Hi all i have been using paperwallets created at bitaddress for years, but came across this post on reddit, any truth?
[–]magasilver [score hidden] 2 hours ago
Well, you move the security of a 256 bit random down to a user selectable passphrase, which in hard crypto are worthless.
There is no way to memorize a bip38 paper wallet, so you lose the paper its gone.
Very dangerous to spend -> best to sweep the first time it is decoded, and be careful with change.
Lets not forget the most popular bip38 site, bitadrress, is in the control of known scmamers who are incentivized to play games with the random numbers.
The modern paperwallet is generated with paper and dice, and is a bip39 menmonic driving a bip44 wallet. you can easily memorize it and not lose everything with the piece of paper. There is no need for a second passphrase which will always be weak. And they are easy to import into a great number of wallets safely, without the risks of change loss or identity compromise.
Thanks
