Hi!
Today I would like to describe to you what is Paper Wallet and why it is a great solution for storing your Bitcoins.
What is Paper Wallet?
Paper Wallet is a Private Key generated and written on paper. The security of such a wallet is similar to a hardware wallet but unlike it is free!
Why is Paper Wallet a great solution for storing Bitcoins?
Paper Wallet belongs to the Cold Wallet group, which means that funds are not often withdrawn from it and it is not in any app. This wallet is one of the safest ways to store Bitcoin. Our keys are only on paper which makes them impossible to hack. Of course, in order for it to be 100% secure you should take proper care of security measures when creating such a wallet and when storing it.
How to create Paper Wallet?
- Run any Linux distribution from a Live CD. You can never be sure that your computer is not infected.
- Download the Bitaddress.org files from GitHub.
- Disconnect your computer from the Internet.
- Run the downloaded website.
- Generate a wallet.
- Go to the
Paper Wallettab, fill in the parameters of your choice and clickGenerate. - Save the Private Key on paper or print your Paper Wallet. Remember to disconnect the printer from the Internet.
How to withdraw your funds?
To withdraw your funds, simply import your Private Key in any Bitcoin wallet app and transfer it.
Security measures
- The most important of the security measures is to generate the wallet on a clean system without viruses and access to the Internet.
- Have a minimum of one backup of your wallet that you keep in a secure location.
- Keep your wallet in a secure location. Preferably in one where others do not have access.
- Do not store your wallet in the form of a photo, scan, etc. on your computer or phone. Of course, we are talking about Private Key here, you can safely store your wallet address in a convenient place such as your computer.
- After withdrawing your funds from the wallet, create a new one. Do not use the same wallet several times, because the keys are already on your computer (you must have used them in some app to send transactions).