• The DigitalBank Vault

Introduction to Cryptocurrency Wallet'Security

Wallets are gateways to cryptocurrencies and, as the blockchain space has grown, the variety of wallets available has also grown. Most people who want to dabble with a small amount of crypto, start off their crypto journey by setting up hot wallets in the form of phone, desktop, or web application. Hot wallets focus primarily on convenience and are great for making coin transfers on the go.

While hot wallets may be convenient, they force users to sacrifice security and the underlying basis of crypto: having complete control of one’s wealth. Thus, as people get a stronger grasp of blockchain technology and understand how to improve security of their Crypto assets, they either opt for hardware wallets, or even brain wallets.




User Experience is Important

Given that wallets are gateways to cryptocurrencies, the user experience they provide to new market entrants is of critical importance with respect to the growth of crypto adoption. This piece will take a look at the user experience of several popular wallets. Each section below will cover two main user experiences of a wallet: set-up and performing transactions.





Here’s a summary:


Brain Wallets: To securely setup a wallet, users must download a brain wallet application from GitHub or use an online tool. Once they’re offline, user can enter a salt and passphrase to generate a wallet (private key). The private key will be exposed and must be immediately stored securely. Brain wallets provide a one-type transactional facility as transacting will expose the private key to some web front. Therefore, any time coins are sent from a brain wallet, a new one has to be made. Brain wallets can be challenging to (securely) set up for those who lack technical know-how and provide close to zero positive UX features in terms of transactions. In addition, for each coin and for each public address of that coin you need to have a separate brain wallet.

Hardware Wallets: Hardware wallets, like Ledger, can be setup by connecting the wallet to a computer device that has downloaded the supporting software of the hardware wallet (like Ledger Live). After that, a pin is set on the hardware device to initiate its functionality. Next, users move along the steps presented in the supporting software till they are prompted to create a 24-word seed phrase that is typically written down somewhere. Once the seed phrase is approved, private keys are created and stored in the hardware wallet.

Next, applications, one for each blockchain, are downloaded on the wallet in order to receive and send transactions. Transactions are initiated on the supporting software, like Ledger Live, and are approved through the hardware wallets’ button-initiated commands. Hardware wallets have a lengthy set-up process, but the process is well-explained by their supporting software. Receiving and sending funds for the first time requires a lengthy process as support for each coin has to be individually set-up.

6 views
Download The Introduction to the
DigitalBank Vault Encryption Systems 

DigitalBank Vault Limited

Irish Square, Upper Denbigh Road, 

St Asaph Denbighshire LL17 0RN, UK

Company number 11988551

(Limited Liability Registered in England & Wales)

International Calls & Whatsapp  : +372 57347873

 

Contact Email : team@digitalbank.capital  

Telegram : @timothyweiss 

LinkedIn:  http://linkedin.com/in/moty-weissbrot-42bb06162

“Privacy is Luxury” 

The DigitalBank Vault Encryption System provides total privacy and secrecy

that is so much needed nowadays.   

 

You enjoy zero privacy currently, whatever app you are using and believe they are safe to be used, like all types of end to end encrypted solutions that should give you the confidentiality you need, all those apps are absolutely not secure. 

You always download an app and let it access all the data on your smartphone.

You permit a cyber weapon in the form of spyware, to legally assault

your most confidential information.

Today in cybersecurity and cyber defense you need to trust “No One”.

DO NOT TRUST ANY TYPE OF 'SECURE/ENCRYPTED COMMUNICATION DEVICE"

Who is the supplier of the hardware device? How do you know if it is 'clean' or has some backdoor in it that connects to the hacker's servers? 

 

Nobody, make no mistakes about it, no third party is trustable.

 

You have to trust only yourself.

Give to others the keys to your top classified information?

 

Believe Nothing.

How comes that NO documents of Russian Oligarchs are ever leaked to the net?

How they secure their classified databases, communications, and file transfers?

Celebs Trust Nobody.

So how Celebs store their most guarded secrets?

How they secure sensitive data transfers?

What Secret App Celebs are using for securing their privacy?

 

TRUST NOBODY!

According to a recent Gartner report,

the majority of data breaches and cyberattacks exploit third-party cyber gaps.

50 % of companies experienced a significant data breach through a third-party vendor.

 

More info:

info@DigitalBankVault.com

 

Get your privacy back with www.DigitalBankVault.com