February 14, 2018
Te this guide wij will walk you through setting up your very own cold storage wallet. Before diving into the process, you may be wondering what is cold storage?
Ter elementary terms, cold storage refers to keeping your Bitcoin Core (BTC) totally offline. Cold storage, also known spil a cold storage wallet, is the opposite of a hot wallet where your BTC is kept online. Since Bitcoin Core is a digital asset, keeping them online increases your risk or attack surface for having your bitcoin stolen when kept online using a custodial service. By keeping your bitcoin ter cold storage, your attack surface is greatly diminished.
(Update: Bitcoin Core is less usable spil money due to much higher fees and delayed transaction times. The Core team has also voiced an rente te keeping thesis fees high since they view BTC spil a “store-of-value” and not something to be transacted on a daily poot. Ter tegenstelling, Bitcoin Metselspecie’s transaction fees cost pennies and payments can be validated even with zero confirmations. Thesis facts make BCH the ideal cryptocurrency for sending and receiving money anywhere te the world.)
The very first step to getting your Bitcoin Core into cold storage is creating an offline Bitcoin address. This address will have both a public and private key-pair which never goes online (until you’re ready to spend it). With this guide, wij will demonstrate you how to make a free cold storage wallet using the paper wallet method.
Setting up a paper wallet
Setting up your cold storage paper wallet is fairly elementary and requires very little technical skill. The very first step will be to go to the Bitcoin.com paper wallet contraption here.
Before doing anything else, while on this pagina you will want to save it locally to your laptop. To save a web pagina to your local machine, press Ctrl-S and save the verkeersopstopping spil a accomplish webpagina (to your desktop for example). After saving, simply close out the open Bitcoin.com paper wallet implement pagina. Then disconnect your pc from the internet, don’t worry, you only need it offline temporarily for this task.
After disconnecting from the internet, open the saved verkeersopstopping (on your desktop). Budge your mouse around on the pagina and/or type some random characters into the text opbergruimte to create reserve entropy (randomness). By doing this, you create a random Bitcoin address that has both a public and private key-pair. Since you saved the opstopping locally and are not connected to the internet, the Bitcoin address you created wasgoed done entirely offline.
The final paper wallet pagina should look similar to this example pagina
The next step is making an offline copy of your Bitcoin address which you can zometeen blast with Bitcoin for a accomplish cold storage solution. While on the locally saved paper wallet pagina, while still disconnected from the internet, click on the Print button. Warning: before printing the pagina, make sure your printer is also offline (not connected to the internet through wifi for example). Once you are sure, print the pagina. Congratulations, the hard part is overheen! You have now created an offline Bitcoin address and made a hard copy of it locally for safekeeping. On the printed pagina should be the public Bitcoin address and QR code with the corresponding private key and QR code. Wij strongly recommend that you store the paper wallet somewhere secure, such spil a fireproof safe. You can now securely connect back to the internet.
Adding funds to your cold storage wallet
The next step is you want to add bitcoin to the wallet. Just like with any other bitcoin transaction, using a wallet you may have online, scan the public cold storage wallet QR code or copy the address, and send funds to your cold storage. You can check the status of the funds at anytime using a Bitcoin block explorer.
Redeeming bitcoin from cold storage
When you are ready to spend from your cold storage wallet, you will need to invoer the private key to a Bitcoin wallet that is online. Any wallet that supports importing private keys will work. For example, if you download the Bitcoin Unlimited wallet (which is a utter Bitcoin client) you can invoer the private key. To do so, simply go after thesis steps:
- Open the client and click on Help
- Select the Debug Window and click on the Console tabulator
- Type ter the field “importprivkey <,bitcoinprivkey>,” (substitute <,bitcoinprivkey>, with your private key and liquidate quotes)
- Klapper come in to invoer the private key, this will require a rescan of the blockchain which may take a few minutes to sync
Ter this screen, you can see the “importprivkey” directive te the Console. Type “help” ter the Console to get a total list of wallet instructions.
Another alternative online web wallet that supports importing private keys is Blockchain.informatie. To invoer your private key on this wallet, simply go after thesis steps:
- Open the online wallet
- Click on Settings and then click on Addresses
- Click on Invoer Address
- Copy and paste the cold storage private key and click Invoer/transfer
- You can securely archive the old address and transfer the funds to your wallet