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Security Advice for Wallet Backup

1. Mnemonic Phrases/Private Keys Backup​

Plaintext Mnemonic Phrases​

Mnemonic phrases typically consist of 12 or 24 English words, following the BIP39 standard to ensure interoperability, for example: "witch collapse practice feed shame open despair creek road again ice least".

Security Recommendations:​

  • Consider using special "obfuscation modes", such as rearranging words alphabetically or reversing every other word
  • Be cautious when replacing words; you can use synonyms or custom rules, but make sure you can remember them
  • Example: Replace the 3rd, 7th, and 11th words with their antonyms

Mnemonic Phrases with Passphrase​

Passphrase, sometimes referred to as the “25th word,” enhances security by adding an extra layer of protection to the seed generation process, making brute-force attacks significantly more challenging. It’s crucial to back up both the mnemonic phrase and the passphrase securely.

Security Recommendations:​

  • Choose a strong password, avoiding birthdays, common words, etc.
  • Consider using a password manager to generate and store the password
  • Example: Use 1Password to generate a strong password like "X2$9Pz#mK@Lq"

2. Advanced Backup Strategies​

Cloud Storage Backup​

Advantages include easy access and multiple redundancies, but there are risks of potential hacking attacks and service provider data breaches.

Security Enhancement Measures:​

  • Use client-side encrypted cloud services like Tresorit or Cryptomator
  • Implement two-factor authentication (2FA)
  • Use strong, unique passwords
  • Apply additional encryption using GPG or VeraCrypt before uploading
  • GPG encryption command example: 
    gpg --encrypt --recipient your@email.com wallet_backup.txt

Advanced Paper Backups​

Use waterproof, fireproof paper and consider steganography techniques to further enhance the security and privacy protection of paper backups.

Security Enhancement Measures:​

  • Use password-protected QR codes to store mnemonic phrases
  • Encode mnemonic phrases as stories or drawings
  • Create durable backups using professional metal etching tools
  • Example: Use metal storage devices like Cryptosteel or Billfodl

Cold Storage Devices​

  • Use dedicated hardware wallets like Ledger or Trezor
  • Use offline computers for cold storage

Security Enhancement Measures:​

  • Regularly update firmware
  • Use complex PIN codes
  • Enable advanced security features, such as Ledger's anti-phishing word verification
  • Consider using multiple hardware wallets stored in different locations

3. Backup Security Principles and Practices​

Regular Security Audits​

Regularly check the integrity and accessibility of all backups, and update security measures to address new threats

Audit Checklist:​

  • Verify the readability of all backups
  • Test recovery processes
  • Check for hardware wallet firmware updates
  • Review access controls and password strength

Social Engineering Attack Prevention​

Develop a comprehensive understanding of phishing and scam tactics to enhance your security awareness and protect your digital assets.

Preventive Measures:​

  • Never share complete mnemonic phrases or private keys online
  • Use official websites and apps, verify download sources
  • Be wary of unsolicited "help" on social media and instant messaging