Topic: Safest way of long term holding - page 3. (Read 855 times)
hardware wallets such as the nano ledger or trezzor are the best for you. I as a nano ledger user for 2 years feel safe and there is no loss at all it makes our assets safe
For any long term holding project you need a best secured wallet. Wallet should not be accessed by anyone. These measures secure your fund for any duration then you can hold it for long term or any duration you want. Wallet security keys or anything should be placed in proper way to not get lost forever. Security is key for long term holding
For long term investments you need to use a secure wallet access to them cannot be shared with anyone. Keeping your personal information and wallet password safe will keep your long term investment safe there are many wallets online but not all of them are secure hardware wallets are really much safer and much harder to hack. Also if you use the 2 fa code in the wallet to keep it safe no one will get the wallet information.
You dont have to be paranoid and worry too much. You are just making things so complicated by those "What if's". If you have your ledger Nano S or any kind of trusted hardware wallet, as long as you keep your private key with you and never share it with others, then your long term hold bitcoin will be safe.
Those online tools can be useful but unsure security and can be hacked so if you arent careful enough to ensure your private key , then it has a possibility with those what if's to happen.
Those online tools can be useful but unsure security and can be hacked so if you arent careful enough to ensure your private key , then it has a possibility with those what if's to happen.
I am considering holding Bitcoin for the long term. I have learned a few basics about the blockchain and BTC mechanisms, but still unable to find a complete guide on how to safely store bitcoin.
1) How to generate a private key safely? Online tools are obviously undesirable as they might keep a back door on all keys generated. Similar reason for any library or packages even they operate offline (I cannot check if these keys generated are in fact following some predetermined sequence).
I can use a random number generator on an offline PC. But I am not a real 'hacker' and have concerns on whether any programming language can produce truly random numbers that cannot be reproduced (or say predicted) on another PC. They might all rely on some external factors (such as time) which greatly reduce the possible key generated and make brutal force algorithms possible.
Currently, I can only think of throwing dice for key generating but that cannot scale.
2) I do not want to use any 3rd party software as a wallet. Suppose I just store my private key on a piece of paper and later transfer coins into it using exchanges. Would that be a valid transaction and allows me later to spend these coins? Is there anything else I need to store together with the private key (like the hashed transaction number in transaction_input in the blockchain? ScriptSig?) I really want to avoid 3rd party software because it might be obsolete in the future and data can be degraded. (Say if I use some sophisticated cold wallet, I may experience hardware degradation in 10 yrs, no one at that time used this software, programmers 10 yrs ago cannot be reached, and any trick in coding or encoding in the original version becomes obsolete. I would be a consumer rather than an investor of BTC...)
Any advice?
It is a good idea to hold Bitcoin to wait for the right moment. If you held Bitcoin 10 years ago until now, then you are already a billionaire. Keep your Bitcoins in a secure wallet to avoid account theft. The way I usually keep my money is by using a secure system. 1) How to generate a private key safely? Online tools are obviously undesirable as they might keep a back door on all keys generated. Similar reason for any library or packages even they operate offline (I cannot check if these keys generated are in fact following some predetermined sequence).
I can use a random number generator on an offline PC. But I am not a real 'hacker' and have concerns on whether any programming language can produce truly random numbers that cannot be reproduced (or say predicted) on another PC. They might all rely on some external factors (such as time) which greatly reduce the possible key generated and make brutal force algorithms possible.
Currently, I can only think of throwing dice for key generating but that cannot scale.
2) I do not want to use any 3rd party software as a wallet. Suppose I just store my private key on a piece of paper and later transfer coins into it using exchanges. Would that be a valid transaction and allows me later to spend these coins? Is there anything else I need to store together with the private key (like the hashed transaction number in transaction_input in the blockchain? ScriptSig?) I really want to avoid 3rd party software because it might be obsolete in the future and data can be degraded. (Say if I use some sophisticated cold wallet, I may experience hardware degradation in 10 yrs, no one at that time used this software, programmers 10 yrs ago cannot be reached, and any trick in coding or encoding in the original version becomes obsolete. I would be a consumer rather than an investor of BTC...)
Any advice?
The safest way to hold and own control on your keys and coins is by using a hardware wallets like Trezor,Nano ledger and other hardware wallets out there,
But I highly recommend any of the two that I've mention.
Just make sure that you would keep them updated from time to time.
To maximize holding, we must maximize several elements including security, strategy, and mentality. for security, a hardware wallet is indeed the best choice. online wallets and the like can also be maximized security by using double protection and wisely using the internet. Regarding strategy, everyone has a different way, there are those who buy at once when the price is still low, or buy regularly and accumulated, please choose which one you are able to manage the risk well. well the last one is mental, we know that cryptocurrency volatility is very high. mental holder is tested when there is an increase and decrease in price, there will definitely be a dilemma.But I highly recommend any of the two that I've mention.
Just make sure that you would keep them updated from time to time.
that is why we must be very selective in choosing coins or tokens to hold, make sure it has strong market power and good fundamentals, such as BTC, Eth, bsc, etc.
This topic has touched a very good point. Because still, many people in this market do not know exactly what to do to safely hide their investments. When I read this subject, I realized there were actually things that I did not know. I used to think hardware wallets were secure, but I noticed the possibility that computers will not use the same connector in the future.
The safest way to hold and own control on your keys and coins is by using a hardware wallets like Trezor,Nano ledger and other hardware wallets out there,
But I highly recommend any of the two that I've mention.
Just make sure that you would keep them updated from time to time.
But I highly recommend any of the two that I've mention.
Just make sure that you would keep them updated from time to time.
buy a hardware wallet like the Ledger Nano or Trezor and start moving your bitcoins into that wallet
but I'm not sure this device will last for the next 10 -20 years because any technological sophistication can happen
What's more in a virtual world like this, cyber crime is very easy to take your assets without us knowing who did it
the safest place to store in the form of fiat and save your funds on bank
but I'm not sure this device will last for the next 10 -20 years because any technological sophistication can happen
What's more in a virtual world like this, cyber crime is very easy to take your assets without us knowing who did it
the safest place to store in the form of fiat and save your funds on bank
The technique in investing long-term is to create a safe crypto wallet where you can store or keep your Bitcoins and other coins, then buy your prefer coins that you want to keep for a year and more. After that, keep your private key then uninstall the wallet. This works for me as I can’t open my coins and check them from time to time. I just buy and forget.
I am happy to hear that you won't be blindly investing but was able to learn the basic mechanics of Bitcoin. I've seen and heard a lot of people who lost a lot of money by just following the hype. Just be weary of the market correction and you're all good.
You can buy a hardware wallet such as Ledger Nano or Trezor and start moves your bitcoin to that wallet.
And in 20 or more years, when that wallet company has gone out of business, if that hardware wallet doesn't work, what do you do then? This does not sound like a reliable long-term solution.Do you want to use the old technology while saving a huge bitcoin amount in the old wallet? I bet you do not want to.
We always need to evolve and not just use the old one if a new invention comes out to give us a better experience than before.
If I have that experience, I will not keep it in the same wallet, especially if the company has gone out of business because that will be my responsibility to take care of my funds.
1) How to generate a private key safely? Online tools are obviously undesirable as they might keep a back door on all keys generated. Similar reason for any library or packages even they operate offline (I cannot check if these keys generated are in fact following some predetermined sequence).
I'm not sure if generating private keys using a third party software and tool is safe enough because there is anyways the risk of getting scammed by saving the private seeds by the tool. The random generated private keys are much better and safe to use. you can also write the key in a piece of paper and put it somewhere safe.Generally, in my own idea if you do have more than 10K worth of bitcoin, the best thing you can do is to buy a lager nano wallet and do not trust the software wallets because there is always the risk of getting inflected by malware. Also, people say don't put all your eggs in one basket, so I would suggest you to don't put all your bitcoins in one single wallet and try to use multiple wallets. For example, I do have a wallet for long term investment and it's untouched for the last 4-5 years, also have another wallet I use it here on forum.
First and foremost, you yourself are the one who has to persevere and not sell prematurely or lose confidence. An example: if you buy a vehicle, it loses value as soon as it rolls out of the garage. In contrast to Bitcoin, from which an enormous increase in value is expected.
One of the most popular comparisons on an old Twitter thread was the one with Bitcoin pizza man Laszlo Hanyecz, who paid 10,000 BTC for a couple of Papa John's pizzas in 2010. A sum of BTC that would be worth hundreds of millions of dollars today.
One of the most popular comparisons on an old Twitter thread was the one with Bitcoin pizza man Laszlo Hanyecz, who paid 10,000 BTC for a couple of Papa John's pizzas in 2010. A sum of BTC that would be worth hundreds of millions of dollars today.
Is there anything else I need to store together with the private key (like the hashed transaction number in transaction_input in the blockchain? ScriptSig?)
No, all you have to store and keep safe is your private key. All other information related to transactions like their hashes, inputs... will be saved on the blockchain (publuc ledger) so you don't have to worry about them.However, you should consider saving the public address related to that private key as well. You don't want to have to derive it each time you request a payment or check your balance!
I have heard of the Glacier protocol (https://glacierprotocol.org/) for storing bitcoins in cold storage which involves a couple laptops and USB sticks. I don't know how secure it is though, because I have never tried it (and most people here aren't in a position to order $1200 worth of computer equipment just for this task since it requires factory-restored devices).
They are not rumors. They are real.
Right now I can download Pollard's Kangaroo program from Github and use it to break private keys searched in small (<60) ranges. A cluster of several dozen GPUs can break private keys with ranges as high as 115 bits.
Actually the public key isn't even needed, the same GPU clusters can theoretically brute-force RIPEMD160 hashes (ie. your address) with smaller-sized ranges.
Paper wallets are complicated to set up and too easy to make a mistake while printing/engraving the private key. What happens after that is you forget or lose a couple characters of the private key.
Paper wallet generator sites have never been secure (cf. BitcoinPaperWallet) and you never know when or if they'll be sold to somebody malicious.
There were rumors that if you make a transaction using the same address you use to conduct a transaction, it would mean your public key will b exposed and that a quantum computer might just be a threat and can also expose your private key. not sure if it's possible but store your coins and not use the wallet afterward. not even once.
They are not rumors. They are real.
Right now I can download Pollard's Kangaroo program from Github and use it to break private keys searched in small (<60) ranges. A cluster of several dozen GPUs can break private keys with ranges as high as 115 bits.
Actually the public key isn't even needed, the same GPU clusters can theoretically brute-force RIPEMD160 hashes (ie. your address) with smaller-sized ranges.
There are a lot of tools for offline generation of paper wallet. You could even disable internet on you computer to do is safier. Or use one-time VM for generation of keys
Paper wallets are complicated to set up and too easy to make a mistake while printing/engraving the private key. What happens after that is you forget or lose a couple characters of the private key.
Paper wallet generator sites have never been secure (cf. BitcoinPaperWallet) and you never know when or if they'll be sold to somebody malicious.
There are a lot of tools for offline generation of paper wallet. You could even disable internet on you computer to do is safier. Or use one-time VM for generation of keys
There is nothing to disagree about here, OP wants a wallet that he generates himself, not about staking for interest on crypto custodial service companies, these services can not be discouraged, but does not fulfill the purpose of bitcoin which is privacy.
I was actually referring to Danny's statement.
But yeah, it was just a suggestion.
Of course there's risk to such as it's happened before but it's a suggestion in case the OP might be interested. I myself have parked my coins with such FI and have enjoyed the yielded interests. Unlike normal FD accounts with stricter tenure (e.g. 3 months), the terms are way more flexible.
So let's agree to disagree.
There is nothing to disagree about here, OP wants a wallet that he generates himself, not about staking for interest on crypto custodial service companies, these services can not be discouraged, but does not fulfill the purpose of bitcoin which is privacy. So let's agree to disagree.
I'm saying that if you don't have sole control over the private keys associated with bitcoins, then you don't have the bitcoins.
In the scenario you are describing, what you have is a promise from someone else that they will spend THEIR bitcoins in the way that you ask them to. It's up to each individual to decide just how much trust and faith they want to put into any particular entity making such a promise. Will the entity be hacked? Will your account at the entity be hacked? Will the entity file bankruptcy? Will the government shut down the entity? Will the government confiscate the entity's assets? Will the insurance company have enough assets to cover 100% of any losses? Will ANY and ALL losses be covered by the insurance company, or are there conditions that must be met?
You can put your faith in promises if you like. I prefer to put my faith in bitcoins.
I agree with your first statement. Not your keys, not your Bitcoins.
Of course there's risk to such as it's happened before but it's a suggestion in case the OP might be interested. I myself have parked my coins with such FI and have enjoyed the yielded interests. Unlike normal FD accounts with stricter tenure (e.g. 3 months), the terms are way more flexible.
So let's agree to disagree.
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