❄️Cold/Hardware Wallets
This article was originally written by Priest, edited and updated by Dicka
OVERVIEW
The premise of securing your crypto is very simple. Instead of creating and storing that seed phrase on a device that is connected to the internet, you create, store and use it from a device not connected to the internet.
If you decide to use a hardware wallet to secure you Metamask, I recommend have a top level wallet (metamask will have one called "Account 1" that will always be there). This will be used for participating in presales and doing other risky stuff. It will not require confirmation from the Trezor or Ledger therefore it will be faster for getting into presales and such.
WHAT TO USE?
You need a hardware wallet to accomplish this goal. We recommend the Trezor Model T, and the Ledger Nano (S, or X) as a second choice. Here are our reasons:
They both work natively with Metamask. Metamask will be our way to communicate with most applications, and since a majority of applications you’ll use work really well with Metamask, including Knightswap, we want a hardware wallet that supports Metamask. Both companies were created in 2014. As a result, they’re tested and proven through time.
COMPARISON
Ledger Nano (S, X)
PROS:
24-word seed phrase
Ability to create multiple addresses per coin. Imagine one address gets hacked. The other isn’t touched if you separate your assets.
CONS:
Only one wallet, though
Trezor Model T
PRIMARY PROS:
12, or 24-word seed phrase
Or up to 16 paired seed phrases at 33 words each
Ability to create multiple addresses per coin
An unlimited number of hidden wallets
create plausible deniability if someone forces you to open your wallet. “$100 is all I got, Joe!”
Additional protection Trezor Model T has on top of what Ledger supports
Against hackers- Ability to add custom passwords on top of your seed phrase for all new wallets. I would not recommend using wallets without this feature
Against Physical Attacks- A microSD Card slot.
When the card is inserted, your pin code works. When it isn’t, your real pin code won’t work. Remove it or remove and break it if you are being attacked. Your device will be made useless.
A wipe code- Type it in on the same screen as your pin code and your device resets.
Your hidden wallets are not shown. Due to this, you can deny there is any more than what’s in the standard, non-hidden wallet.
Against Theft and Destruction- Instead of relying on 1 seed phrase, you have the ability to create up to 16 different seed phrases where each one can be up to 33 words.
To recreate your wallet, you have to input a certain number of those 16 seed phrases. 4/16, for example. You choose how many. If someone steals one, they need 3 more to access your wallet. If one is destroyed in a fire, you have another 15 to use. This makes theft practically impossible to pull off, and makes destruction a non-issue.
How we suggest thinking through which hardware wallet to buy
When you have the budget, get the Trezor Model T. Not the Trezor One
If you don't have the budget, but use more than 3 coins (Binance, Cardano, Bitcoin, Doge, for example), you’d get the Ledger Nano X. $120.
If you use 3 coins or less, get the Ledger Nano S. It can only hold 3 coins at one time. It's $60, it will secure your funds ASAP (Because instead of waiting while saving up, or waiting to make a decision, you get a wallet, and secure your funds).
This is being said with immediate security in mind, where you are just using these ledgers until you have the budget for a Trezor Model T.
Then refer to 1 when you're in that position financially
WHERE TO BUY
ONLY THROUGH TREZOR’S OR LEDGER’S OFFICIAL WEBSITE
TREZOR STORE Trezor offers many different packages that include unique and secure ways to save your SEED PHRASES that are more secure than paper.
You will then connect your wallet to Metamask, and use Metamask to interface with all apps in the Crypto world. Your hardware wallet will approve all transactions.
Easy. The result
Whoever starts a transaction on your behalf will not be able to give permission for that transaction to go through unless they have YOUR hardware wallet physically with them, beside them, in their hand.
Now go secure your crypto.
This was a very brief overview of this subject. I wrote a long-form version of this article for anyone who didn’t understand 110% of what was written. You can see it HERE.
Keep in mind though that none of this matters if you don’t have good security habits. Read Doc Kevs medium article about them HERE.
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