Are not you afraid to lose money when using software wallets?

[libert19]

I am that's why I keep long term holdings in hardware wallet.

can this happen with any software wallet? Does it mean we can't trust anyone?

Yes, it can happen to any software wallet, and you shouldn't trust anyone. Using HW wallets is safest option i can think of.

[Gurujebs]

Why won't I be afraid. But online wallets are vulnerable when you open doors yourself to malware. If you are the only one that is using your device and avoid the malware which can be through downloading, you device will be safe. But if you have high amounts of coins, get yourself a cold wallet.

If anyone can afford to invest a thousand dollar into any coin, it will be an insult to them if they save that coin on online software wallet. It's risky to do such a thing even though you try to avoid malware at all cost, you never can tell which app you will download one day that will contain malware that is going to specifically target your wallet.

Sometimes, some hacker just randomly spread malware through some website and hidden ads that tell you to download an app and you may not even know when you download it on your laptop device or phone device. It's better get a hardware wallet than cry later.

[God Of Thunder]

Sometimes, some hacker just randomly spread malware through some wwebsitesand hidden ads that tell you to download an app and you may not even know when you download it on your laptop device or phone device. It's better get a hardware wallet than cry later.

I know hardware wallets are the best solution at this moment. But I have been storing my Bitcoin on Electrum for years without any problem. That is because I do not download whatever apps, software I need from online. I do not browse websites much which shows ads. Forums, Social media do not show that many ads. I mostly spend my time on forum and sometimes on social media. I know hackers spread malware everywhere. But you have to be careful before you download something.

People who watch porn often downloads whatever they want and they download malware without knowing what they downloaded. Often people comes to me with their mobile device saying they get adult notifications on their mobile through chrome. That is because they browser porn website and subscribe for anything they see. These people won't learn their lesson till they pay the price of their mistakes.

[Findingnemo]

I am that's why I keep long term holdings in hardware wallet.

HW wallets are good if it's open source but we can't certainly know for 100% and the classic example is what Ledger did by spreading false information about being open source when they intentionally pushed different codes for their app and their Ledger recovery service secretly collected user's seed phrases so ultimately we can only trust ourselves so try to keep the seeds to ourselves is the only possible solution for absolute certainity.

[libert19]

I am that's why I keep long term holdings in hardware wallet.

HW wallets are good if it's open source but we can't certainly know for 100% and the classic example is what Ledger did by spreading false information about being open source when they intentionally pushed different codes for their app and their Ledger recovery service secretly collected user's seed phrases so ultimately we can only trust ourselves so try to keep the seeds to ourselves is the only possible solution for absolute certainity.

I'm not sure if Ledger collected seed phrases cause if they did I would be wiped by now, or are they waiting to wipe?

[Findingnemo]

I'm not sure if Ledger collected seed phrases cause if they did I would be wiped by now, or are they waiting to wipe?

Ledger provided a service called recovery service so if user lost their seed then they can retrieve it from the Ledger which is an additional subscription so yeah they have seeds who opted to and it means they can wipe anyone's at anytime if they want to.

It's proven that Ledger Live has the ability to extract the recovery seeds from the Hardware wallet also they admitted that they share the details with the third party which isn't right when you expect complete security for your crypto assets.

Discussion : Ledger Recovery Service.

Also, they lied about their status being open source : Ledger Open Source Fakery?!

So whoever wants to keep their crypto now should boycott Ledger as well as Trezor.

Here's my response regarding this from bitcointalk which may explains it though why we can't trust them absolutely.

[libert19]

^ Afaik the recovery service didn't support Ledger Nano S (which I have), and even if they did I wouldn't have opted to use such service; if they are extracting private keys without user's consent then it's fishy.

Quoted statement mentions, boycott trezor as well, why is it so?

[ABCbits]

^ Afaik the recovery service didn't support Ledger Nano S (which I have), and even if they did I wouldn't have opted to use such service; if they are extracting private keys without user's consent then it's fishy.

Quoted statement mentions, boycott trezor as well, why is it so?

It's true Ledger Recover service isn't available for Ledger Nano S. But i think the point is it's possible to extract private key from Ledger HW, even though in past they claim it's impossible.

I don't know exactly about boycott trezor as well, but i would speculate it's due to fact you can extract private key from older Trezor HW, assuming you have physical access and bring electronics tool.

[Gurujebs]

HW wallets are good if it's open source but we can't certainly know for 100% and the classic example is what Ledger did by spreading false information about being open source when they intentionally pushed different codes for their app and their Ledger recovery service secretly collected user's seed phrases so ultimately we can only trust ourselves so try to keep the seeds to ourselves is the only possible solution for absolute certainity.

Open source doesn't mean that the wallet is actually the safest since any other developers can go through the source code and review and recheck every line of codes written about such wallets but how many people do check this wallets cods, not everyone is even knowledgeable enough to know this things on how safe they are or not.

However, the catch is that when you want to use an open source wallet, make sure it's a popular one that everyone use like the Electrum, a lot of developers used them because it has been long the wallet has been working fine with out any comprise or complications.

[Findingnemo]

However, the catch is that when you want to use an open source wallet, make sure it's a popular one that everyone use like the Electrum, a lot of developers used them because it has been long the wallet has been working fine with out any comprise or complications.

Electrum had vulnerabilities too in the past but the reason for being open source is it can be inspected who are competent and I am sure crypto enthusiasts are pretty much capable of doing it so as long as it's open source we can always see the actual feedback somewhere.

HW is more convenient on the other hand we can install electrum wallet on an airgapped device that is most secured than HW, however it's not user-friendly and people need enough technical skills to make sure their wallet is actually a cold storage.

[Lucius]

~snip~
I don't know exactly about boycott trezor as well, but i would speculate it's due to fact you can extract private key from older Trezor HW, assuming you have physical access and bring electronics tool.

It is an irreparable vulnerability in the Model T and One that allowed the seed to be extracted from the device in a relatively short period of time with equipment worth some $100. However, this could be avoided by setting a passphrase or using an SD card.

https://blog.kraken.com/product/security/kraken-identifies-critical-flaw-in-trezor-hardware-wallets

[Aanuoluwatofunmi]

There are security measures in which we are admonished to take and use as well whenever we are making use of a wallet, but the moment we fail to realize how we can maintain the safety use of such wallet, then it becomes a vulnerable thing for us and that could be an entry route for us to have our asset stolen by the smart ones, just as you have seen with electrum wallet, despite it security level, if you joke with your wallet keys then you will be under attack, that is one of the reasons why privacy is very important in crypto.

[gunhell16]

I am that's why I keep long term holdings in hardware wallet.

can this happen with any software wallet? Does it mean we can't trust anyone?

Yes, it can happen to any software wallet, and you shouldn't trust anyone. Using HW wallets is safest option i can think of.

What kind of hardware wallets are you using, dude? Can I know I'm actually using only Trustwallet, Bitget wallet, Metamask, and Electrum right now and add the Phantom wallet as well.

So far, I don't have any problems with them as long as I hold the backup seeds, and the others are CeX platforms that have been in this field for a long time.

[libert19]

^ I use Ledger Nano S for long holds, and Metamask as hot wallet, and to hold other random coins which are not available on aforementioned two wallets, their respective wallets.

I'm aware of fiasco regarding Ledger recover service, but Nano S wasn't part of it, so I continue to use it.

[ABCbits]

--snip--

What kind of hardware wallets are you using, dude? Can I know I'm actually using only Trustwallet, Bitget wallet, Metamask, and Electrum right now and add the Phantom wallet as well.

So far, I don't have any problems with them as long as I hold the backup seeds, and the others are CeX platforms that have been in this field for a long time.

4 wallets? That's a lot, where AFAIK both Bitget and Metamask offer similar feature and coin/token support.

^ I use Ledger Nano S for long holds, and Metamask as hot wallet, and to hold other random coins which are not available on aforementioned two wallets, their respective wallets.

I'm aware of fiasco regarding Ledger recover service, but Nano S wasn't part of it, so I continue to use it.

Yeah, Ledger Nano S isn't supported by controversial Ledger Recover feature and it seems it'll remain supported for some time.