Seed Phrase
A seed phrase is a set of words that acts as the master backup for a crypto wallet.
✦ Key Insight
If you lose your wallet device or app, your seed phrase can restore access. If someone else gets it, they can steal your funds.
✕ Common Misconceptions
Storing it in screenshots, cloud notes, email, or sharing it with fake support agents.
Detailed Explanation
How It Works
When you create a self-custody wallet, it generates a seed phrase, usually 12 or 24 words. The wallet uses this phrase to recreate your private keys.
FAQs
Should I share my seed phrase?
Never.
In Practice
Dig Deeper
Private Key
A private key is a secret cryptographic code that proves ownership of crypto assets and allows the holder to authorize transactions.
Wallet
A crypto wallet is a tool that stores the keys needed to access, manage, and transfer cryptocurrency. It can be software-based, hardware-based, mobile, desktop, browser-based, or even paper-based in older setups.
Cold Wallet
A cold wallet is a crypto wallet that stores private keys offline, making it much harder for hackers or malware to access them through the internet.
Hot Wallet
A hot wallet is a crypto wallet connected to the internet, typically used for quick access, trading, transfers, and interacting with decentralized applications.