A common concern for users of hot wallets (mobile or desktop) is losing access if the wallet disappears or the provider goes out of business.
ith governments becoming increasingly regulatory regarding privacy (e.g., the case of Samourai Wallet), many worry about the future of their wallets.
In this regard, if something happens to Phoenix, your funds remain safe, but you won’t be able to move them. The solution is to perform a forced channel closure, which registers your funds on the on-chain network.
To do this, go to your wallet’s settings: Settings > Danger Zone, and click on “Force close channels.”
Phoenix will close the channels unilaterally, and after a wait of about 720 blocks (~5 days), your funds will be transferred back to the on-chain network.
After this, Phoenix recommends you to download the Electrum wallet and recover your funds there (since Phoenix provides your private keys).