absolute zero with a pack of rottweilers guarding it and anti-tank guns watching the skies is absolutely necessary. Until we see empirical studies on the success rates of extreme opsec compared with, say, scrawling your seed phrase on a scrap of paper and stashing it in a drawer, it’s really hard to say.

Cryptosteel Capsule Will Keep Your Wallet Seed Safe and Out of Sight — The Cryptosteel Capsule comes with 800 character tiles

The Mother of All Backups

Delivered in a smart tray that evokes a luxury chocolate box, the Cryptosteel is described as “the mother of all backups.” Not the daddy, not the son, and certainly not the creepy half-cousin: the ‘steel is all momma. The device, available singly or in packs of up to five, is described as being “compatible with most secret sharing and key generation algorithms.” By that, its manufacturers mean there’s enough numbers and letters in the box to cover most 12-word seed permutations. You can cram 123 characters onto the stick before it’s maxed out.

Unfortunately, the stick isn’t quite accommodating enough for a 24-word seed: in testing, I managed 21 words before running out of space. Given that the capsules retail for $100, it seems a little excessive to require multiple capsules to store a single seed. That said, 12 words should suffice for most wallet seeds, and you might even fit on 24 words if they happen to be short and you remove the word separators that are meant to be inserted.

Better Than a Steel Punch in the Face

I like the Cryptosteel Capsule, despite its limitations. It’s not as alpha as using a steel punch, but it’s a lot easier to create your wallet seed with, and feels almost as permanent. Just be careful when the time comes to unthread it, as one slip and your painstakingly assembled seed will be alphabet soup. It’s hard to say whether sitting in bed threading steel beads onto a metal stick is the financial sovereignty Satoshi dreamed of, or simply a regression to making macaroni art in kindergarten, but it sure is fun. More importantly, it’s a secure way of recording your seed provided you can keep the innocuous looking capsule in a safe place away from prying eyes.

What are your thoughts on cold storage capsules – do you think they can help enhance offline security? Let us know in the comments section below.

Disclaimer: Bitcoin.com does not endorse or support claims made by any parties in this article. None of the information in this article is intended as investment advice, as an offer or solicitation of an offer to buy or sell, or as a recommendation, endorsement, or sponsorship of any products, services, or companies. Neither Bitcoin.com nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

Images courtesy of Shutterstock.

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HTC Adds Native Bitcoin Cash Support to Its Flagship Smartphone

16/09/2019 by Idelto Editor

HTC's New Blockchain Smartphone Can Be Bought With Bitcoin

The bitcoin cash community now has a new way to secure and transact its digital money, as HTC adds native BCH support to its Exodus 1 smartphone. A key reason the technology manufacturer has chosen to do so is that many consumers are using BCH as a payment method and HTC wants to see a future where merchants use the Exodus to receive BCH payments.

Also Read: David Chaum’s Elixxir Invites Smartphone Users to Test Private Messaging

HTC Exodus 1 Now Supports Bitcoin Cash

Taiwanese consumer electronics manufacturer High Tech Computer Corporation or HTC (TWSE: 2498) has added native bitcoin cash support to its flagship smartphone, Exodus 1. The device’s killer feature for cryptocurrency users is the Zion Vault, a digital asset wallet with an easy-to-use software interface integrated with onboard hardware security. This secure built-in wallet is now capable of conducting bitcoin cash transactions, so users can easily buy, receive, spend and store BCH on the phone without the risk of remote hacking.

HTC has announced the support for BCH as part of a new partnership with Bitcoin.com, which will include pre-loading the company’s popular wallet app on the Exodus 1. Moreover, Bitcoin.com will also offer the smartphone, as well as the upcoming lower priced device HTC Exodus 1s, for sale on its online store. The Exodus 1s will feature the same native BCH support available to Exodus 1 users right now when it launches later this year.

Bitcoin.com CEO Stefan Rust commented: “There are so many synergies between Bitcoin.com and HTC. We are very excited to be on this incredible journey together.” Bitcoin.com Executive Chairman Roger Ver added: “Bitcoin.com’s partnership with HTC will enable Bitcoin Cash to be used as peer to peer electronic cash for the millions of HTC smartphone users around the world.”

Bringing Users Full Control Over Their Data and Assets

To understand how HTC sees the promise of cryptocurrency and why it has added bitcoin cash support now, we talked with the company’s Decentralized Chief Officer Phil Chen. Explaining the importance of the new partnership, Chen said: “Smartphones are everywhere and have proliferated across the planet. It’s very important for the adoption of crypto that it is easy to store and use, no matter which cryptocurrency is preferred by people. So the fact that BCH, one of the biggest cryptocurrencies, is now easy to use on our smartphone is very important for us. Together, HTC and Bitcoin.com are helping to bring crypto to the masses.”

Regarding its support for the crypto community in general, HTC sees this as an important part of its vision to empower users in the face of Big Tech. “True power is ownership of, control of and ability to transact with your digital assets. Cryptocurrency is the best place to start on this journey to allowing users to own their own data. It is a scary prospect for many of the big players in both Silicon Valley and in the smartphone maker space. If users are allowed to own their own keys and data, this will have a significant impact on the business models and revenue of these powerful firms,” explained Chen.

He added that HTC built the Exodus 1 device to drive the movement to a fully decentralized web where users have full control over their data and assets. “The first step is to allow the crypto community to hold their own keys; this will be a learning curve for many. So the crypto community is so important as we look to the mass adoption of both decentralized devices and crypto/blockchain in general.”

As for why users need a crypto-focused smartphone such as the Exodus 1, the developer says it provides usability for cryptocurrency. “While cold storage wallets are the ultimate in security, it can be hard and slow to use and transact your crypto. Live centralized exchanges, although fast, do not provide the security or afford you true ownership. It was important for HTC to find the right balance between the deadlock security of cold storage and the ease of use of live centralized wallets. You no longer need to have hardware wallets that then need something like Metamask and then a browser for instance. All the transaction and security capabilities are available using just your Exodus device.”

HTC Adds Native Bitcoin Cash Support to Its Flagship Smartphone — HTC is the developer of the groundbreaking Vive virtual reality headset

The company’s Decentralized Chief Officer explained that HTC has developed the Zion Vault to achieve this. It’s an all-in-one secure vault that allows users to keep their own keys and operate through a highly-secure Trusted Executive Environment (TEE), but also the ability to easily transact with those keys.

“All keys and passcodes are stored in TEE directly in users’ Exodus 1 device. The user will always own their own keys. HTC or the Android OS will never have custody,” Chen said. “Operating independently of the Android OS, the vault will protect the entrusted crypto-keys with stringent security. When authorizing your BCH transactions, Zion Trusted UI will create a safe zone through Trusted Executive Environments (TEE) that block possible malware attacks. Zion does not record any user information at any stage.”

The Key Reason for Supporting Bitcoin Cash

HTC sees crypto as a new paradigm for consumer electronics, after smartphones have seen a plateau in terms of global device development and innovation. They expect that smartphones of the future will be the core of your digital identity and the way to keep your digital assets and data.

“It is part of a longer roadmap but the HTC Exodus 1 marks a new beginning for users and their data,” explained Chen. “Only when users have full ownership of their own keys can we enact true decentralization, which is a vital first step toward protecting users. We see this as a stepping stone to how people will carry their own digital assets and digital identities in their pockets, in the very way we carry phones today.” He added that the upcoming Exodus 1s will be able to operate as a full node on the BTC blockchain. “That’s another industry first and we also expect more of this innovation as it is the only truly trustless way to transact using your crypto assets.”

HTC’s Decentralized Chief Officer added that BCH users have a lot to look forward to from the company’s cooperation with Bitcoin.com going forward. “This is only the beginning of what the decentralized world can offer, so the possibilities and potential are endless. We can see a future where merchants are using their Exodus device to receive BCH payments at their point of sale (POS). That’s a key reason we’re supporting BCH; it’s great to see so many consumers using BCH as a payment method.”

Future plans for the partnership include offering special discounts when paying for goods in BCH, and the sale of future Exodus phones on store.Bitcoin.com, with further collaborations to be announced in due course.

What do you think about HTC adding native bitcoin cash support to its flagship smartphone? Share your thoughts in the comments section below.

Images courtesy of Shutterstock and HTC.

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