Hmm.. Not good in securing myself.. A question. How do the new backup system work? I remember, in the past.. We will have to download a .pdf file and there will be a few random characters given to us. That is easy and I understand. However, now.. I tried to backup and it did not give me any .pdf to download. A full explanation is appreciated.
Edit: So, with the backup system.. what am I suppose to do if my Android spoiled or was stolen?
I am unsure of how full explanation you expect, so excuse me if it is to basic:
Normally when generating private keys, you make a random number and convert it into a private key after a fix set of rules.
Mycelium now uses "Hierarchical Deterministic" key generation, which means that they only generate one "master seed" with high entropy, and all the following private keys, is generated with an fixed algorithm using the master seed as input.
This means that if you loose your wallet, you will only need to backup know the "master seed" in order to reconstruct all the private keys that was made from this master seed.
What does HD mean?
HD is short for Hierarchical Deterministic. Typically, bitcoin wallets generate each new bitcoin address from a unique random number, requiring a separate backup of each new address. To avoid losses from lack of backups, such wallets use a single bitcoin address for all your transactions. HD wallets instead use a “master seed” (a single large random number), to derive all future bitcoin addresses sequentially from that single seed. This means that you only need to make a backup once, and all the keys generated by an HD wallet can be restored at any time in the future just from that single master seed.
