Home Bitcoin Advantages and disadvantages of Bitcoin wallet Electrum

Advantages and disadvantages of Bitcoin wallet Electrum

by Alt Coins

Software bitcoin wallets are different. Consider one of the reliable methods for storing cryptocurrency using the Electrum purse. This wallet is cross-platform, but the principle of its operation is the same on all operating systems.

First of all, it should be understood that all the cryptocurrency is stored not in the wallet itself, but in the block room. The wallet only stores your private keys and gives you the opportunity to work with them and do all that is necessary to work with crypto-currencies. Electrum stores private keys exclusively on the device on which this program is installed and never sends them anywhere. But for the work of this purse, he needs a third party who will provide information from the blockbuster. This third party is the Electrum server, some of them are also in the anonymous TOR network for those who need it. The process of synchronization with the blockbuster thanks to these servers lasts a few seconds, no more. After that, the wallet will be ready for full-fledged work.

When you create the bitcoin purse in the Electrum program will show you a set of 12 words that are necessary to restore your wallet in the event of a breakdown of a PC or other device. This is the so-called family or sid phrase, it must be written on paper and stored in a safe place. The program does not recommend printing these secret words on the printer, as this is not safe. Next, we need to manually enter these words to boot our new bitcoin wallet. Copy the phrase does not work, you need to enter only manually, so Electrum is convinced that this phrase is written and not copied and lost.

There is a so-called “cold” storage of cryptocurrency. This means that all private keys are stored offline, namely on media not connected to devices with Internet access, which excludes the possibility of stealing these private keys via the Internet through malicious software or other methods. Electrum itself is just a program installed on a PC or other device, and it is not a method of cold storage. But there is one method that will help us in this; this is the most secure operating system in the world of Tails. This is a Linux distribution that only works with a USB flash drive and can not be installed on a computer. In Tails, by default, the Electrum purse is installed, which allows us to store the operating system along with our bitcoins on the flash drive in offline mode and boot from this flash drive only when we need it. Just because Tails does not save any data and after each reboot, it works as a “clean” operating system. To do this, we need to create and configure a store for storing Electrum purse data. How to do this enthusiast will have to figure out for yourself, as about the OS Tails you can write more than one article.

Now we have figured out the Electrum purse, and we have an idea of ​​the principle of its operation and the level of security regarding storing private keys. The wallet is quite worthy; it can be trusted, it is installed in the safest operating system in the world, it quickly synchronizes in contrast to the official Bitcoin Core purse, which is very convenient for frequent use.

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