Protecting your Private Keys

This is the most important aspect of Bitcoin self-custody, the holy rule which states that you must protect your private keys by ensuring you alone have access to them. If you lose your keys, you lose your Bitcoin.

In Bitcoin, two of the most important terms to understand for secure management and control over your wallet are “seed phrases” and “private keys.” These terms are often used interchangeably, but are distinctively different as seed phrase is a backup recovery that can restore access to your private keys.

Private keys are used to sign transactions, spend, and prove ownership over Bitcoin, whereas seed phrases act as a recovery tool for your wallet in case of issues.

A private key is a complex string of alphanumeric characters, often converted in 12 or 24 words (seed phrase backup). Your private keys are like a password that have the sole access to your Bitcoin. If someone else gains access to your private keys, they have complete control over the wallet and the funds. As long as your private key remains secure and undisclosed, your funds are safeguarded and accessible worldwide via the internet.

You MUST NEVER SHOW YOUR PRIVATE KEYS TO ANYBODY. You can store your private keys in a safe at home or hand a copy to your next of kin to keep securely. Another method of storing your private key is to split the 12 or 24 words backup phrase in separate locations you have access to. You may also inscribe your private keys onto a stainless steel pad and keep in a safe place. All the security measures around protecting your private key center around ensuring no other person has access to your private keys. You should also never take a picture of your private keys or upload it online or in some cloud storage. These rules are so essential to fully protecting your private keys.

RULES

• Never share your seed phrase(private key) with anyone ever.

• If you are giving your seed phrase to you next of kin for inheritance, they must keep it securely and never show anyone.

• Never take a picture of your seed phrase or upload it digitally. Keep your seed phrase offline.

• Your seed phrase should be generated offline with hardware wallets like Trezor.

• Consider engraving or stamping your seed phrase onto a steel plate. This method ensures resistance to fire and water.

• You may consider storing your seed phrase securely in multiple secured locations to avoid a single point of failure by losing them.