FIG. 03
箪笥 TANSU · CHEST

ELEVATION
SCALE 1:10

Etching: old Japanese iron key in front of a tansu chest
鍵KAGIKey. Whoever holds it opens the chest.

The path / Station 02

[02 / 06] 鍵 KAGI · KEY

Whoever holds the keyholds the assets

What a wallet really stores, how keys work and how to protect yourself from scams.

Level
Beginner
Duration
approx. 10 min.
Prior knowledge
01
Format
6 sections
Ask about training →
[02.1]通帳 TSŪCHŌ · BANKBOOKTWO THINGS, TWO PLACESFAMILY SAVINGS

From history

Bankbook here, seal there

In Japan, you traditionally open a bank account with a personal name seal, the inkan. Mrs. Watanabe keeps the bankbook and the seal in two different places. Anyone who finds only one of them can’t get at the money.

With cryptocurrencies the same rule applies – only stricter. Anyone who knows your seed phrase can restore your wallet anywhere in the world. There’s no bank that can undo it.

教訓 Lesson

Never keep the means of access in the same place as the device.

通帳TSŪCHŌBankbook – like your wallet

Place A · drawer

印鑑INKANSeal – like your seed phrase

Place B · chest

FIG. 02.1 · TWO THINGS, TWO PLACES · DIAGRAM
[02.2]定義 TEIGI · DEFINITIONUNDERSTANDING KEYSKEY CONCEPT

Lesson 02.2

A wallet stores keys, not coins

Your coins live on the blockchain. The wallet only keeps the keys you use to prove they belong to you.

  1. [A]公開鍵KŌKAI-KAGI

    Public key

    Your address is created from it. You can share that.

  2. [B]秘密鍵HIMITSU-KAGI

    Private key

    Proves you’re allowed to spend. Always stays secret.

  3. [C]署名SHOMEI

    Signature

    Every transfer is signed with the private key.

  4. [D]復元FUKUGEN

    Seed phrase

    12 or 24 words from which all the keys can be restored.

[02.3]点検 TENKEN · INSPECTIONSECURITY CHECKINTERACTIVE

Experiment

How safe is your wallet?

Six statements. Answer each with yes or no. Your answers stay in your browser and aren’t stored anywhere.

0 / 6

No answers yet.

  1. [01]My seed phrase is written down offline on paper.

  2. [02]It’s kept in a different place from my device.

  3. [03]I’ve never photographed it or saved it in a cloud.

  4. [04]For larger amounts I use a hardware wallet.

  5. [05]Before sending, I check the address character by character.

  6. [06]I never give my seed phrase to anyone – not even to “support”.

[02.4]種類 SHURUI · KINDSTHREE KINDS OF WALLETCOMPARISON
財布SAIFU · APP

Software wallet

An app on your phone or in your browser. Quick to access, but connected to the internet (a “hot wallet”).

Suitable forSmall everyday amounts

金庫KINKO · SAFE

Hardware wallet

A small device that keeps the keys offline and signs transfers itself (a “cold wallet”).

Suitable forSavings and larger amounts

預託YOTAKU · CUSTODY

Exchange

A provider holds the keys for you. Convenient – but you’re trusting them with your assets.

Suitable forBuying and selling, not for storing

[02.5]提供 TEIKYŌ · OFFERWALLETS & SECURITY TRAININGON YOUR OWN DEVICE

What we offer

Set up a wallet – step by step

In this training you set up your wallet yourself, back up your seed phrase properly and make a first transfer – with guidance, no pressure and no investment advice.

Contents of the wallets and security training
PartContentOutcome
[01]Choosing a walletApp, hardware or exchange – what suits you?A clear decision
[02]Setting upInstallation, seed phrase, safe storageYour own wallet
[03]First transferChecking the address, understanding feesA practised routine
[04]Spotting scamsPhishing, fake support agents, counterfeit appsA sharper eye
[02.6]問答 MONDŌ · QUESTIONSQUESTIONS & WRAP-UPEND OF STATION
What happens if I lose my seed phrase?

As long as your device works, you can still get into the wallet. If the device is lost too, the assets can no longer be reached. So: write it down safely, store it safely.

Do I have to have a hardware wallet?

No. For small amounts a good app is enough. The larger the sum, the more worthwhile a device that keeps the keys offline becomes.

Can an exchange take my coins away?

An exchange holds the keys for you. If it goes bust or gets hacked, your assets can be affected. That’s why the rule is: whatever you hold for the long term belongs in your own wallet.

Will you help me set up a wallet?

Yes, that’s exactly what our training is for. We never see your seed phrase – only you write it down.

Wrap-up

Station 02 complete

You now know what a wallet stores and how to protect your keys.

試験 SHIKEN · Quiz · 3 questions

Three short questions on station 02. Get them all right and the station is complete – then you move on.

  1. [1/3]What does a wallet actually store?

← Station 01学Basics Station 03 →忍Bitcoin & cycles

The door is open

Get to know us in a free intro call. We listen, put things in context and show you the next step – without any buy recommendation.

Intro call →
Etching: entrance of a traditional townhouse in Kyoto