How to Use a Paper Wallet: Tutorial

What is a paper wallet and the way how to generate it, the names of the websites which can help to customize your paper wallet and make it secure as well as the list of advantages and disadvantages of such a wallet

Our readers have already found out the information about different types of wallets which can help to store their crypto assets safe and secure. Now, the time has come to learn the details of the wallet considered to be the easiest and safest way of keeping cryptocurrency, i.e. paper wallet.

There are many wallets you can choose from to manage your cryptocurrencies. A paper wallet is one of the cheapest, easiest, and safest ways of storing crypto assets. Regarded as a type of cold storage, a paper wallet ensures a high level of security because malicious persons have no way of hacking into a piece of paper. However, paper has limited durability and requires its owner to be very careful and cautious.

Setting up a paper wallet

Setting up a paper wallet does not usually take more than a couple of minutes. You can create a wallet by writing down your public and private keys on a piece of paper, fold it, and keep it somewhere safe. For convenience purposes, you can print out the QR codes for your keys, so that you can read them using your phone camera if you decided to spend your coins.

Customizing a paper wallet

A more secure way of creating a paper wallet is to use special websites. They provide various features to make your wallet safer and easier to store. Using websites such as bitaddress.org and walletgenerator.net, you can create a wallet without the Internet connection. This ensures that the website does not store your keys. You download the webpage as HTML-file, save it on your computer, turn off the Internet, open the page in your browser, follow instructions, and print the wallet out. This is possible because these websites use the built-in JavaScript engine in your browser.

Some of these websites track your cursor movement to make your keys more random, which additionally increases security. You can also create a BIP38-encrypted paper wallet. They allow you to set up a password, so even if your paper wallet gets lost or stolen, you will still be able to retrieve your funds.

One of the problems with paper wallets is that someone can steal it, spend all coins, and put it back, and the owner will have no way of knowing that happened until they check it. In response to this, some websites, such as bitcoinpaperwallet.com, provide special stickers to seal your wallet.

Pros and cons of a paper wallet

Pros:

  1. Not hackable
  2. Easy to create
  3. Easy to store
  4. Easy to bring with you
  5. Coin can be spent without using a software wallet

Cons:

  1. Easy to lose
  2. Easy to steal
  3. Can be accidentally destroyed or thrown out
  4. Contents can be made unreadable

Bitcoin

BTC
Price
8,744 USD -6.81%
Volume, 24h
3,497,717,274 USD
0.00%
Marketcap
153,922,072,217 USD
56%
Emission
84%

Related news

Shocker: In 2009, Hal Finney Estimated Bitcoin To One Day Reach $10 Million

For a long time, there have been lots of people coming up with their own predictions in regard to the future price of Bitcoin. People like Tim Draper and Tom Lee has estimated Bitcoin to hit above $100k in the coming years. They’ve also predicted that Bitcoin will soon achieve mass adoption and attract more institutional investment. However, there’s one person who seems to have lived way ahead of his time. His name is Harold Thomas Finney. In a now-viral screenshot of his posts from way back in 2009, Hal Finney seems to have had great optimism about the future of Bitcoin. Just a week after the Bitcoin network went live in January 3rd, 2009, Hal Finney predicted that the crypto would one day be valued at a cool $10 million apiece. You think bitcoin twitter is bullish? Hal Finney (@halfin), was calculating a bitcoin price of $10,000,000 per coin just ONE WEEK after the the genesis block on January 3rd, 2009. Absolute legend. pic.twitter.com/5MptLhEYHL — Dr. Bitcoin, M.D. (@DrBitcoinMD) August 23, 2019 Introducing The “Finney” One of the contributors in the tweet sought to kick-start a move to name 10,000 Satoshis a ”Finney.” Of course, this move can easily succeed if more effort is put to popularize it, and many people would get on board especially given Hal Finney’s respected status within the Bitcoin community.  Could He Be The Creator? Many have argued that Hal Finney could be the mysterious Satoshi Nakamoto, the creator of Bitcoin. In fact, one of the contributors on the thread claimed that Finney is Satoshi. The user argued that Finney must have had the idea about Bitcoin way longer than a week before he made his prediction.  Indeed, from a logical point of view, it’s hard to believe that someone who knew about Bitcoin for no longer than a week after its introduction could have known so much about it and even have the audacity to make predictions running into decades. Was Harold Finney really Satoshi? The post Shocker: In 2009, Hal Finney Estimated Bitcoin To One Day Reach $10 Million appeared first on ZyCrypto.
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