Is it safe if hardware wallets must connect to computer to send money?

Lauda

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Quote from: Velkro on June 09, 2017, 02:02:47 PM

This one is right i think, because i never heard that someone got theirs bitcoin stolen from hardware wallet.

Just because it did not happen, that does not mean that it won't happen. For example, with a hardware wallet you've lost plausible deniability. You could be forced at gunpoint to empty your wallet. With a hidden partition on any disk/drive, you have plausible deniability.

Quote from: Coin-Keeper on June 09, 2017, 02:32:24 PM

The biggest issue with this method is that it is painfully inconvenient and certainly a very poor option if you need to be mobile while using BTC.

I completely disagree and even think that this is bullshit. The point of cold storage is to not be mobile and for it to not be convenient. The point of it is to be safe. Furthermore, I'd even argue the "inconvenience". If you have the OS installed on the USB, then it's very convenient. Plug it into any laptop and boot.

Quote from: Coin-Keeper on June 09, 2017, 02:32:24 PM

I think either of us would have the skillset to avoid the pitfalls many post about. Where a hardware wallet pays off many times is for new users that are protected by "default" with hardware devices. Sometimes they don't even know the hardware device saved their ass. LOL!

As you can clearly see from this section and others, we have an influx of highly uneducated baboons that refuse to educate themselves. They are led on solely by greed. The best lesson for them is taught by losing money.

Coin-Keeper

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Quote

That said, the likelihood of this is not high. If you are still concerned, you can always use a live USB for Linux Mint or Linux Ubuntu. Send your transactions and wipe the USB. Simple, fast and safe(r).

The biggest issue with this method is that it is painfully inconvenient and certainly a very poor option if you need to be mobile while using BTC. I have used USB swapping many times with the Electrum cold wallet approach and it was all using Linux. In balance while both paradigms are pretty safe, I'ld bet big time that my Trezors are actually safer then stick swapping - regardless of the skillset of any computer user. Plus there is no chance of having malware "sneak up on you" and redirect the TX to a different BTC address. What I see on my hardware wallet screen is the only place the TX will go. There is no 100% right or wrong here since its opinion. I think either of us would have the skillset to avoid the pitfalls many post about. Where a hardware wallet pays off many times is for new users that are protected by "default" with hardware devices. Sometimes they don't even know the hardware device saved their ass. LOL!

Velkro

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Quote from: TryNinja on June 09, 2017, 11:58:34 AM

I don't think so. Most of these hardware wallets operate independently and isolated from the connected computer. So every time you want to send money using your Trezer or Ledger, you will have to re-confirm the transaction on your hardware wallet before you successfully send your Bitcoins.

So at the end, your computer is only used as a interface to operate your coins from your Trezor, and your private keys are only stored on your hardware.

This one is right i think, because i never heard that someone got theirs bitcoin stolen from hardware wallet. I mean someone would be very angry when buying not so cheap hardware to secure theirs bitcoin that let someone steal it in the end.
So yes, you are safe

TryNinja

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I don't think so. Most of these hardware wallets operate independently and isolated from the connected computer. So every time you want to send money using your Trezer or Ledger, you will have to re-confirm the transaction on your hardware wallet before you successfully send your Bitcoins.

So at the end, your computer is only used as a interface to operate your coins from your Trezor, and your private keys are only stored on your hardware.

Lauda

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Quote from: popcornBlastoise on June 09, 2017, 11:30:54 AM

If we have to connect to a computer that's online, is it possible that something malicious can figure out the private key from the hardware wallet during this time?

This would be possibly dangerous if the hardware wallet manufactures didn't put in adequate security measures into their devices or if their wallets had been compromised. IIRC, for example with Trezor, the private keys never touch the machine that you connect to. They are held on the device and all the signing is done on it. So in order for you to get hacked:
1) There would need to be a zero-day exploit for Trezor.
2) Someone would need to create very specific malware to abuse said exploit.
3) You'd have to somehow get infected by this malware.

That said, the likelihood of this is not high. If you are still concerned, you can always use a live USB for Linux Mint or Linux Ubuntu. Send your transactions and wipe the USB. Simple, fast and safe(r).

popcornBlastoise

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I'm reading reviews about hardware wallets like Trezor and Ledger Nano, and correct me if I'm wrong,
but it seems like you have to connect to a computer everytime you want to send money out
of the hardware wallet. If we have to connect to a computer that's online, is it possible that something
malicious can figure out the private key from the hardware wallet during this time?

Topic: Is it safe if hardware wallets must connect to computer to send money? (Read 572 times)