Curious about what steel wallet to buy?
Maybe you are wondering why you even need one.
In this article, we’ll cover…
Security has always been the top priority when it comes to money.
The cryptocurrency space is no different than the economy for fiat money.
While blockchain technology has remedied a lot of security risks, it has also presented users with new ones. That’s why steel wallets have now become a big trend in crypto-security.
Get ready to take your cryptocurrency security to the next level with one of these beauties.
The downside of hardware wallets is that you can lose all your Bitcoins if you accidentally break or misplace your wallet – or it gets stolen.
That’s where the seed phrase comes in.
It’s a combination of random words that enable you to access your Bitcoins on the blockchain in case you lose access to your hardware wallet.
But a seed phrase can also be a major security risk.
Enter the cryptocurrency steel wallet.
A steel wallet is another cold storage wallet that securely backs up the seed phrase to your other hardware wallets so you never lose access to your Bitcoins.
You could just write down your seed phrase on a piece of paper and store it in a safe place. But that makes it no more secure than a paper wallet – and that’s risky business.
Most steel wallets, on the other hand, are resistant to pretty much any physical threat or natural disaster.
Some examples threats steel wallets protect your seed from include:
That makes steel wallets almost indestructible. Some manufacturers even go so far as to make videos where they try (and fail) to break them.
Now that you know how steel wallets work and why they’re important, it’s time to look at some of the best-selling steel wallets on the market right now.
Privacy Pro's Billfodl is made from stainless steel (grade 316), which makes it a very tough wallet that is particularly resistant to corrosion. At $89, it is a great choice for the hodler who wants value for money without compromising on quality.
The original stainless steel backup, Cryptosteel is made from stainless steel (grade 304). It sells for $144, so it quite a bit more expensive than the alternatives. They also sell another version called the Capsule for $163 that uses a slightly different backup method.
CRYPTOTAG is a titanium wallet that differs from Privacy Pro's Billfodl and Cryptosteel in that the user must use a hammer or engraving pen to stamp or engrave his own letters into the metal plate. It comes in two versions, the Thor ($199) and the Zeus ($109). Because the Thor comes with a hammer, 26 letter bits, a bit holder, two plates, earplugs, matches, and an anvil in the package, it is the more expensive set.
ColdTi is, as the name implies, a titanium wallet. That makes it one of the most durable wallets on our list, which is surprising considering the low price point. But there's one major drawback.
It’s important to remember that anyone who finds your steel backup would have access to your coins. After all, the whole point of the steel wallet is to backup a recovery seed which you use to get your coins back if you lose your wallet or it is destroyed.
Therefore, you need to make sure that your steel wallet is always somewhere no one else would find it. At the very least, make sure it is somewhere that only people you trust could find it. You may even want to instruct your spouse or significant others that they can use this device to access your funds in the case of your death.
The point is, steel wallets are mostly only meant to protect your seed phrases from fire and water damage.
If you have a multisig wallet, you will have several recovery seeds. One of these devices will, therefore, not be enough to backup all of the recovery seeds. You will need to buy one device for each recovery seed you have. So for instance, if you have a 2-of-3 multisig, you will need to buy three of these backup devices.
Make sure not to store all three of your backups in the same place. This eliminates much of the protection that a multisig gives you since anyone who finds one of your recovery seeds has found all of them. They will then be able to recover all of your signatures and take your coins.
As you can see from our comprehensive review, steel wallets serve an important function when it comes to protecting your Bitcoins.
Just to recap what we’ve covered in this guide:
Hopefully, you’ve found a steel wallet that suits your requirements and budget. But watch this space – more manufacturers will no doubt enter the market in the coming years.