BTC India
2k Views
3 Comments
I am curious, with all the discussions regarding comments made about cold wallets (I won’t mention who), if my Bitcoin is stored on the blockchain.- why do I need a wallet at all? That is if I can remember my private key. Help me understand what a wallet does beyond making it easier to remember and access the blockchain.
View Reddit by Hoppy-01 – View Source
GIPHY App Key not set. Please check settings
Enter your account data and we will send you a link to reset your password.
To use social login you have to agree with the storage and handling of your data by this website. %privacy_policy%
AcceptHere you'll find all collections you've created before.
> …why do I need a wallet at all?
Your “wallet” does nice things for you:
* Allows you to generate a random seed number
* Converts your seed number to the corresponding seed phrase so you can write it down, make back up copes, and memorize it
* Generate private keys from your seed number
* Generate the corresponding receive address for each private key it generates for you
* Protects your private keys and seed phrase
* **Digitally signs your ‘spend’ transactions, using your private key(s)**
Some wallets do even more than that.
>Help me understand what a wallet does beyond making it easier to remember and access the blockchain.
In case of a hardware wallet it let’s you transact and store your funds *securely*. Since the keys are stored and the transaction signing takes place in a secure environment.
You don’t really need a wallet unless you want to do something with your Bitcoin. You can just keep your key offline (using your seed phrase) and when you are done HODLing then you can set up a wallet with that key.