What is a seed recovery phrase?
Bitcoin and other cryptocurrencies use an easy wallet recovery system. Almost all coins and wallets works with BIP39 recovery standard. It’s also much easier to use than earlier private keys.
The wallet software creates a list of words, randomly chosen from the BIP39 list. User is then asked to write it down (backup) on a piece of paper and put it in secure location.
This other names for this list of words are mnemonic recovery phrase, seed phrase or backup seed phrase. It allows to grant full access to the wallet it was generated from. Important note: without this seed phrase you can loose access to your funds.
Above applies to:
- hardware wallets like Ledger Nano, Trezor, Keystone.
- software wallets like MetaMask or MyEtherWallet
- proprietary crypto wallets
- almost every other cryptocurrency
It is because almost all cryptocurrencies use BIP39 standard. Whether it’s Dogecoin, Ethereum or Bitcoin, it will work with BIP39.
Why should you take special care of your recovery phrase?
With your Bitcoin mnemonic phrase or recovery seed phrase, anyone have full access to your whole wallet and all your funds. This means you should store it in secure location so no one but you can access it. It is also good idea to have multiple copies of your seed phrase.
Your mnemonic phrase written on piece of paper, even if stored in a locked safe or buried down in a pile of other documents is still a piece of paper. Different kind of situation can put your backup phrase in danger and make it unreadable in the future. Paper can be destroyed easily.
Imagine your upstairs neighbor got a water leakage just above your room where you store your paper seed phrase. Paper can become unreadable when wet. The same applies for situation where your neighbor creates little fire and fire brigade floods your apartment with water.
Also with a fire situation, paper is easily destroyed. Even if your insurance will pay you back for your destroyed apartment and this nice hi-fi audio set. No one ever will pay you for your lost cryptocurrency because you lost your cryptocurrency recovery phrase with a piece of paper.
There are numerous situation like these above where an accident or small disaster could make your funds disappear. But the most common situations where people loose access to their funds forever are quite dumb.
Many people lost their cryptocurrency now worth millions of dollars in various ways. Some of them lost millions just because their mom or spouse threw this weird piece of paper with other rubbish away. You can also loose your bitcoins easily if you throw away your recovery phrase stored with some old documents.
How can you secure your mnemonic recovery phrase using steel bitcoin wallet with Coinplate?
Stainless steel is much stronger than paper. Stainless steel bitcoin wallets like Coinplate Alpha and Coinplate Grid (link to https://getcoinplate.com/en_US/p/Coinplate-Grid-Full-Set/32) can survive a house fire or collapse. They will survive getting run over by a truck and still be perfectly readable after 10, 20 or even more years. Coinplate stainless steel wallets (link to https://getcoinplate.com) are rust resistant and water proof. Stainless steel survives well even in ocean water, so you will rest assured that it will last for decades.
Stainless steel bitcoin wallets like Coinplate Alpha, Coinplate Grid or Coinplate Punch are exceptionally sturdy and can survive almost anything.
Coinplate Alpha is built used two ultra thick stainless steel sheets bolted together with stainless screws. This backup solution weighs 2.5lbs or 1kg.
But the best part is that, all you need to secure your Bitcoin or cryptocurrency portfolio is $60 and 10 minutes of time. It is so easy to make a backup and anything you need is included in the set. You do not need any separate tools or special knowledge. No more swinging hammer.
Just use included automatic marking tool to easily backup your recovery phrase. Use it to backup your hardware or software wallets mnemonic phrase on Coinplate (link to https://getcoinplate.com). Mark it permamently in fireproof Stainless Steel.
This is very small price for a lifetime long peace of mind.