$ 50,159
$ 2,281.6
$ 233.56
okex ads

Study Shows Many BTCOIN Holders Use Hardware Wallet, Have Backup Keys

A survey posted to Reddit shows that most crypto holders store the majority of their Bitcoin in hardware wallets and keep a backup of the private keys on a sheet of paper.
Reddit user gunnaj posted the results of the survey as part of his PhD thesis to Reddit on April 30. The doctoral student asked 339 people five questions related to Bitcoin (BTC) security, focusing on how crypto holders handle their private keys.
When participants were asked where they stored the majority of their BTC, nearly half — 158 people — said they used a hardware wallet such as those offered by Ledger, TREZOR and BitLox. Hardware wallets can store both a user’s crypto wallet and private keys.
Cybersecurity was also a topic under discussion in gunnaj’s thesis. Roughly 88% of those surveyed said they kept backups of their keys, with the majority — 238 people — admitting their backup was on a scrap of paper.
The crypto community is long past the days when users had few choices but to write down their keys in capital letters on a notepad. Prominent figures like Binance CEO Changpeng Zhao have suggested that exchanges are better for holding crypto than users retaining the keys themselves.
According to this survey, it seems that an old school method of security may be the preferred one. This could be in response to exchanges being hacked, but users physically storing keys comes with its own risks. Thousands of BTC have been lost from holders misplacing or destroying equipment containing private keys over the years, amounting to billions of dollars vanished into the ether.
However, even when keys are held securely, backed up, and still “lost”, there can be hope. A software engineer was able to recover nearly $300,000 in Bitcoin for a Russian who lost the password to a zip file containing his private keys.

Related Posts

Leave a Reply


Subscribe To Newsletter

For updates and exclusive offers, enter your e-mail below.

Popular Posts

Cent Integrates Polygon Technology and Offers a More Sustainable Solution for Minting on the Blockchain
April 23, 2021By
Turkish cryptocurrency founder flees with reported $2 bn
April 23, 2021By
Founder of $8.4B Dogecoin sold everything in 2015 for ‘a used Honda Civic’
April 23, 2021By


Video Posts

Opportunities In Blockchain and Crypto Space
April 21, 20210
Blockchain-Based Solution For Security And Scalability For Any Business
April 9, 20210

Crypto Stats

CryptoCurrencyUSDChange 1hChange 24hChange 7d
Bitcoin50,159 0.42 % 0.15 % 18.44 %
Ethereum2,281.6 0.03 % 1.23 % 5.90 %
Binance Coin508.46 0.06 % 6.89 % 0.46 %
Tether0.9973 0.12 % 1.01 % 0.16 %
Polkadot43.88 0.58 % 0.43 % 36.39 %
Cardano1.140 0.23 % 11.64 % 19.30 %
XRP1.130 0.31 % 9.79 % 28.12 %
Uniswap31.65 0.33 % 0.99 % 12.65 %
Litecoin233.56 0.72 % 2.40 % 24.84 %
Chainlink33.58 0.33 % 4.22 % 19.49 %