Re:Days Since a Cryptocurrency Exchange Has Lost More Than $...
by philips on Sunday October 20, 2019 @11:56PM
(#21309242)
I researched the state of the art of self-custody cold storage and it seems both complex and fraught with places where workflow accidents could lose a wallet.
Re:Days Since a Cryptocurrency Exchange Has Lost More Than $...
by JMTQp8lwXL on Monday October 21, 2019 @01:28AM
(#21309552)
Better to lose your digital asset due to your own incompetence than to a hacker of an exchange. Taking the money out of exchanges makes them less appealing targets, too.
Re:Days Since a Cryptocurrency Exchange Has Lost More Than $...
by xiphias2 on Monday October 21, 2019 @12:38AM
(#21309388)
You can create multiple backup paper copies, and also 2-of-3 or 2-of-4 multisig helps you in the second case. You can also have multisig between different devices.
Re:Days Since a Cryptocurrency Exchange Has Lost More Than $...
by xiphias2 on Monday October 21, 2019 @01:07AM
(#21309489)
Can you be more specific?
You can check the recovery seed that you are creating (what you write on the paper).
Trezor's software and hardware is open source, so you can check any part of it.
There are different things you can do to prepare for different failure scenarios, though not everything is automated, it's better to test some things by hand.
Re:Days Since a Cryptocurrency Exchange Has Lost More Than $...
by oarsinsync on Monday October 21, 2019 @12:47AM
(#21309419)
Had you limited your choices to USD / CAD / AUD / HKD (or others in that vein), you may have been making a semi valid point. JPY and BTC are not $ denominated.
So kinda seems like they are cooking the books here.
The safest most reasonable thing I could find was Smart Custody but phew there are a lot of moving parts: https://github.com/BlockchainCommons/SmartCustodyWhitePapers...
What is your recommended cold storage option?
You can check the recovery seed that you are creating (what you write on the paper).
Trezor's software and hardware is open source, so you can check any part of it.
There are different things you can do to prepare for different failure scenarios, though not everything is automated, it's better to test some things by hand.
1. Failure scenarios a scheme can/can't protect against
2. How to setup the system for that scenario
3. Recommendation on how often to confirm system and backups
3a. How to recover from failed hardware
4. Recommendations on lifetime of system until replacement
4a. Recommendation on recovery if system is compromised (physical theft)
Essentially where is the best practices guide?
This is the best Trezor has, it's quite limited though, but good for koderately technical user.
For storing large amount of money you can hire experts.
A wallet in the mobile phone and backups in a couple trusted computers seems reasonable for me.
Yen? AUD? BTC? USD? (probably... but the irony is thick here)