Seedless Wallet
A seedless wallet is backed up without a written recovery phrase, using extra devices, multisig or key shares instead.
What Is a Seedless Wallet?
A seedless wallet removes the written recovery phrase, the most common point of user error, and replaces it with another backup scheme. Tangem stores keys on cards that back each other up; Bitkey splits control in a 2-of-3 multisig between a phone key, a hardware key and a server key; MPC wallets split a key into shares held by different parties.
The trade-off is dependence. With a seed phrase, any compatible wallet can restore the funds. A seedless design ties recovery to the vendor's devices, app or servers, so the question to ask is how funds are recovered if the vendor disappears.
Some seedless products also offer an optional seed phrase for users who want a vendor-independent backup.
A mnemonic phrase is a set of words that stores a cryptocurrency wallet's private keys, allowing users to recover access if lost.
Read full definitionA backup in cryptocurrency is a secure copy of a wallet's seed phrase or private keys. It enables recovery of funds if the original wallet is lost or damaged.
Read full definitionTangem is a hardware wallet in the form of a physical card that stores cryptocurrency private keys securely and offline, allowing for easy and portable access to digital assets.
Read full definitionMultisig (multi-signature) is a security feature that requires multiple private keys to authorize a transaction, enhancing protection against unauthorized access in blockchain networks.
Read full definitionAn MPC Wallet uses Multi-Party Computation to split private keys across multiple parties or devices, so no single entity holds the full key, boosting security.
Read full definitionRecovery is the process of restoring access to a cryptocurrency wallet using its seed phrase or mnemonic backup if the original wallet is lost or inaccessible.
Read full definitionReal-World Examples
Example 1: A user loses one of three backup cards; the remaining cards still restore access.
Example 2: A buyer compares two seedless wallets by asking what happens to recovery if the vendor's servers go offline.
A Recovery Card is a physical card or sheet for backing up a cryptocurrency wallet's seed phrase, enabling recovery if the original wallet is lost or damaged.
Read full definitionRecovery is the process of restoring access to a cryptocurrency wallet using its seed phrase or mnemonic backup if the original wallet is lost or inaccessible.
Read full definitionReady to Choose a Secure Wallet?
Use our tools to find the right hardware wallet for your needs.