r/Bitcoin • u/Initial_PoetryWorlds • 2h ago
trezor or exchange
Guys, the cold wallet hack really shook me. I have a Trezor, and yes, I created a passphrase wallet within it. However, with AI development and more sophisticated hacking, part of me thinks leaving it on an exchange like Kraken, given they're a company that can be bailed out somehow, could perhaps be safer.
What I'm thinking is this. I had an exchange go down and I got paid back eventually. I had a cold wallet scammed (my mistake, but still). A cold wallet holder will never see their money back, I presume.
What are your thoughts?
Can one do a poll here or is it disabled?
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u/AdCompetitive6193 2h ago
I think multisig might be better. Consider creating your own entropy with fair dice for one private key.
Whether you do 2/3 or 3/5 is up to you.
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u/ThinCalligrapher9074 1h ago
Multisig puts some of the responsibility back in your hands but still spreads the risk. With exchanges you're basically betting on their security team not getting outplayed. I'd rather have a setup where no single screw up costs me everything, even if it's a little annoying to maintain
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u/miner_guy_22 1m ago
Yes. If you have a meaningful amount, I think multisig is a must.
The other device(s) should be from a different manufacturer.
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u/SpendHefty6066 1h ago
Once you have your seed phrase properly secured in cold storage, rolled your own unguessable seed, securely air-gapped and backed up in hammered steel, the thought will never *ever* cross your mind to keep your sats with an exchange. It should seriously disgust you even thinking about this. Your fear is simply a lack of knowledge. You need to read more and fully understand what sovereign custody of this monetary asset requires. I strongly recommend the SeedSigner DIY project. You will learn everything you need to know about an air-gapped seed creation capability. It is worth the effort. And if we are talking about life-changing money, it's a requirement.
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u/DoctorDownvotesDelux 1h ago
With the advent of AI, I'd be more worried having it on an exchange. But as colcard has shown, I guess u never know
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u/Fun-Analysis-182 43m ago
The Coldcard hack was a bad-RNG bug in how some units generated the seed, not proof that cold storage itself fails. A passphrase Trezor with a good-entropy seed isn't exposed to that one. And "safer on an exchange" forgets Mt. Gox, FTX and Celsius: most of those people waited years or never got made whole, so getting paid back once was the exception, not the rule.
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u/californiaschinken 1h ago
Just because i like kraken i would say half and half.
Half kraken, half cold storage.
Limit public key exposure for cold storage.
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u/Mother_Bonus5719 1h ago
I’ve split mine, most in wallet and then around 1/2 the amount on the wallet split over two exchanges
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u/Disavowed_Rogue 1h ago
Cold storage